The Shift in AI Competition: From Technical Specs to Delivered Value

At the recent Tencent Global Digital Ecosystem Summit, Dowson Tang, Senior Executive Vice President and CEO of Tencent's Cloud and Smart Industries Group, shared his insights on the evolving AI landscape. He highlighted a fundamental shift in the industry's focus.

The New Metrics That Matter

Tang described the early phase of AI competition as the "first half," dominated by comparisons of model parameters and benchmark scores. The industry has now entered the "second half." Here, the central question is no longer "how powerful is the model?" but "what tangible benefits does using AI bring?"

The criteria for success have consequently become more practical and commercial:

  • Token Consumption: A direct indicator of how frequently and dependably AI tools are used.
  • Return on Investment: Enterprises prioritize measurable outcomes like cost reduction or efficiency gains.
  • User Retention: This proves whether a product genuinely solves problems and creates lasting value.

Tencent's AI Products and Open Strategy

Aligning with this market perspective, Tencent is implementing its AI capabilities into concrete products, adopting a distinctly open approach.

The Workplace-Centric Assistant

Take "WorkBuddy" as an example. Positioned as a personal AI assistant for workplace scenarios, its defining feature is a commitment to full-stack openness. Not only can the underlying model be chosen flexibly—supporting integration with mainstream models like DeepSeek and Kimi or a company's privately deployed model—but its agent framework and data interfaces are also open. Tang emphasized that Tencent's true competitive edge lies not in a single model but in foundational capabilities such as complex task orchestration, long-term memory management, and advanced document processing.

Integrating Enterprise Workflows

To embed itself deeper into business environments, Tencent launched the "BuddyOne" platform. It aims to break down data silos between office applications, seamlessly integrating document processing, online meetings, WeCom, and cloud storage to deliver a unified, AI-enhanced work experience. Meanwhile, the "ADP" system handles enterprise-side management and control, governing model call protocols and granular permissions to ensure security and compliance.

Commercial Logic and Global Infrastructure Expansion

Tencent's path to commercialization is cautious and clear. Tang stated that decisions to sustain investment in any AI product or scenario will strictly depend on the "sustainable user value" it creates and the "genuine willingness to pay" demonstrated by the market. Products must pass market tests and achieve a healthy business cycle.

The Dual-Track Approach to Computing Power

To support AI development, Tencent employs a flexible "self-built and leased in parallel" strategy for computing power. This ensures stability and control for core operations while allowing rapid response to fluctuating demand, optimizing overall cost structure.

Cloud and AI for Globalizing Enterprises

Parallel to its domestic business is Tencent Cloud's rapid international expansion. Recent additions include availability zones in Southeast Asia (Malaysia, Indonesia, Thailand), the Middle East (Riyadh), with plans to expand in Europe (Frankfurt, France) and Latin America (Mexico). The core objective is to closely follow Chinese companies expanding overseas, packaging and exporting cloud services and AI capabilities refined through domestic experience to provide digital solutions for global businesses.