In our review #0000005 this week, we discussed Google’s investment in Go-Jek, predictions of the gaming business in Japan and the battle between China and US on data.
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Here are the interesting news for the past week dated 29 Jan 2018:
Google confirms investment in Indonesia’s ride hailing leader Go-Jek in TechCrunch by Jon Russell
Summary: TechCrunch reported the investment last week, which was made alongside China’s Meituan-Dianping and Singaporean sovereign fund Temasek.
My Perspective: Here’s the way to see this. Google, Tencent and Meituan-Dianping believes that the local champion is the way to go, similar to India and China, while SoftBank and Alibaba invested in Grab earlier, thinking that they will eventually conquer Indonesia from Singapore. Temasek is in an interesting position. Note that Grab’s investment from Temasek is from Vertex Venture, who made very good bets with Mobike and Spacemob (which was acquired by WeWork), their venture capital arm and this deal is done directly from Temasek, and hence they are hedging in both ways. Now, we just need to see action and not investment talk. Expect Uber to sit out on this one.
The Game Business in 2018 (Predictions) by Serkan Toto in Kantan Games JP
Summary: More sequels and AR/VR will not be mainstream.
My Perspective: If you want to know more about the Japanese gaming scene, Serkan is the best person to ask and he has repeatedly beaten many to predict that Nintendo will do well in 2017 where the market says otherwise. One interesting comment which came from his predictions is that 2018 will be a boring year with consolidation in mobile gaming, and AR and VR will not take off.
Inside Asia’s Bitcoin Economy in Nikkei Asia Review (requires subscription)
Summary: Crypto startups scramble amid regulatory pressure
My Perspective: An interesting overview on the bitcoin economy discussing the company Bitmain in China which owns 70-80% of the bitcoin mining market and the other cryptocurrency related companies across Asia Pacific.
Tencent Report in 2018 by Matthew Brennan from China Channel
Summary: The best comprehensive review of Tencent, the company behind Wechat, QQ & Honor of Kings.
My Perspective: Matthew Brennan has compiled the most interesting report to date on Tencent, specifically looking at the group structure, the revenue streams and the current growth engines in one of the large technology giants in Shenzhen, China.
Battle for data rages between China and US by Wataru Kodaka And Taisei Hoyama in Nikkei Asia Review (requires subscription)
My Perspective: The authors are spot on in identifying the next battle ground in the potential trade war looming between China and US which is surprisingly, data. That is perhaps the real reason why Alibaba Group could not acquire MoneyGram in the US.
Articles of Interest which I have curated and you should take a look too:
Tim Culpan’s “So Long Kaz and Thanks for all the cash“. (Bloomberg Gadfly)
Liza Lin, “Alibaba, Foxconn invest in Chinese Electric Vehicle Maker, Xiaopeng” (Wall Street Journal, requires subscription)
Andy Mukherjee’s “Investing in India. Call your Tax Lawyer“. (Bloomberg Gadfly)
Shuli Ren’s “An Ant Financial IPO? Not so fast” (Bloomberg Gadfly)
Nicole Jao’s “Toutiao is suing Baidu for unfair competition after (alleged) biased search results & security warning” (Technode)