As far as i'm concerned, even if it causes a massive hit to gaming/social media/etc, EVERY country and company SHOULD cut ties with communist China PRONTO!
Suck it commies! No world shall be beyond his rule; no enemy shall be beyond his wrath!
Tencent is just a funnel for cash to the Communist Chinese Party which is actively trying to destabilize and destroy America. It should be Banned all of it outright. Which leaves a opening for other gaming companies and those in the entertainment/social media to grow in that opening.
If only the EU had some kind of general data protection regulation act so they could ban China. Oh wait, the EU has that, but uses it to go after small companies instead.