China antitrust: Beijing orders Tencent to end exclusive music licensing deals in a first for the country

  • The music arm of the Shenzhen-based company must relinquish its exclusive music rights within the next 30 days
  • Tencent will be able to retain its exclusive deals with independent artists

Interior view of the corporate headquarters of Tencent Holdings in Shenzhen. Photo: Imaginechina via AFP
Tencent Holdings has been ordered to end its exclusive music licensing deals with global record labels within 30 days and has been fined 500,000 yuan (US$77,143) by China’s antitrust authorities, as the country’s most valuable technology company comes under scrutiny for its dominance in the country’s online music-streaming business.

The music arm of the Shenzhen-based company must relinquish its exclusive music rights within the next 30 days, as well as its high prepayments and other copyright fees for music content, according to a statement by the State Administration of Market Regulation (SAMR), the country’s antitrust watchdog agency, on Saturday.

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