China's State-Run Companies Restrict Use of Tencent's Messaging App: Report

Some Chinese state-run companies restricted employees' use of Tencent Holdings Ltd TCEHY domestic messaging app Weixin, citing security concerns, the Wall Street Journal reports.

• The companies, including China Mobile Ltd, China Construction Bank Corp, and China National Petroleum Corp, alleged Weixin could contain sensitive information and be shut down and deleted.
• They also ordered employees to be cautious about using Weixin, the domestic sister app of WeChat, for work-related communications.
• "Many companies around the world are moving towards enterprise software to meet their internal communications needs," Tencent was quoted saying, adding that the company offers WeCom, an office collaboration app, as a solution.
• WeChat and Weixin combined have over 1.2 billion monthly active users worldwide. WeCom is used by over 5.5 million enterprises, with 130 million monthly active users.
• Related Content: Why Are Tencent Shares Trading Lower Today?
• Price Action: TCEHY shares traded lower by 2.5% at $58.52 on the last check Friday.