Tencent’s XR Business Stops Operation

Tencent‘s prolonged actuality (XR) enterprise has suspended operation, affecting a workforce of greater than 300 individuals, and it’s not but identified whether or not there might be any main personnel changes quickly, Chinastarmarket reported on January 13.

Tencent arrange its XR division in June 2022 with a flurry of promotion, with Steven Ma, the agency’s senior vp and chief of its recreation enterprise, named because the chief individual in cost. Shen Li, the pinnacle of NExT Studios, was named because the “specific” individual in cost. According to sources conversant in the matter, Shen left the job in November 2022.

Previously, Tencent stated that XR is a brand-new enterprise that the corporate is vigorously constructing to deal with the “complete reality of the internet.” As agency founder Pony Ma defined, “a series of basic technologies from real-time communication to audio and video has been prepared, and the computing power has been rapidly improved, which has promoted richer changes in the modes of information contact and human-computer interaction. This is a process from quantitative change to qualitative change, which means the integration of online and offline channels, and the integration of physical and electronic ways.”

Last April, Steven Ma delivered a speech in regards to the metaverse on the Alumni Association of Fudan University School of Management. He talked about that he’s nonetheless pessimistic in regards to the modifications within the metaverse within the subsequent two to a few years. Although many applied sciences have skilled breakthroughs, they’re all devoted explorations, and there’s nonetheless a substantial technical and industrial distance from the metaverse. However, he added that he has sturdy confidence in metaverse’s long-term growth prospects.

In May, Ma accepted an unique interview with VentureBeat. Besides video games, he expressed many opinions on blockchain, NFTs and different metaverse-related companies, amongst which he reiterated his optimism about VR.

Tencent just isn’t solely a shareholder in Roblox, but additionally holds 40% of Epic Games. In addition, QQ Music launched a operate that offered VR music rooms for standard musicians resembling Jay Chou. In phrases of {hardware}, Tencent demonstrated its first VR headset gadget – TenVR – developed by its InLab in 2018, however the enterprise unit has not proven a brand new product since then.

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In early January final 12 months, it was reported that Tencent deliberate to amass Black Shark, a gaming smartphone firm. After the transaction was accomplished, Black Shark’s enterprise focus shifted from smartphones to VR gear. However, in early May, Black Shark CEO Harrison Luo straight denied the existence of this transaction, saying that he was solely on the lookout for exterior funding alternatives. In October, Black Shark laid off 50% of its workers. Among them, VR initiatives have been the toughest hit space, and a lot of associated workers recruited at the start of the 12 months have been dropped.