Many of you would have already noticed that the term BAT is now rarely used. An acronym for Baidu, Alibaba, Tencent – BAT was used to denote the biggest internet companies in China that dominated the country’s tech market.
Instead, ATM is now trendy. M means Meituan-Dianping, the company whose market cap is now HK$510.4 billion (US$65 billion), far ahead of Baidu’s US$36.5 billion at closing last Friday.
It seems Meituan not only squarely beat Baidu in food delivery – but now has completely overtaken the former champion, who is struggling with its AI initiatives.
We have written a number of blog posts about Meituan:
Former Meituan COO shares how to build a good sales team
Are Meituan and co responsible for China’s demographic crisis?
IPO and overseas expansion: nightmare for Groupon but a start for Meituan
Why Fave will never match up to Meituan
How Meituan survived the war against 1000 competitors?
Meituan vs. Didi: China’s ride-hailing war II
Baidu loses its search boss, what’s next?
Baidu’s lost decade in international markets
Baidu exits Brazil?
Was Lu Qi purged from Baidu? We find this theory interesting
Baidu shakes further, which is good news for AI startups
Why Baidu fell behind Alibaba & Tencent (and what can be done about it)
Not end of the story
Last year, people used MDT to denote rising stars – Meituan, Didi & Toutiao. Didi is now struggling after a few incidents last year, while Toutiao has morphed into ByteDance, last valued at US$75 billion.
The owner of Tik Tok and Lark, ByteDance is often seen as a serious threat to Tencent’s dominance over social, gaming and entertainment in China.
Just when you think the game is over, the market always surprises you.
Good that BAT Capital, a Southeast Asia focused fund, has since morphed into ATM Capital, well in anticipation of the tectonic shift.
Thanks for reading The Low Down (TLD), the blog by the team at Momentum Works. Got a different perspective or have a burning opinion to share? Let us know at [email protected].