Tencent Prepares to Take on eBay, Alibaba, in China
From AsiaMedia: Tencent seeks to cash in on boom
"Tencent Holdings, which operates the mainland's largest instant messenger service QQ, plans to launch an online auction service by the end of this year, according to chairman Pony Ma.
"We have our 400 million registered user base to boost the traffic of our e-commerce service," Mr Ma said yesterday."
(China Net Investor: Blog reader Shak noticed that this number must be wrong [Translation error or exaggeration?]. Total number of internet users in China: about 100 million. Total number of mobile phone users: about 400 million)
"Tencent's strategy is that QQ users can search for their shopping items online through the website, and use QQ to chat with the sellers to increase the traffic of its instant messenger service. Tencent also charges sellers a listing fee when they sell products on the platform. But due to fierce competition, it will not charge a commission for each transaction."
"In China, online auctioning or e-commerce is booming. Consumer auction websites such as Alibaba.com's subsidiary Taobao.com and eBay China both have more than a million registered users."