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Tencent Unveils AI Platform, Eyes Middle East Expansion at Global Digital System Summit  

Tencent’s logo is displayed at its pavilion at the China International Fair for Trade in Services in Beijing, China. (Reuters)
Tencent’s logo is displayed at its pavilion at the China International Fair for Trade in Services in Beijing, China. (Reuters)
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Tencent Unveils AI Platform, Eyes Middle East Expansion at Global Digital System Summit  

Tencent’s logo is displayed at its pavilion at the China International Fair for Trade in Services in Beijing, China. (Reuters)
Tencent’s logo is displayed at its pavilion at the China International Fair for Trade in Services in Beijing, China. (Reuters)

Chinese technology giant Tencent has announced the global rollout of new scenario-driven artificial intelligence (AI) capabilities, aiming to help enterprises improve industrial efficiency and accelerate international expansion.

The announcement came Tuesday at the Global Digital System Summit 2025, held on September 16 and 17 at the Shenzhen World Exhibition and Convention Center.

During his keynote, Dowson Tong, Senior Executive Vice President of Tencent and CEO of its Cloud and Smart Industries Group, said: “Practical applications of AI drive business efficiency, while international expansion unlocks new growth opportunities. The solutions we launch today will empower enterprises on their journey toward intelligence and globalization, ensuring sustainable and scalable growth.”

At the summit, Tencent Cloud unveiled its Agent Development Platform 3.0, enabling companies to create autonomous AI agents and integrate them into operations such as customer service, marketing, inventory management, and research. The company also introduced its Agent Runtime infrastructure, designed to provide a robust environment for developing and deploying these agents.

Tencent expanded its SaaS+AI suite, adding advanced office collaboration tools. These include AI Minutes within Tencent Meetings, which recorded 150% year-on-year growth, and Learn Share, now used by more than 300,000 clients with a 92% accuracy rate. Another highlight was Code Buddy, an AI programming tool that cuts coding time by 40% and boosts R&D efficiency by 16%.

The company also launched new models in its Hunyuan 3D series, offering advanced 3D content generation for media and gaming. With more than 2.6 million downloads on Hugging Face, Hunyuan has become the most widely adopted open-source 3D model series.

Over the past year, the Hunyuan ecosystem has expanded with more than 30 models, including translation tools covering 30+ languages, as well as image, video, and 3D content generation tools.

Expanding global footprint

Tencent Cloud reported that its international customer base has doubled in the past year, with double-digit growth across Asia over the last three years in markets such as Hong Kong, Southeast Asia, and Japan. More than 90% of China’s leading internet companies and 95% of its top gaming firms now rely on Tencent Cloud to power their overseas growth.

Day one of the summit featured discussions with global partners including UAE-based e&, Indonesia’s Dana, GoTo Group, and MUFG Bank (China). Executives highlighted the importance of adopting AI and cloud solutions to drive global competitiveness.

Tencent also announced a series of new partnerships across Asia-Pacific, the Middle East, Europe, and North America. Notably, it revealed plans to invest $150 million in its first Middle East data center in Saudi Arabia, while building a third data center in Osaka, Japan, alongside a new regional office.

Alongside its technology push, Tencent plans to raise about $1 billion by issuing offshore yuan-denominated “dim sum” bonds in three tranches (5, 10, and 30 years). Initial price guidance stands at 2.6%, 3.0%, and 3.6% respectively, targeting non-US investors.

The company continues to spend heavily on AI, though at a moderated pace. After capital expenditures of 36.6 billion yuan ($5.14 billion) in Q4 2024 and 27.5 billion yuan in Q1 2025, spending fell to 19.1 billion yuan in Q2. Tencent has told analysts it will adopt a more cautious approach to ensure long-term profitability from its AI initiatives.

Rival Alibaba recently raised $3.2 billion through zero-coupon convertible bonds to fund international growth and cloud expansion. Around 80% of those proceeds will be directed toward new data centers, technology upgrades, and improved cloud services.

Today, Tencent operates 55 data centers across 21 markets, supported by nine international technical hubs in Asia, Europe, and the Americas.

The company has also released international versions of key products, including Code Buddy and Cloud Mall, while its EdgeOne security and acceleration platform has gained more than 100,000 global users within three months of its latest update, reducing website deployment times from a full day to just one minute.

