Tencent Holdings Ltd. is making “constructive” progress in talks with Apple Inc. over how to share revenue from mini-games on its WeChat app, a development that could reshape China’s mobile gaming landscape, reports Caixin. “We have been discussing with Apple how to build a more active mini-game ecosystem, and we are constructive about the progress so far,” Tencent President Martin Lau said during the company’s third-quarter earnings call Thursday. “There will be a formal announcement in the future.”
Market rumors last August suggested Apple was pressuring Tencent to close loopholes that allowed users to make payments outside its system. At the time, Tencent said it was negotiating with Apple over fee arrangements for mini-games on iOS.
Lau’s remarks hint at a potential resolution to the longstanding dispute over Apple’s 30% commission—widely known as the “Apple tax”—on in-app purchases, a policy that has sparked friction with superapps like WeChat that rely heavily on in-game transactions and advertising revenue. Mini-games, which have proliferated within ecosystems like WeChat and ByteDance Ltd.’s Douyin, typically monetize through in-app purchases and advertising.