Tencent Blacklisted by US DoD

L

Lakados

[H]F Junkie
2FA
Joined
Feb 3, 2014
Messages
13,968
Grab some popcorn this will get interesting.
https://public-inspection.federalregister.gov/2025-00070.pdf
1736286782872.png


It may be a mistake and they aren't supposed to be there, it wouldn't be the first time a company made the list to be later removed but still.
 
Interesting.

Since when is Tencent a military company?

Or are they suggesting that Tencent uses its software to benefit the Peoples Liberation Army Military Intelligence?

Certainly makes sense that they would.

I'm a little rusty on Tencent. What do they sell over here again? I tend to think of them as a Chinese games company mostly for the Chinese market?
 
Tencent stakes in video game developers:

Digital Extremes (Warframe) = 100%
Funcom (Dune IP) = 100%
Sharkmob (WH40K Darktide) = 100%
Grinding Gear Games (Path of Exile) = 80%
Epic Games (EGS, Fortnite) = 40%

Tencent says the inclusion on the list is a mistake, and since they are not a military company nothing that can be applied in its inclusion on the list will affect their business.

https://www.videogameschronicle.com...s-government-blacklist-is-a-misunderstanding/

“As the Company is neither a Chinese military company nor a military-civil fusion contributor to the Chinese defense industrial base, it believes that its inclusion in the Chinese Military Companies (the “CMC List”) CMC List is a mistake,” Tencent said.​
​
“Unlike other lists maintained by the U.S. Government for sanctions or export control measures, inclusion in the CMC List relates only to U.S. defense procurement, which does not affect the business of the Group.​
​
“The CMC List is also distinct from the Non-SDN Chinese Military-Industrial Complex List (NS-CMIC List) maintained by the U.S. Office of Foreign Assets Control, and inclusion in the CMC List will not prohibit any persons (other than the Department of Defense) from business dealings with the Company, including transacting in the securities of the Company.​
​
“The Company intends to initiate a Reconsideration Process to correct this mistake. During the process, it will engage in discussions with the U.S. Department of Defense to resolve any misunderstanding, and if necessary, will undertake legal proceedings to remove the Company from the CMC List. The Company will make further announcement(s) as and when appropriate.”​
 
Zarathustra[H] said:
Interesting.

Since when is Tencent a military company?

Or are they suggesting that Tencent uses its software to benefit the Peoples Liberation Army Military Intelligence?

Certainly makes sense that they would.

I'm a little rusty on Tencent. What do they sell over here again? I tend to think of them as a Chinese games company mostly for the Chinese market?
Click to expand...
Tencent has a similar Datacenter presence to Amazon and Microsoft, the 3 of them all bounce off each other for being the worlds largest cloud provider.
Tencent has massive compute centers doing god only knows what, the idea that there may be Military services hosted there would not be out of the question.
I mean Google and Amazon do have some US Military contracts why would Tencent not have some of their own?
 
So much for my POE 1/2 gaming this year.....
I guess I will write my congressman.
 
Zarathustra[H] said:
Interesting.

Since when is Tencent a military company?

Or are they suggesting that Tencent uses its software to benefit the Peoples Liberation Army Military Intelligence?

Certainly makes sense that they would.

I'm a little rusty on Tencent. What do they sell over here again? I tend to think of them as a Chinese games company mostly for the Chinese market?
Click to expand...

Any company in China is tied directly to the government, if they demand something be done its going to get done. There is no separation between public, private, military, gov, etc.
 
Zarathustra[H] said:
Agreed.
Click to expand...

I'm sure this has to do with the massive collapse of the Chinese economy going on right now. The government has started confiscating peoples bank accounts, its getting really ugly. I think the DoD is trying to hedge against possible issues and gamers might get caught in the crossfire. Only time will tell.
 
LigTasm said:
Any company in China is tied directly to the government, if they demand something be done its going to get done. There is no separation between public, private, military, gov, etc.
Click to expand...
I was about to say the same thing: from what I understand, EVERY corporate entity in PRC is majority owned by CCP. which means any company from China is an extension of the government.

As much as I don't like the whole "Red Scare" mentality, I am pretty tired of western companies so quickly pandering and selling themselves to authoritarian regimes for a quick dollar.

But then again, a free market demands non-free parties participate, lest it not be truly free.

In other words, if we restrict private businesses from who they can and can't sell their business to, are we really in a free market?
 
KazeoHin said:
In other words, if we restrict private businesses from who they can and can't sell their business to, are we really in a free market?
Click to expand...

This is why I don't believe in absolutes. Fully unfettered capitalism leads to just as bad outcomes for people as fully planned economies.

The secret sauce is striking the correct balance between oversight and freedom, and where that line should be drawn is where most people differ.
 
LigTasm said:
Any company in China is tied directly to the government, if they demand something be done its going to get done. There is no separation between public, private, military, gov, etc.
Click to expand...
Didn't Intel just fire their CEO cause the US gov said so?
Just checking. lol
 
ChadD said:
Didn't Intel just fire their CEO cause the US gov said so?
Just checking. lol
Click to expand...
Everything suggests he quit.
The board supposedly wanted to shed the fabs, Pat disagreed and said they needed to divest other assets and double down on IFS.

They couldn’t agree then Pat walked.

Then the US Government kindly reminded the remaining Intel board that selling the fabs was a no go and they needed to get their shit in order.

Pat quitting was a long time coming though, he’s been butting heads with them for the last year and change.
 
Lakados said:
Everything suggests he quit.
The board supposedly wanted to shed the fabs, Pat disagreed and said they needed to divest other assets and double down on IFS.

They couldn’t agree then Pat walked.

Then the US Government kindly reminded the remaining Intel board that selling the fabs was a no go and they needed to get their shit in order.

Pat quitting was a long time coming though, he’s been butting heads with them for the last year and change.
Click to expand...

Well I hope you know I was joking.
On the other hand I also call BS on that story. Pat has been clear he was planning to split the fab off for a long time. Sure sure the Gov reminded the board after Pat left that they would not be cool with that. I'm sure they said nothing at all prior to Pat "quitting". ;)

As much as I was joking my point stands. The US gov has all but privatized a bunch of "key" tech companies. They do it essentially the same way the Chinese do end of the day. They make themselves the tech companies largest customer, they then use a combo of that leverage and laws regarding investment and ownership % to steer those companies as they see fit.

About the only difference really is if a Chinese company doesn't play ball the CEO goes on a vacation in which they turn their phone off and no one sees them for a few months. Actually has anyone seen Pat in public lately? lol :)
 
You must log in or register to reply here.
Back
Top