amy: so, let me ask you about wechat in china. wechat is everything.pal, google, instagram all rolled into one. you write that it has infused itself into their lives in ways facebook wishes it could. you are talking abouout one billion people using it. how does it differ from facebook , what does it mean, what does it tell us about the future? prof. vaidhyanathan: right. wechat is facebook and everytything else. your phone might have 30 applications on it, you probably use sisix or seven regularly. if you lived and worked in china and had wechat, you would not need all those applications. your banking, your library, your retail, all of these apps would be folded into wechat. you can use it at vending machines, to makake medical appointments, to navigate daily life. how is that different from facebook? well, it is clearly what facebook aspspires to be. if you have opened up the facebook messenger app on the phone, it has a number of micro-applications at the bottom. facebook's first foray into developing an application like wechat. facebook is constantl

it was once asia's most valuable company, but can tencent, the owner of wechat, reverse its tumbling share price? it's due to release its latest numbers in just a few hours. and shares in australia's commonwealth bank fall as its executives are grilled by a powerful inquiry into the financial sector. looking at the markets. you can see with the hang seng and nikkei, asian markets are losing ground, worries still over the turkish financial crisis. it was once asia's most valuable firms, but the tech giant tencent has seen $150 billion slashed from its market value since january. in a few hours it will its latest numbers, with investors hoping its fortunes can be revived. tencent owns the hugely popular messaging app wechat and together with its chinese—only version, weixin, hit one billion monthly users for the first time earlier this year. that might because for celebration. —— the cause. but it hasn't all been plain sailing. this week shares took a tumble after chinese regulators stopped tencent from selling its blockbuster video game monster hunter world. investors had hoped the ga

in addition to wechat, they also have alipay, their financial arm.y have a mini programs app that will draw users. users will be able to bypass traditional app stores and directly use services within wechat. so they have a lot of things at work that are trying to keep people within their ecosystem, but that being said, they do have a lot of competitors. emily: ben, what is your short and long-term outlook here? ben: in the short-term, they are going to struggle. i don't see light at the immediate end of the tunnel for some of these games, particularly pubg, looks like it's stuck in the regulatory process until next year. some could get stuck in the regulatory approval process up until even next year. i think their main revenue driver, gaming, is going to continue to be hit. but i do think there is plenty of potential for them to expand what they do. they need to continue to squeeze the juice out of wechat through improving payment mechanisms. mini apps, mini games. looking to add additional services, as they have with identification, biometrics, thin

users will be able to directly use services within wechat.ot of services are trying to keep people within their thesis -- ecosystem but they have a lot of competitors. emily: what is your short and long-term outlook? ben: in the short-term, they will struggle. i don't see light at the end of the tunnel for some of these games. some could get stuck in the regulatory approval process until next year. i think their main revenue ,river is going to be hit gaming. there is plenty of potential for them to expand what they do. they continue to squeeze the juice out of wechat through improving payment mechanisms. to add additional services, as they have with identification, biometrics, things like that and expanding along to new revenue streams. we saw with ins like cloud computing and payment search for them. in this quarter, 81%. advantagean ingrained over someone like alipay because people are already in the app and it makes it easy to use things like payments that they will have to cope with the new regulations by the chinese government that incre

they will continue to squeeze the juice out of wechat. improving their payment s, looking, minni app to add additional services with identification, biometrics and things like that. then expanding as well along to new revenue streams. we saw things like cloud computing and payment surge 81%. their monthly active users is 800 million. they have an in grade -- in grained advantage over something like ali pay, because you are already in their app. but they are going to have to expand those offerings and regulations by the chinese government to increase the reserve rates each company has to have.'emily: tencent has invented $93 billion and hundreds of other companies, including tesla. are there any upside from some of these investments that tencent will benefit from? >> they blamed some of their profit declines on a fewer investment gains. in order to bankroll some of their other services. their snapchat investment, we have yet to see, but they have not done so well. tesla, there is a lot of questions -- people also forget that tencent has a

ago it seems like facebook is borrowing something from tencent, which owns the messaging service wechatn china. where we have loads of different apps here, we go to a banking app, messaging app, everything is built into wechat ordering food. ordering a taxi. doing banking. that's been key for tencent to keep users in its ecosystem and sell them other services i think that's what facebook is trying to do, bringing banking into that. so trying to keep them in the facebook universe and hopefully make more money out of them. >> as big and powerful as facebook is, it's clear they have wechat money. paper money is used more in the uk and u.s. than in china. still a lot of things facebook would like to do better. i want to talk about something you've been talking about, cryptocurrencies specifically bitcoin it's up now, it's back below,000. $7,000 what's the issue with bitcoin? >> i think the problem is there's not a lot going on a lot of the hype and promise this year is that we would get regulatory clarity on bitcoin, some new financial products coming to market, some etf products none of th

you have 1.1 billion users of the wechat platform. another 700 on caroline: another platform.re the numbers i'm talking about where it is not just a gaming part of it but it is in everyday life, whether it tickets, food, buying enjoying media and other forms of entertainment. it is all part of that whole platform. haidi: we saw overnight a lot of asian tech names like ancent and alibaba falling as group. if you look at the potential threat posed by the deteriorating relations between beijing and washington, is that a risk you can price in in the sense of what the -- is the battle over tech in particular could turn out to be? tradei think the relations between the u.s. and china are probably not as big a sector on the underlying businesses of these companies. spring wey at east are looking longer-term and to do that fundamental bottom up where if you look at the valuation to see if we can justify getting into the tech industry. we are seeing some opportunities particular in the tech space. if you looks at some of the a- shares -- companies that have been beaten up. they are tra

