By ZHA Qinjun
China Mobile Capital, a subsidiary of China Mobile, is to acquire 22 percent of the educational resource platform zxxk.com, becoming the third-largest stakeholder.
Earlier this year, China Mobile Investment, another subsidiary, obtained a 10 percent stake in Phoenix Media, the parent company of zxxk.com. China Mobile aims to collaborate with Phoenix Media in 5G technology and big data.
Established in 2004, zxxk.com provides resources to primary and middle schools, encompassing all the subjects. Phoenix Media, an educational publisher, acquired zxxk.com in May 2015 with the goal of driving digital transformation, valuing the platform at hundreds of million dollars at that time. Last year, the platform achieved revenue of 378 million yuan (US$530 million), up 20.2 percent.
Education informatization has emerged as an important competition area, with key players like New Oriental Education and Zuoyebang, along with hardware manufacturers like Huawei and Lenovo, all scenting opportunities.
China Mobile has been making substantial investments in various sectors, but the education industry has not received noteworthy attention until now.
