On 31 January Tencent Music Entertainment, part of China`s gaming and social mediagiant Tencent Holdings, joins Sony Music Entertainment in announcing that they are forming a new music label. The new label Liquid State will be dedicated to promoting electronic and dance music by showcasing Asian DJs. Digital music subscription income in China is expected to more than double from 2 billion yuan ($318 million) in 2016 to 4.7 billion yuan in 2018. Tencent and its tech rival Alibaba emerge as Asia`s biggest investment dealmakers. This raises a challenge for private equity groups and more conventional investment groups who raise money from pension funds, sovereign wealth funds and wealthy family businesses. While tech groups in the USA account for less than 5% of all venture capital flows in their home market, Alibaba and Tencent account for 40-50% of venture capital flows in mainland China.