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Business

Cooler Housing Prices Restore Balance to Saudi Real Estate Market

Residential units in Saudi Arabia. (SPA)
Residential units in Saudi Arabia. (SPA)
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Cooler Housing Prices Restore Balance to Saudi Real Estate Market

Residential units in Saudi Arabia. (SPA)
Residential units in Saudi Arabia. (SPA)

A cooling in Saudi Arabia’s residential property prices signals a notable shift toward a more balanced and sustainable phase after years of rapid gains, according to official data.

Figures from the General Authority for Statistics showed the real estate price index fell 1.6 percent year-on-year in the first quarter of 2026, driven by declines in the housing segment. The drop points to a natural price correction that is improving market efficiency and aligning values more closely with actual demand.

While the residential sector is leading the adjustment, other segments have shown resilience, reinforcing perceptions of a maturing market better able to absorb economic shifts.

Analysts told Asharq Al-Awsat the decline could support higher rates of first-time homeownership by making properties more affordable, noting that supply continues to outpace demand. They expect further easing in the near term.

Real estate specialist Khalid Al-Jasser, chairman of Amaken International Group, told Asharq Al-Awsat that decisions by Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince and Prime Minister, had direct and indirect effects on the sector, contributing to the downturn as part of broader market regulation.

Measures include tighter controls on undeveloped land, curbs on speculation, and policies encouraging genuine homeownership over speculative investment. Higher financing costs and expanded housing supply — supported by government and private projects — have also weighed on demand.

Programs such as “Sakani,” which offers state-backed financing and direct support, have helped broaden access to housing and increase competitively priced options, Al-Jasser said.

He added that prices are now closer to fair value, with relatively lower mortgage payments than in previous years, improving affordability and reducing long-term financial risk. He expects prices to stabilize with balanced growth rather than sharp increases, supported by major projects and a shift toward quality over quantity.

The decline could also help ease inflationary pressures in the Kingdom, he stated.

Residential prices fell 3.6 percent annually in the first quarter, with residential land down 3.9 percent, villas dropping 6.1 percent and apartments declining 1.1 percent. Floor units bucked the trend, rising slightly by 0.6 percent.

By contrast, commercial and agricultural real estate posted gains. The commercial sector rose 3.4 percent, supported by increases in land and building prices, though showroom and retail shop prices fell 3.5 percent. Agricultural real estate surged 11.8 percent, driven by higher farmland prices.

Regionally, price trends varied widely. The Eastern Region recorded the strongest increase at 6.9 percent, followed by Najran. In contrast, Al-Baha saw the steepest decline at 9.2 percent.

In major cities, Riyadh prices fell 4.4 percent year-on-year, while Mecca recorded a modest drop of 0.7 percent. On a quarterly basis, the overall index edged down 0.2 percent compared with the fourth quarter of 2025.

Business

After Hundreds of Millions in Investments, Saudi Grocery App nana Faces Survival Test

A nana store. (nana)
A nana store. (nana)
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After Hundreds of Millions in Investments, Saudi Grocery App nana Faces Survival Test

A nana store. (nana)
A nana store. (nana)

Saudi Arabia’s commercial court has opened a new phase in the trajectory of nana, a grocery delivery app, after approving financial reorganization proceedings for its parent company.

According to the government-run “Eisar” insolvency platform, a trustee said the Commercial Court in Riyadh issued a ruling to initiate financial reorganization for Central Markets for Information Technology, the owner and operator of nana. Creditors have been invited to submit claims within 90 days of the announcement.

Founded in 2016 by an entrepreneur and two partners, nana was among the first local grocery delivery apps in Saudi Arabia. From the outset, the company bet not only on entering the delivery market but on a broader shift: that traditional neighborhood grocery stores would decline as consumers increasingly turned to fast digital ordering for everyday needs.

This vision led nana to adopt a “quick commerce” model aimed at minimizing delivery times by establishing small neighborhood fulfilment stores rather than relying entirely on traditional retailers.

The company initially operated through couriers purchasing orders from partner stores, before expanding to run its own outlets. At its peak, nana operated 36 branches, later reduced to 16 as part of operational restructuring and service cuts in some locations.

Geographically, the company expanded to 18 cities across Saudi Arabia and into Cairo, reflecting ambitions for regional growth.

Heavy funding, fast expansion

nana raised about SAR780 million ($211.9 million) across six funding rounds, according to company and investor data. It began with a $2.1 million seed round in 2016, followed by a $2.2 million convertible debt round in 2017. A $6.6 million round came in 2019, then $18 million in 2020 led by STV, a Saudi venture capital fund focused on AI-driven startups.

