Tencent Shares Drop Over Regulatory Concerns: WSJ

The Wall Street Journal reported that Chinese social media and gaming firm Tencent Holdings Ltd TCEHY continue to attract domestic regulatory scrutiny over alleged anti-competitive behavior.
The scrutiny could jeopardize Tencent's over $22 billion in revenue from smartphone games and $7 billion in PC games earned last year.
Regulators are also concerned about the youth's addiction to the Tencent-backed popular video games. Tencent has milked the pandemic by signing 12 overseas deals this year.
Tencent was exploring tactics to ward off the crackdown impact. China's growing crackdown raises concerns over Tencent being the next bait, further prompting it to expand focus overseas.
The U.K. already awaits new regulations on social media companies, video streaming, and gaming platforms.
Price Action: TCEHY shares traded lower by 2.89% at $60.75 on the last check Wednesday.