Advertising on Weixin properties, which contribute over half of our total advertising revenue, outgrew the overall ad business.
微信广告占据腾讯广告的半壁江山，万万没想到的So, on the game business, not to be pedantic, but we feel very strongly that what you referred to as old games are, in fact, evergreen games. And if you look at our game portfolio, many of the biggest, most successful titles, including Honour of Kings, League of Legends, CrossFire, CrossFire Mobile, Peacekeeper Elite, PUBG Mobile, Arena Breakout, are competitive games, often team-based competitive games that are designed to be balanced, fair, and playable for years or for decades.
培育常青游戏You know, players responded to that appealing content by investing, in some cases, more time and, in other cases, more money or both. And the more money translates into more gross receipts and, therefore, more revenue. In terms of whether there were special promotional campaigns, you know, we always promote the virtual outfits. I think, over time, we've become progressively better at promoting the right virtual outfits at the right time of the calendar year.
So, the business has become more akin to luxury goods. And that there are certain virtual outfits we promote to tie into the Lunar New Year. There are others we promote tie into the May Day holidays, into the summer period, and so on and so forth. But that's an ongoing trend as opposed to a single-quarter phenomenon.
洞见，游戏皮肤，仔细想想确实是像奢侈品一样的生意，但差异点在于奢侈品在低成本+高单价，而游戏皮肤是低成本+低单价（但同时有极多的COPY走量）As you know, cloud only represents a mid-single-digit percentage of our total revenue. You know, within that, the price cuts only apply to infrastructure as a service, which is a subset of that mid-single digits. And then even within infrastructure as a service, if you look at the price cuts that have been widely announced in the industry in recent weeks, they apply to long-term prepaid contracts, and those long-term prepaid contracts are generally entered into by small- and medium-sized businesses, but not by larger enterprises. So, you know, this is an industry where, over time, the input costs of servers and bandwidth and so forth are generally falling and it makes sense that the participants in the industry pass on those falling input costs into falling pricing to their customers.
云的这一轮降价，是基于近几年服务器与带宽综合成本下降，带来的定价端的下降，是行业正常现象，不是亏钱争夺市占率And then in terms of applications, I think there will be a lot of different applications. Overall, the user-to-machine interactions, in particular, search and information generation, and those type of applications would actually be more disruptive. And at the same time, there will be more of a rush of applications appearing in those use cases. So, general search, vertical search, in terms of content aggregation, a lot of these kind of applications would see new disruptors coming into play.
人──>机器交互领域，AI大模型的冲击会更大So, thank you for the question, Charlene. The competitive landscape for the acquisitions of game companies outside China has been fairly stable for the past few years. And while there are a number of companies that are acquisitive in this space, often their objectives do not overlap with our objectives, meaning they may be companies with a big console installed base and they're trying to acquire game studios to supercharge that console installed base, or they may be companies which are valued on near-term earnings and they're trying to bolt on additional earnings, versus in our case, we're not married to any single hardware device. And so, we've been acquisitive with mobile game studios, acquisitive with PC game studios, periodically active with console game studios as well.
And in addition, we're very willing to look forward three or five or seven years when we do these investments in acquisitions. And so, it's often the case that we're looking at a company that has released a successful niche game the previous year, and we know for a certainty that that company's revenue will be declining for the next couple of years because it will be digesting the success of the first game. And in many cases, we know the company will be loss making for a period of time because we're scaling up the team to work on a much bigger sequel, but we don't get to have the bigger revenue from the bigger sequel, and, you know, that fits us. It doesn't fit everyone.
专注于游戏内容本身而不是游戏硬件；游戏工作室的收购基于后续的游戏内容Well, in terms of the revenue position, we won't be super specific, but Weixin, as we said, is the majority. Within that, Moments is historically the largest contributor. Mini programs and official accounts are substantially smaller and roughly similar to each other. And video accounts have sort of leapfrogged over mini programs and official accounts because there's a lot of inventory in video accounts, and that's very high revenue per 1,000 impressions in video accounts.
You know, outside Weixin, then the biggest set of properties is the mobile ad network, which has had quite a pronounced bounce back in the last six to nine months. And then beyond that, there's a drop off to the long-form video, music, news, and some smaller properties around QQ and Qzone. So, that's the composition. In terms of the margin profile, then basically, all of the owned and operated properties, with the exception of long-form video, are high gross margin, versus long-form video and the ad network are inherently much lower gross margin.
──原来朋友圈广告这么赚钱......So, on games, I'm not necessarily going to answer your question because we don't provide guidance as to where the revenue lines are accelerating or decelerating beyond observing that, firstly, the strength in the first quarter was partly due to what I referred to as evergreen games, but we also saw very good growth from a number of games released in the last one to two years. And it's often the pattern with us that when the quarter we release a game, it generates relatively little monetization. And of course, that monetization doesn't translate into our P&L because of our deferral policy. But then, over subsequent quarters, if it's a good game, we see the monetization improving, we see the revenue -- the deferral starting to flow through into reported revenue.
If it's a really good game, we see the daily active user count increasing. And so, recently, a number of games have fit that profile, including the Arena Breakout, which is the leading extraction shooter game in China, where we've seen good growth in DAU and in monetization as players become familiar with this new type of game that didn't exist before. We've seen very good growth in terms of both users and monetization from the auto chess game, Golden Spatula, that has over 10 million daily active users, which is, you know, rare for a new game in China and very rare for a game to build to that level over the course of two years as opposed to it gets that level very quickly and then fade away. And also quite good trends in the first quarter for our League of Legends: Wild Rift mobile game.
Now, obviously, looking through the rest of this year, we have a number of big games that we intend to release domestically that we're excited about. But again, with some of those games, they'll monetize well from day one. With others, they'll monetize more gradually over time. Thank you.
所以游戏这里的思路是：不一定在游戏刚推出时就拼命获利，有些游戏如此，有些游戏是先走DAU增长再获利So, in terms of the big e-commerce companies advertising with Tencent, then we're certainly experiencing share gains. I think that those share gains arise for a number of reasons. One is changing perceptions about sort of ecosystem competition, meaning that in the past, there were some companies that chose not to advertise with us because they viewed us as an ecosystem rival, and they may have reassessed that perspective over time.
And then secondly, we're deploying much more sophisticated machine learning now to our advertising targeting that is particularly beneficial for big e-commerce companies with gigantic range of SKUs because now we can ingest those SKUs and then display the right SKU to the right user within the e-commerce companies' advertisements. So, that's on the e-commerce companies advertising with us.
──朋友圈广告直跳淘宝But in none of those do we need to spend a great deal of extra money to make them more popular. You know, we aren't incurring gigantic subsidies on providing community group buying food solutions. We aren't inducing users who would otherwise be on another short video service to install video accounts and spend time on video accounts instead. You know, we're just providing what we think are very attractive and somewhat differentiated experiences to users within our big apps, particularly Weixin, and letting users -- over time, you discover those, enjoy those, socialize those, and spend more time and ultimately more money on those.
So, I don't think that we're in a sort of nongrowth mode and, you know, at some point in the future, we need to flick a switch and dramatically increase sales and marketing or subsidies to go back to growth mode. I think we're in growth mode right now. It's just that the nature of our growth drivers is that they do not require heavy subsidies, they do not require heavy sales and marketing activity. Thank you.
值得向微信学习如何踏踏实实做产品
不需要大额成本支出的增长，真是非常美妙！