There may be trouble ahead for Tencent Music in its homeland, although that trouble could bring some intriguing competition to China’s music streaming market.
As part of a wider crackdown on technology companies, the Chinese government is reportedly readying a fine and other antitrust penalties for parent company Tencent Holdings.
Reuters claimed that those penalties may include forcing Tencent Music to sell Kugou and Kuwo, two of its three music streaming services, either to competitors or to other investors. If that happens – and the report warns of the potential challenges of that – it could trigger a bidding battle for the two services.
NetEase Cloud Music is Tencent Music’s biggest rival, although another Chinese tech giant, Alibaba, recently shut down its own music service Xiami.
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