have disappeared completely off the face of the earth, e—mails have gone unanswered, phone calls, wechatice and other investigators that we hired through the chinese investigators, and we have no answers right now. and no stock, and no games, and no idea what is going on. there are two things obviously in your mind all the time. one, that somebody stole your games and they're going to start selling to your distributors. any other fear is they have absconded with my money and are selling my games, then i have lost maybe half a million in sales. but i will not know that until they show up on the street and go to the manufacturer. in this scenario b, then i have to still bring them to the manufacturer. because i do not have any information, i can't decide. is also a need team. but it's stilljust me, i make this decision, right? i'm out $500,000 worth of sales. right now, i'm not selling anything in the us or amazon because i have no stock, so i am missing out on sales. but we don't know what the result is yet because i do not know what the issue is. hey, vanessa, how are you? how are you? g

now tencent owns the hugely popular messaging app wechat, and together with its chinese—only versionbillion monthly users for the first time earlier this year. but it hasn't all been plain sailing. this week shares took a tumble after chinese regulators stopped tencent from selling its blockbuster video game. now if you're watching from asia you've probably heard of it — it's called monster hunter world. sounds a bit vicious — but it's a big hit with gamers. investors had hoped the game would be a big earner — and they'll be watching closely for whether the firm can reverse its fortunes — so far this year its share price has fallen by 11%. with us now is cyrus mewawalla, head of thematic research at globaldata. he knows a thing or two about monster hunter world which puts you ahead of the rest of us for the moment, let me ask you, the share price has been tumbling for a while, it seems like everything is going downhill, is it built around these video games? to put it in perspective, tencent still be seventh largest internet company in the world and it is first equal in terms of china

more than a billion people use wechat pay for simple transactions like buying food and more complex dealstaking out a personal loan. financial technology is easing into the business from traditional state-owned banks. >> the growth of mobile payment reflects the underdevelopment of the traditional financial element of china. people are either so -- they are people that are under banks were no bank services. >> making online banker apps and more user-friendly is crucial. >> they are picking up fast because there is almost no barrier in terms of technology. >> the chinese central bank is also complaining a cashless society threatens deposits and fees. in july, china urged consumers and businesses not to refuse cash. in early august, it find alipay hundreds of thousands of dollars in breaching rules. but, they are one step ahead. they launched a chain of stores where, not surprisingly, mobile payment is encouraged and cash is not. >>[speaking a foreign language] doubt thehina is no number one cashless market in the world, there are still places in the country where cash is king, like traditi

stephen: they have the big wechat ecosystem that helps underpin mobile gaming as well as advertising.e invested heavily in video such cushions, payments, those are paying off. payment volumes surging 40%, at revenue 40%. video substitution numbers doubled, but some of the investment returns have not been great. they got out of some other investments but the ipo's they are backed have not done well. china literature down 37%. ramy: stay with us, because we will bring in krane fund advisors managing partner mark schlarbaum. tencent, you heard revenues were diminishing. just a few years ago, they took down to 40%.e, now could be get back to the environment? mark: i believe we can. with a regulatory backdrop we're seeing now, it has pushed back revenue for some unknown. of time -- for some unknown period of time. ofy have a large pipeline mobile games, which they are switching over to from the legacy see games -- pc games and those will start to monetize soon once a regulatory environment works itself out. they also have or they will asng public tencent music well and that could be a pop

market, whether the food delivery space or pdp in social shopping and they say, we can hook into the wechatsaging app or if you are alibaba, our amazon style shopping site and the two companies are partnered in a way that makes them linked. it is a way to build market share and move more money in a way that doesn't necessarily create worries about concentration of power. jason: if those relationships go away, the company is in potentially big trouble. jeff: that is what the startups keep warning about. in the case of china's number two largest search engine, 52% of the traffic is coming from alibaba and tencent firehose. they kind of can't extricate himself from the partnerships they have developed. in fact, the company themselves would comment to our reporter in many cases. they said we are deepening our partnership. taylor: when you were looking through the filings, how far back did it go? is this a recent trend and are the numbers getting bigger overtime? jeff: it has definitely taken off over the last few years. google is the best example in the u.s. of a giant tech company that tends t

messaging and wechat continued to grow in popularity and user numbers.lmost 10% to 1.06 billion. shares in tencent have been subject to significant selling pressure in the last four sessions hong kong shares have lost more than 10%, and $45 billion in market cap it comes as regulators blocked the blockbuster game less than a week after its release this comes as the state administration of radio and tv has not issued a new gaming license since march. tencent has no idea when the formal approval process will resume several brokerages have cut their outlook on tencent >>> beijing announced a fresh round of trade talks with the united states for later this month. a chinese delegation will travel to washington in the latest attempt to reduce tensions between the two countries. china's commerce ministry said beijing would not accept unilateral pleasures but welcomes dialogue. >>> president trump is preparing an executive order that would strengthen requirements on the u.s. government to purchase materials and services from american firms four administration of

both beadsowder are marketed on social media sites like baidu and wechat. chinese officials denied elephant family's report, responding via state media that "the amounof elephant skin imported into china is very limited."at under intenal law, countries are allowed to import elephant skin from four africani s. but trading of asian elephant in any form is prohibited, except in rare cases. to thwart potential sales of these new products in the u.s. japan or other popular destinations for elephant parts, the smithsonian, u.s. fish and wildlife and groups working in myanmar are mang public service announcements. >> most people that purchase these products have no idea what they're doing. we need to go to the places where the markets are and educate consumers about how damaging the impact is of what they're doing. >> reporter: if this killing spreads, it could threaten the 50,000 asian elephants left in the wild overall. liemgruber said the key is reducing market demandtsor these prodbefore these animals are all gone. for the pbs newshour, i'm nsikan akpan. >> br