Tencent Tech, 3/16/15
Online literature firm China Reading Limited today released new operational information. The firm was created via the merger of the online literature businesses of Chinese internet firm Tencent (0700.HK) and Shanda Interactive. Group CEO Wu Wenhui stated in an internal letter that the company will purchase more than RMB 100 mln in non-internet based content this year, and seek partnerships with several publishing houses.
China Reading currently holds the rights to more than 3 mln books, has almost 100 mln users, annual revenues close to RMB 2 bln and hires 1,200 staff at the group's headquarters. Wu also outlined 8 programs for Yuewen's development, including:
1. Creation of a book search engine;
2. Greater investment in promotional apps;
3. Development of "Dianzhi Shu," a non-backlit e-reader similar to Amazon's Kindle Paperwhite;
4. Collaboration with Tencent's mobile messaging apps WeChat and Mobile QQ for marketing and subscription activities.
Editor's Note: For more information on this topic, please see "Tencent, Shanda Merge Online Literature Businesses," MD 1/26/15 issue.