# Hy3 Preview

Tencent’s AI Pivot: Balancing Record Revenues with High-Stakes Tech Transformation

Tencent reported a 9% rise in Q1 revenue to 196.46 billion yuan, bolstered by a massive internal pivot toward generative AI. While the company is reinvesting heavily into its Hunyuan model, its core businesses continue to generate the robust cash flow necessary to fund long-term technological dominance.