2013-08-15

Messaging Battle Royale: Sina vs Tencent vs China Unicom vs China Mobile

Sina's Weibo service and Alibaba have linked up. Now China Unicom has linked up with Tencent's WeChat software.
Wechat, Weibo vs. SMS
"The telecommunications companies may try to invent a competitive instant messaging service of their own. The other way is to cooperate with OTT service providers. But the disadvantage in the first solution lies in the fact that the telecom companies are unfamiliar with making Internet-related products; so their products might not give the users the same comfortable experiences when it's put to use. China Unicom has opted for the second solution by seeking cooperation with WeChat."

In fact, the popular messaging App -- WeChat is not just conquering user but turning rivals into partners. China Unicom in Guangdong province and WeChat's owner Tencent are introducing the first joint SIM card. Users can enjoy both WeChat's new services and discounts from China Unicom.

From August 8: China Unicom’s WeChat Subscription Plan Hits China Today
Today marks the first step in the tentative and possibly-doomed alliance between Chinese telecoms and WeChat, the OTT chat app that’s destroying their text messaging revenues. As of right now — the minute this post is published — China Unicom users nationwide* can purchase a special WeChat SIM card and access the app even if they don’t have a regular 3G subscription through the telco.

The card doesn’t just allow use of the wireless web for chatting, though, it also will allow users to use other data-heavy aspects of the app, including playing games, sending stickers, and making payments online. Users who purchase it can choose from a variety of plans, which run between 30 and 60 RMB ($5-$10) per month although other fees apply, including and up-front price for the card itself.
WeChat is Tencent's strong play. Weibo is Sina's. Weibo has added chat service and WeChat integrates with Tencent's other programs such as QQ and Tencent Weibo. But for now, both programs have a dominant niche. The main outlier so far is China Mobile.

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