Ant Financial Services Group, the internet finance arm of Alibaba, said on Thursday it is investing significant amounts to be able to provide virtual, cash-filled red envelopes via its Alipay Wallet application, for the upcoming festival on 8 February; however, the exact amount of investment has not been revealed. The use of these red envelopes became prominent during last year's Spring Festival, when Alipay's rival, WeChat pay, took advantage of the occasion to offer the service. Reports suggest that as well as the cash-packed envelopes income, the annual push is as much about control of China's rapidly growing mobile payments market, with both companies hoping their red envelopes will act as bait to secure new mobile payment users. WeChat also said that it would invest hundreds of millions of yuan in its red envelope campaign.
Ant Financial Services Group, the internet finance arm of Alibaba, said on Thursday it is investing significant amounts to be able to provide virtual, cash-filled red envelopes via its Alipay Wallet application, for the upcoming Spring Festival on 8 February; however, the exact amount of investment has not been revealed. The use of these red envelopes became prominent during last year's festival, when Alipay's rival, WeChat pay, took advantage of the occasion to offer the service. Reports suggest that as well as the cash-packed envelopes income, the annual push is as much about control of China's rapidly growing mobile payments market, with both companies hoping their red envelopes will act as bait to secure new mobile payment users. WeChat also said that it would invest hundreds of millions of yuan in its red envelope campaign.