Tencent Is Creeping Up on Alibaba in China’s Cloud Market
Alibaba (NYSE: BABA) is the largest cloud player in China, but a recent Canalys report indicates Tencent (OTC: TCEHY) is gaining ground. Alibaba's share of China's cloud infrastructure market dipped from 47.3% to 46.4% between the first and fourth quarters of 2019. During the same period, Tencent Cloud's share rose from 15.4% to 18.0%.
Tencent won't catch up to Alibaba any time soon, but its renewed focus on its cloud business -- which started after a restructuring effort in late 2018 -- could spell trouble for the market leader. Let's dig deeper into Tencent's cloud business and see what its growth could mean for Alibaba's future.
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Source Fool.com
