Chinese e-commerce giant Alibaba has invested 750 million euro in Wasu Media Holding, which gives it a 20 % stake in the company. The move is Alibaba's next step towards digital content.
Jack Ma, Alibaba's founder, has invested 6.54 billion yuan (750 million euro) in Wasu Digital TV Media Group, alongside several partners. Together, they have signed a cooperation agreement to create online content and internet television.
"Alibaba and Wasu Group are optimistic about the future development of China's media industry and will support each other in areas such as original content development, video communication, games, music, education, cloud computing, big data, as well as other areas of future exploration and investment in the media industry", Alibaba told Reuters.
20 million subscribers
Alibaba's investment in Wasu Media means it can now access 20 million subscribers, while Wasu also has an internet TV license from the Chinese government and that is exactly what Alibaba will use it for: to distribute digital entertainment content.
Alibaba had already worked with Wasu to develop its set-top box that connects televisions to the internet. The box also has several Alibaba services on offer, like an easy access to Alibaba's online shopping centre, Tmall.com.