Tencent Music Entertainment Group's

The revised Anti-Unfair Competition Law, promulgated by the State Council on June 27, 2025, expands regulations concerning digital markets, data usage, and platform conduct. It prohibits improper acquisition or use of data held by other operators through deceptive or circumventive methods and restricts the use of data, algorithms, or platform rules to disrupt competitors' online services. The law extends the scope of unfair competition to include digital identifiers, misleading search practices, fabricated transactions, and false reviews, with increased penalties and liability for online unfair competition and obstruction of investigations. The company faces competition risks related to licensing agreements with content providers, which may be impacted by competitors obtaining licenses on more favorable terms or the termination of exclusive copyright licensing arrangements, potentially lowering competition barriers. The company is pursuing non-exclusive collaborations with upstream copyright holders but cannot guarantee that licenses will remain available on commercially reasonable terms. Compliance with regulatory requirements and maintaining relationships with content providers and industry partners are essential to sustaining competitive advantage.