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TikTok rivals do battle for hearts of teen video producers
By Manon BILLING
Paris (AFP) Aug 12, 2020

Tencent profits up as gamers stay home but WeChat ban looms
Hong Kong (AFP) Aug 12, 2020 - Chinese tech firm Tencent, the parent company of social media giant WeChat, said Wednesday its revenue jumped 28 percent in the first half of this year as the coronavirus pandemic kept people glued to their screens.

But the better-than-expected results were clouded by upcoming restrictions on WeChat ordered in the United States by President Donald Trump at a time of spiralling tensions between Washington and Beijing.

Trump has announced a ban from mid-September on WeChat and TikTok, which is owned by a separate Chinese company.

The mobile apps "threaten the national security, foreign policy, and economy of the United States", he said last week.

But for now Tencent -- one of the world's largest gaming companies -- is enjoying a boost from the pandemic, with billions of people forced to stay indoors for weeks on end under lockdowns.

"During this challenging time, we utilised our platforms and technologies to help users adapt to the new normal via online tools, to support enterprises in conducting digital upgrades, and to broadly contribute to economic recovery," it said in a statement.

First-half revenue was 222.9 billion yuan ($32 billion) and net profit rose 21 percent on-year to 62 billion yuan.

"In China, user time spent on our smartphone games increased year-on-year but decreased quarter-on-quarter due to seasonality and back-to-office behavior," the company said, reflecting the country's move out of lockdown as coronavirus cases have dwindled.

But as the disease spread around the world in spring and early summer, monthly active users increased "significantly" both year-on-year and between the first and second quarter, it said.

This was "due to new game launches and more user time spent during the stay-at-home period".

While many companies are being hammered by the economic fallout of the pandemic, tech firms worldwide including US market leaders Apple and Amazon have seen strong demand for their products.

Wechat and Weixin, the version of the app available in mainland China, have more than 1.2 billion active users.

Trump's executive order against WeChat forces the platform to end all operations in the United States and bans Americans doing business with it.

Triller, Byte, Dubsmash and now Instagram -- there's no shortage of rivals circling to grab a slice of troubled TikTok's teen-centric platform for short-form videos, but can any of them come out on top?

US President Donald Trump's offensive against two major Chinese internet brands, including TikTok's parent company ByteDance, has opened the door to competitors even if TikTok itself manages to find a buyer for its US operations by a mid-September deadline.

TikTok is now under further pressure in Europe, after the French privacy watchdog on Tuesday confirmed a probe in response to the firm's plans to set up a data centre in Ireland.

TikTok insists that its users' personal information is secure, despite US claims to the contrary.

The stakes are high given that the TikTok mobile app has been downloaded about 175 million times in the US and more than a billion times around the world, offering everything from make-up tutorials to dance routines and cookery tips.

With Trump intensifying his pre-election threats against China amid the coronavirus pandemic, TikTok suffered a 16-percent slump in US downloads from June to July, according to data from Sensor Tower.

Rival Triller has since grabbed top ranking in Apple's App Store in 50 countries including the United States, helped by a rich catalogue of music from partnerships with major studios such as Sony, Universal and Warner, as well as with Spotify.

It gained a significant boost when India -- TikTok's biggest international market -- banned the app in late June along with dozens of others from China following a deadly border clash between the nuclear-armed neighbours.

"Triller seems the most serious competitor to TikTok, because it attracts influencers," Luis Rodriguez, social media expert at French consultancy Mediatrium, told AFP.

Triller, which boasts more than 50 million monthly active users in the US, poached TikTok star Josh Richards to become its chief strategy officer in late July.

- 'Years behind TikTok' -

Three other leading influencers -- Griffin Johnson, Noah Beck and Anthony Reeves -- have also signed on as Triller advisors, "each of them likely to bring millions of followers from TikTok with them", Triller claimed.

"That doesn't mean that they're all going to switch to Triller," Rodriguez stressed. "You could see a lot of losses (of followers) from one platform to another. The war isn't over yet."

Byte, Dubsmash and Clash are among other TikTok lookalikes bidding to cash in. Meanwhile more established internet players aren't sitting back.

Facebook-owned Instagram last week joined the fray with a new product, "Reels", which lets users record videos of up to 15 seconds and provides TikTok-style tools for editing, audio and effects.

The feature is launching in more than 50 countries including Australia, Brazil, Britain, France, Germany, India, Japan, and the United States, and poses a serious threat given Facebook's vast reach.

Also last week, Snapchat pushed into Triller's turf with a raft of music deals including with Warner and Universal, enabling its roughly 240 million daily active users to add hit tunes to their offbeat content.

Another industry behemoth could be waiting in the wings if Microsoft reaches a successful outcome in its talks to buy some or all of TikTok. Twitter has also emerged as a potential suitor for the app, according to the Wall Street Journal.

But so far, none of the rivals has found the heady mix of features, algorithms, influencers, creators and monetization options that made TikTok such a star, US tech commentator Josh Constine said.

"Frankly, these apps all feel years behind TikTok," he wrote on his blog.

"They also fail at the one thing that could make YouTube, despite its dead-in-the-water short-form video feature, the actual winner here: a predictable, sustainable way of paying creators."

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Samsung upgrades folding smartphone in move to rev up sales
San Francisco (AFP) Aug 5, 2020
Samsung on Wednesday unveiled a second-generation folding smartphone along with other new gadgetry aiming to jump-start sales in a market hit hard by the global pandemic. The consumer electronics colossus unveiled its latest lineup at a streamed "Galaxy Unpacked" event, aiming directly at remote work and education trends supercharged around the world by the coronavirus outbreak. "Our mission is to give you new ways to communicate; new ways to get your job done," said Samsung Electronics mobile c ... read more

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