Hi folks, we are back with our weekly edition of China’s Digital Digest, wherein we would bring you weekly updates on China’s digital space. The report takes a quick glance at China’s complex and rapidly evolving social media landscape by providing updates on the latest happenings across the social media industry. Here are the major highlights of the report.
1. Major US Tech Groups Back TikTok in Challenge To Montana State Ban
Two tech groups have backed TikTok in its lawsuit seeking to block enforcement of a Montana state ban on the use of the short video-sharing app before it takes effect on January 1.
NetChoice, a US national trade association that includes major tech platforms, and Chamber of Progress, a tech-industry coalition, said in a joint court filing that “Montana’s effort to cut Montanans off from the global network of TikTok users ignores and undermines the structure, design, and purpose of the internet.”
TikTok, which is owned by Chinese tech giant ByteDance, filed a suit in May seeking to block the first-of-its-kind US state ban, arguing it violates the First Amendment free speech rights of the company and users. A hearing on TikTok’s request for a preliminary injunction is set for October 12.
2. Australian Lawmakers Recommend A Potential WeChat Ban on Government Devices
A senate committee investigating how foreign powers use social media to interfere in Australia has recommended a swathe of rules and restrictions for social media platforms, including potentially banning Chinese messaging service WeChat on government devices.
The report contains 17 recommendations including new transparency rules enforceable by fines, expanding an existing TikTok ban on government devices to contractors and investigating a ban on WeChat on government devices. Companies like TikTok and WeChat posed "unique national security risks" because their parent companies, ByteDance and Tencent, are headquartered in China and subject to its national security laws, committee chair Senator Paterson in a statement.
3. TikTok Forms US E-Commerce Team for Secondhand Luxury
TikTok has set its sights on broadening its influence in the e-commerce landscape by assembling a specialized e-commerce team based in the US to focus on the resale of pre-owned luxury items.
TikTok has been rumored to be launching a novel e-commerce venture in the US, aimed at marketing Chinese-made products to American consumers. This strategic move positions TikTok as a contender in the competitive e-commerce arena, directly challenging platforms like Shein and Temu. The upcoming e-commerce venture is set to incorporate a unified “TikTok Shop Shopping Center”, offering users a seamless shopping experience by combining diverse channels onto a single page.
4. ByteDance’s AI Chatbot Product Grace Enters Internal Testing
ByteDance’s AI chatbot product Grace has started testing, and the test interface is finally revealed. In addition, the testing website has also been set up, possibly for the future official website. However, to experience Grace currently, you need an invitation or authorized account login before you can use it.
According to reports, Grace’s testing website is gracebot.cn. After redirecting to this website, you can see the website title displaying “Grace – Your AI Companion” and other words. Currently, it supports login with email, Gmail, and Feishu accounts but requires authorization. After successful login, you will be redirected to Grace’s chat interface. By entering relevant questions in the chat box, Grace can answer them. Users can like or dislike the generated responses from Grace, or request for a new response to help improve its answering ability.
5. Tencent Hunyuan AI Large Model Starts Internal Testing
China’s Tencent Holdings has said that it has begun the internal testing of its self-developed AI model, which is now being integrated with several internal products like Tencent Cloud, Tencent Meeting, and Tencent Docs.
This comes after Chinese regulators published a set of interim rules on generative AI last month, paving the way for Chinese tech companies like Tencent and Alibaba to roll out products with AI features as soon as late August once they obtain approvals. AI has become a focus for Tencent in recent months. The company’s efforts in developing the Hunyuan model first came to light in February.
6. Tencent Is Developing A Social App Called M8
Tencent is developing a social app called "M8", which is positioned as a map-based virtual social product and focuses on young people's social track.
The app reportedly allows users to create 3D avatars and check the status of their friends (including their phone battery percentage and location send messages), send messages, and share any interesting places or activities. The project is currently undergoing internal testing under the supervision of the QQ team at Tencent and may be externally tested as soon as later this month. The news comes over a year after the rapid rise and fall of Zheli, a similar platform developed by Beijing Yidian Digital Entertainment and launched in January 2022. Zheli was hailed as a rare rival to WeChat after it jumped to the top of iOS free app rankings in China.
However, the developers were soon accused of plagiarising the avatar clothing designs from Xiaohongshu. Users also complained that the app had data privacy issues and gameplay lags, spurring the developers to take the game offline after only a month.
Wrapping Up
The vast and diverse nature of the Chinese Social Media space makes it incredibly challenging to keep a tab on the rapid developments taking place. However, China’s Digital Digest brings you all the latest updates from there to keep you abreast of all the evolving trends.
To delve deeper into the findings of the July report, click here.