Continuing its efforts to rebuild its presence in China, Alphabet Inc.’s Google has signed a patent- licensing agreement with the nation’s largest corporation, Tencent Holdings Limited for sharing copyrights of various products & technologies. As per the pact, both the firms will collaborate with each other for developing novel technologies for the future. The deal is expected to be mutually beneficially for both the firms with Google expanding its foothold in China and Tencent expanding its business across the globe.

Industry analysts believe that the transaction between the two organizations is aimed at reducing the patent violations with Google already signing similar agreements with other tech firms such as LG Electronics, Samsung Electronics Company, and Cisco Systems Inc. in the recent past.

Reportedly, the U.S. based tech giant had withdrawn its search engine from China in 2010 bringing an end to the imposition of latter’s self-censorship laws on the former. While Chinese regulatory authorities have blocked most of the Google’s services such as search engine, app store, and email services, it is now trying to re-establish its presence across world’s second-largest economy. Reports have confirmed that Google’s deal with Tencent is a first of its kind with a Chinese technology company.

Google Inc.’s patent head has stated that both the firms can now focus on creating proficient goods & services for their end-users. Over the last few years, Google has been reportedly keen to expand its internet related business across the Chinese market through setting up of an AI research laboratory in the region along with the launching of a new version of its translation application in the new cities of the Chinese mainland. A key official of Google declared that it has already funded Chinese live stream gaming application Chushou, which operates in a similar manner as the former’s YouTube game live-streaming app.

Reportedly, both the firms did not disclose details regarding the products that would be covered by new patent deal.