Reborn multinational giant

In late October, the investment circles in Hong Kong and the mainland and the Internet industry saw a number of heavy news about Huizhong:

The first is that Yanjing Huizhong, a well-known e-commerce company, announced that Yanjing Huizhong will replace the original Hong Kong well-known private equity CVC and become the fifth largest shareholder of Jingdong!

The second is the online rumors that the person in charge of a private equity fund contacted Yanjing Huizhong Company in private, gave Huizhong a valuation of 5-10 billion U.S. dollars and planned to invest several hundred million U.S. dollars in Huizhong, but Huizhong refused!

The third piece of news is that Huizhong and the US valve company announced that they will introduce the game platform steam to China and set up steam China specifically for the Chinese region. It is expected that steam China will meet Chinese players in February next year!

For a while, the investment circles and the Internet industry in Hong Kong and the mainland caused a lot of trouble because of these news!

The investment circle is mainly concerned about the second news, that is, private equity funds give Huizhong a valuation of 5-10 billion US dollars and intend to invest hundreds of millions of dollars.

They were not surprised by this valuation. It was unexpectedly an investment of hundreds of millions of dollars that would be rejected by Huizhong. Is Huizhong really not bad enough for money?Investment of hundreds of millions of dollars will not be accepted!

Or, Fang Zhe, the young founder of Huizhong, is still dissatisfied with the valuation of 5-10 billion US dollars. Is he so arrogant that he doesn't know how to promote it, or is it that Huizhong has some other awesome cards that have not been exposed? come out?

In the Internet industry, there are two topics of concern. One of them is also related to the valuation of Huizhong circulating on the Internet. It can be imagined that this company, which has only been established for a year, has achieved a valuation of more than US$5 billion. This valuation is placed in the current domestic Internet industry and can definitely be ranked in the top 20!

Before Huizhong was not a listed company, financial revenues were not disclosed to the public. Although the outside world saw that Huizhong had a hot global performance and knew that this company should be very profitable, they did not expect it to be so profitable.

Once the valuation comes out, based on Huizhong’s valuation and the nature of its business, Huizhong’s profitability can be reversed. If Huizhong’s current valuation of the highest 15 times P/E ratio in the gaming industry is at least 5 billion U.S. dollars, Huizhong’s The annual net profit is at least RMB 2 billion. If calculated at a price-earnings ratio of 5 times and a valuation cap of US$10 billion, Huizhong’s annual net profit is even more than RMB 13 billion!

Regardless of whether the lower limit or the upper limit is taken, these two are enough to make many companies in the entire Internet industry jealous and crazy. You must know that even Tencent, the most profitable of the three bat companies, has a net profit of less than 3 billion in the first half of this year. That is to say, Huizhong's current net profit has reached at least one-third of Tencent's.

Compared with the time and size of the two establishments, many established Internet companies like NetEase and Perfect are full of jealousy and shock at Huizhong. Fortunately, they have been founded by a rookie Internet company that has just been established for a year. Overtaken, who will tell me this is not true!

Another piece of news that colleagues in the Internet industry pay attention to is that Huizhong has become the fifth largest shareholder of JD.com. This is not an explosive news at first, but combined with Huizhong's frequent actions in the recent period, it is worth seeing behind it!

If before June of this year, even if Huizhong is very popular abroad, in China, except for the Zhongle platform that has already dominated the web game industry, Huizhong's other businesses are not worth seeing!

But beginning in June, Huizhong first announced the investment of 50 million yuan to establish a wholly-owned subsidiary Alipay to deploy third-party payment services, making Alipay and Tencent Tenpay, which are already leading in this industry, full of vigilance. Nima looks at the name It's for the two of us. Huizhong, a young guy in the Internet industry, is just touching a tiger's butt, or two tigers!

Although Alipay and Tenpay are vigilant about Alipay, they don’t think Alipay can do anything in the current market structure. Only relying on Huizhong’s domestic business Zhongle game platform, Alipay can also be successful. There is no big climate. Until now, when JD.com announced that Huizhong became the fifth largest shareholder of JD.com, Alipay and Tenpay could understand it.

It seems that Alipay is really the product as its name suggests. On the one hand, like Tencent, it relies on the game business with many payment scenarios to nurture Alipay. On the other hand, like Ali, it relies on the e-commerce business of JD to develop. Paypass, this is really a collection of the best of the two!

After the third news broke, the entire country, including Tencent NetEase, a company with game business, seemed to feel an earthquake!

I'm embarrassed, this Huizhong's ability is too great, the world's largest game platform steam is settled silently. Listening to the news, valve seems to have accepted the joint establishment of steam China with Huizhong. In other words, the review and policy hurdles that many companies considered the most difficult for steam to enter China have been solved by Huizhong in this way of engaging in special economic zones!

With the thousands of high-quality games on steam, the domestic field from stand-alone to online games will inevitably be greatly impacted. This makes it now rely on such terminals as "Cross Fire", "DNF", and "Fantasy Westward Journey". Companies like Tencent and NetEase, who have made a lot of money from gaming products, feel a very big threat!

In contrast, Huizhong, which has not done much in the field of terminal games before, not only has not been affected by any business, but has made up for Huizhong’s shortcomings in terminal games, and Huizhong’s operation of steam will inevitably further strengthen the payment channel. This is simply killing two birds with one stone for the payment business of China. If you think of Huizhong’s advance deployment of game voice product YY, it will kill three birds with one stone!

Whether it is the old game companies like Tencent Perfect Shanda or the Internet giant Tencent, which is the home of social games, it feels a bit unsettled. Especially Tencent and Huizhong's measures in all aspects are simply declaring war with Tencent!

YY is benchmarking against Tencent’s core QQ. The introduction of steam is aimed at Tencent’s several lucrative end game projects, while Paytong is aimed at Tencent’s Tenpay. Look at it, Huizhong seems to want to challenge Tencent in the Internet industry. Do you really think that Tencent is a vegetarian?

At the end of this October, the entire Internet industry in China was not calm. Many sensitive Internet users have already felt the depression before the storm. Now that Huizhong has stretched out so long, big companies like Tencent, Ali, Netease will certainly not wait and die. , As for when the conflicts and wars between the two sides will break out, this has to be taken one step at a time!

Just as the domestic Internet industry is treacherous, on October 30, the Apple iPhone, which has been popular all over the world, finally entered China!

China's mobile phone industry and mobile Internet industry are also beginning to rise!

Many people who are preparing to step into this industry have discovered another damn thing, Ma Dan, Huizhong seems to have been in the mobile Internet industry a long time ago, and even the industry standards have been released. Grandma Di Huizhong is the CEO of Mao. Is one step ahead?