The Trump administration is considering allowing Tencent to retain its gaming investments — Financial Times of the UK

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Investing.com - According to The Financial Times of the UK on Tuesday, the Donald Trump administration is considering whether to allow Chinese internet giant Tencent Holdings Limited (HK:0700) to retain its stake in a popular video game company.

The Financial Times report, citing sources, said that senior U.S. officials have held meetings to decide whether Tencent’s investments in major gaming companies in the U.S. and Finland pose security risks.

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Tencent owns a 28% stake in Epic Games, based in North Carolina, the developer of the popular game Fortnite; Tencent also owns Riot Games, a Los Angeles-based company that developed League of Legends. Additionally, Tencent owns Finnish mobile game company Supercell, which created Clash of Clans.

These investments have made Tencent the highest-valued video game company globally.

However, Tencent’s gaming investments are among the longest-reviewed projects by the Committee on Foreign Investment in the United States (CFIUS), led by the U.S. Department of the Treasury, responsible for assessing the security risks of foreign investments.

The issue of Tencent potentially accessing data of millions of Americans has been a focus of concern, especially after the Biden administration listed Tencent among companies allegedly linked to the Chinese military.

This article was translated with the assistance of artificial intelligence. For more information, please see our Terms of Use.

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