Question · Q3 2025
Chris Thomas inquired about the 2026 growth drivers for Tencent Music Entertainment's subscription services, including momentum for ARPPU and net additions, potential changes in strategy due to competition (e.g., lower-priced packages), and the goals for SVIP subscriber base and penetration in 2026.
Answer
CFO Shirley Hu explained that 2026 subscription growth will be driven by high-quality content (original productions, IP partnerships, derivatives) and functional privileges (sound quality, customization, AI-powered music creation). She affirmed a multi-pronged membership strategy (freemium, ad-supported, regular, SVIP) to balance user growth and monetization, noting TME's strong monetization efficiency per DAU. Executive Chairman Cussion Kar Shun Pang added that SVIP remains critical, with continued growth in penetration and ARPPU, driven by high-quality content and IP partnerships.
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