QQ is a PC-based IM system

the basic IM capability dates from circa 1999

QQ began offering SNS-type features (persistent homepage, as opposed to a more more transient buddy list) in 2005. So, in this sense it parallels AOL which pioneered the quasi-SNS (buddy list) but did not add the persistent homepage and explicit revelation of links (F and/or FoaF) until 2006.

SMS (short messaging service) is hugely popular in China, and the interesting questions center on corporate jockeying around integrating the Tencent QQ PC-based system with the mobile carriers (China Mobile, China Unicom) SMS offerings. The providers of desktop IM (predominantly, but not exclusively QQ) want to hold on to their user base and integrate downward onto the mobile handset. The carriers want to use their hundreds of millions of SMS customers and integrate upward onto the desktop. As the distinction between SMS and MMS and IM and email continues to break down, and as the distinction between computer and mobile (actually both are computers, differing primarily by their keyboards) breaks down, "ownership" of an entrenched user base may be more important than any given technology (as they are all converging on a single presence-informed buddy list with an escalating choice of comms options - IM, SMS, MMS, email, VoIP, videochat...)