Tencent Holdings, a Chinese social media powerhouse, expects Beijing to allow’metaverse’ virtual environment services, currently Silicon Valley’s speech, to function in China as long as they comply with Chinese regulations.
Tencent, China‘s largest corporation by market capitalization, hailed the possibility for gaming business prospects in a post-earnings call on Wednesday, but admitted that China’s version of the metaverse would need to be different from the rest of the world’s.
“There are a lot of technologies that are linked to the creation of games as well as for the metaverse,” Tencent president Martin Lau told investors during a conference call filled with metaverse-related queries.
Investors have been closely monitoring the possibilities for the emerging realm of virtual reality since Mark Zuckerberg, CEO of Facebook (FB.O), who recently changed his name to Meta Platforms Inc, said that his company’s future will be dedicated to the creation of a metaverse.
Microsoft (MSFT.O) and Disney (DIS.N) have also stated that they are developing their own metaverses.
“The Chinese government will support the development of such technologies as long as the user experience is delivered within the regulatory framework,” Tencent’s Lau explained.
Among IT investors, worries have been raised about how the metaverse would emerge in China, where the internet is severely restricted and authorities have mounted a comprehensive assault on its previously freewheeling giants, like Tencent, since last year.
Regulators have prohibited all cryptocurrency transactions, increased control of the gaming business, and advised against “blind” purchases in metaverse-related stocks.
Although there would most certainly be separate sets of laws for the metaverse between China and the rest of the globe, Lau stated that this “was not fundamentally adverse to the growth of the metaverse.”
According to the business, Tencent, the world’s largest online gaming company by revenue, is leading the charge in China by far on the notion of virtual worlds, which has also piqued the interest of rivals such as NetEase and the owner of TikTok ByteDance.