Tencent slows capex as GPU shortages bite, even as revenue climbs

Tencent is easing back on capital spending after admitting it can’t secure the volume of GPUs it wants for AI expansion. Executives said supply constraints will push capex even lower, despite rising demand from cloud customers seeking accelerators the company can’t always provide. Yet revenue and profit continued to climb in Q3, suggesting Tencent is leaning on efficiency gains and homegrown chip progress while it waits out China’s tightening AI hardware supply chain.