Tencent nears deal for smartphone maker in major metaverse push

Tencent has begun talks to buy Black Shark, a niche maker of gaming phones and accessories, according to sources. — Reuters

Tencent Holdings Ltd is nearing a deal to acquire Chinese gaming handset maker Black Shark, a move that could help the tech behemoth further its ambitions for the metaverse, people with knowledge of the matter said.

Tencent has begun talks to buy Black Shark, a niche maker of gaming phones and accessories, according to the people, asking not to be identified as the information hasn’t been made public. The smaller firm, whose investors include Xiaomi Corp, will pivot to making virtual reality headsets for its new parent after the deal, one of the people said.