Kuaishou is a video streaming service that is held in high esteem by young Chinese users. Tencent Holdings Ltd. saw the great potential of this business. This is why it organized a fundraising on behalf of the video sharing app. The final sum rounded up to a total of $350 million USD. This is just a secondary step in the company’s plan to go public on the United States market sometime at the end of 2017.
The Video Streaming Service Attracted Investors as Baidu, DCM, and Sequoia
The new round of funding for the popular Chinese video streaming service was designated for one purpose only. The company will use this financial support to streamline the user experience and improve its research and development operations.
Kuaishou explained the new direction of its business with a focus on artificial intelligence and the latest technologies in video analytics. This way, the company wants to ramp up its position on the market and entice new users with latest tech products.
The success of Kuaishou previosuly inspired other investment holding behemoths to support the business. These are DCM, Baidu, and Sequoia. However, the new round of fundraising didn’t reveal their second participation. On the other hand, Kuaishou will not receive financial support only.
Tencent Saw a Great Bussiness Opportunity in its New Project
On the contrary, the company managed to close a partnership with Baidu and Tencent. Together, they are going to improve the technology and product of the Chinese video streaming service. The ultimate goal is to attract new users through a top-notch experience on the platform.
The founder and chairman of Tencent, Pony Ma, is excited for the new project and partnership with his company.
“Kuaishou has brings people closer with their focus on the recording and sharing everyday lives. It’s a product that closes to users for its warmth and vigor.”
Tencent acknowledged the trend that is going to help video content expand into an even bigger market in the future. By merging their efforts together, Kuaishou and Tencent will complete their unique user insights, professional expertise, and conquered tech boundaries to come up with groundbreaking methods to seize business opportunities.
At the moment, the popularity of Kuaishou created a large community of 400 million global users. The social media application offers them a creative way to capture their everyday life on live stream or video clips. Afterward, they can share their work with the world. The tackled topics are usually inspired by everyday life. However, there are also beauty tutorials and quirky entertainment.
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