Tencent Video and iQiyi have just over 530 million monthly active users each, according to Questmobile data cited by Jefferies analysts Karen Chan and Ken Chong said in a May 10 report.
He said a movie that does well in theaters and online doesn't need costly wide-range shots or special effects, since the value of such features would be less apparent on smaller screens. What is most important for a dual-format movie, according to Gong, is a strong lead actor, who can then make ordinary street and office settings appear more vibrant.
In addition to raising $2.25 billion at its IPO last March, iQiyi has since held two convertible note offerings, for a total raise of about $4 billion. The company is set to report first-quarter results this Thursday.