In 2022, nana secured $50 million, followed by its largest round in 2023 worth SAR500 million, led by Kingdom Holding alongside a consortium of investors. Funding in 2022 and 2023 accounted for more than 85 percent of total capital raised, underscoring the pace of investment alongside operational expansion.

At the time, the company’s chief executive Sami Alhelwah said it aimed to list on the Saudi stock market within two years — by this year — alongside further domestic and international expansion.

Investor concerns mount

Recent developments have raised concerns among retail investors, with social media platforms seeing growing criticism and questions about the company’s status.

One investor wrote on X that he had invested in nana via the Thiqah platform, but had received no updates. “Since investing, there has been no update on what happened to the investment, nor any report explaining the situation,” he said, adding that the platform should be responsible for safeguarding investor rights.

Competitive pressures

As nana expanded, operational challenges emerged. The quick commerce model, while reducing delivery times, significantly increases costs, especially with a growing network of branches and rising order volumes.

At the same time, intensifying competition in the delivery sector has led to sharp price pressure, with companies competing heavily on cost and speed, eroding margins.

nana is not alone in facing these challenges. In 2025, the delivery app Shgardi exited the market after six years, despite completing more than 7 million orders and serving over 3 million customers across 35 cities in Saudi Arabia.

The company cited “price burning” — aggressive discounting sometimes below cost — as a key factor behind its closure.

Financial reorganization

Saudi lawyer and commercial arbitrator Mohammed Almuzayen told Asharq Al-Awsat the Kingdom’s bankruptcy law balances business continuity with creditor protection.

He said financial reorganization is not a liquidation process but a legally empowered mechanism to help a debtor reach an agreement with creditors under court and expert supervision, allowing for restructuring rather than market exit.

Under the law, companies facing financial distress can continue operating under oversight from a court-appointed trustee. Article 69 stipulates that management typically remains in place unless there is evidence of negligence or mismanagement.

The process unfolds in two phases. The first runs from filing to court approval and includes a suspension of claims under Article 46, protecting the company from enforcement actions while it prepares a restructuring plan. The second begins after the ruling, with the company operating under trustee supervision in line with Article 57 to implement the plan.

Almuzayen described the procedure as a legal mechanism aimed at restructuring debt and restoring operations, not ending them. The system provides protection from creditor claims and allows companies to continue operating while negotiating a collective settlement.

Rights of retail investors

Individual investors are treated as creditors under the law, he explained.

Once a repayment plan is approved by the court, it becomes legally binding on the company. Creditors are classified into categories to ensure fair treatment, and committees may be formed to represent investor interests and oversee implementation.

The law also imposes strict penalties for violations such as asset dissipation or preferential treatment of certain creditors, including prison sentences of up to five years and fines of up to SAR5 million.

A turning point

With the court ruling, nana moves from a phase of funding-driven expansion into one of court-supervised restructuring.

Once seen in 2023 as a leading quick commerce growth story, the company now faces a different test — one of survival and sustainability.

Its future will depend on the restructuring plan and whether it can rebuild its operating and financial model in a highly competitive market that continues to evolve.

Business

War in Iran Is Causing Biggest Energy Crisis in History, IEA Says

Commercial vessels are seen off the coast of Dubai on April 20, 2026. (AFP)
Commercial vessels are seen off the coast of Dubai on April 20, 2026. (AFP)
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War in Iran Is Causing Biggest Energy Crisis in History, IEA Says

Commercial vessels are seen off the coast of Dubai on April 20, 2026. (AFP)
Commercial vessels are seen off the coast of Dubai on April 20, 2026. (AFP)

The ‌conflict between Iran and the United States and Israel is creating the worst energy crisis ever faced by the world, the head of the International Energy Agency (IEA) said on Tuesday.

"This is indeed the biggest crisis in history," Birol told France Inter radio in ‌an interview ‌broadcast on Tuesday.

"The crisis ‌is ⁠already huge, if ⁠you combine the effects of the petrol crisis and the gas crisis with Russia," he added.

The war in the Middle East has choked up maritime ⁠traffic in the Strait of ‌Hormuz, which ‌is a conduit for a fifth ‌of global oil and liquefied natural ‌gas flows.

It has also come on top of the effects of Russia's war with Ukraine, which had already ‌severed Russian gas supplies to Europe.

Birol had said earlier ⁠this ⁠month that he viewed the current situation in global energy markets as worse than previous crises in 1973, 1979 and 2022 combined.

In March, the IEA agreed to release a record 400 million barrels of oil from strategic stockpiles to combat rising oil prices caused by the US-Israeli war with Iran.