On Monday, Chinese internet service and app provider Hengteng Networks announced its plan to work with Tencent, one of the largest integrated Internet service providers in China. The agreement will see both companies focus their efforts on the game industry, specifically game development and operations.
Shenzhen Jingxiu Network Technology Co., Ltd., a subsidiary of HengTen Networks, will work with Tencent to research and development games, distribute them and manage the intellectual property (IP) of the products released.
Tencent and Hengteng Networks have signed one prior agreement that saw the two sides share film and TV series copyright resources in April of last year.
Tencent, which holds the rights to many of the most successful games in the world, such as League of Legends, Honor of Kings and Game for Peace, will support HengTen Networks in several core sections of the game industry. The move will help broaden the business scope of HengTen Networks, but also help retain users and increase their loyalty to the companies and their game offerings. The agreement will also serve to attract new users and expand revenue sources through a more diversified and immersive entertainment experience.
In addition, the cooperation also enables the technology team of HengTen Networks to further enhance the company’s strength through in-depth communication with Tencent‘s top research team. The sharing of technological information should also help HengTen attract more talent into its fold.
HengTen Networks was the first company to provide pure paid film and television streaming media services in China. In recent years, it has launched popular movies including Hi, Mom, A Little Red Flower and Nirvana in Fire. In addition, the number of paid subscribers of Pumpkin Film, its streaming media platform, has also increased significantly.
As of June 30, 2021, the cumulative number of registered members of Pumpkin Film reached 61.94 million and the cumulative number of paid subscribers reached 24.62 million.