Posts Tagged ‘chinese government’

Q2 sees China’s Online Game Revenue jump 40 percent to $906 million

Wednesday, October 14th, 2009

Perhaps it’s just simply a matter of timing, but recent figures from research firm Analysys International arrive hot on the heels of the Chinese Government’s announcement that they’re banning foreign investment, or ‘influence’ in the domestic online gaming market. Their recent report indicates that the Chinese online gaming market grew 39.5 percent year over year in Q2 2009 to a massive 6.18 billion yuan, or approximately $906 million.

W020090123324470898658Coming out on top was popular online messaging platform Tencent Holdings. While the company’s QQ messenger is still the primary driver for Tencent, they also operate a number of free-to-play games in the Chinese domestic market. In this Q2 report, Tencent managed to carve out 20.2 percent of market revenues totaling 1.24 billion yuan (~$182 million).

Taking the number 2 Q2 spot was Shanda Games, the recent spinoff from Shanda Interactive Entertainment, which pulled down 20 percent of market revenues with a revenue total of 1.23 billion yuan (~$180 million).

Rounding out the top three, NetEase.com, the recent winners of the highly lucrative Blizzard/Activision World of Warcraft operators license in China managed a healthy 12.7 percent of Chinese domestic market share. While only culling 780 million yuan (~$114 million), in Q2, it’s important to remember that NetEase.com has been through the ringer with Chinese regulators regarding the support levels that Blizzard would fill in the contract.

If these Q2 numbers are any indication, it seems like Niko Partners, who made projections and put some numbers to the page back in May of this year, are right on track. Their report indicates that by 2013, the Chinese online gaming market should reach an annual revenue number value of $8.9 billion. While the market shows no signs of slowing, in fact these numbers clearly indicate a continued growth, it will be interesting to see how the governments’ recent decision to pull the plug on foreign investments in the domestic gaming will effect this growth, and associated revenue streams, if at all.

 

China says “Take the Canoli, Leave the Mafia Games”: Official ban on Mafia-esque games

Thursday, July 30th, 2009

Sure, we’ve all read the reports about the runaway surge and success of the online and mobile ‘mafia’ type games and applications that are attracting record numbers of users on a daily basis, but it looks like it’s not all about the fun and games. At lease the Chinese Ministry of Culture doesn’t see it that way.

china-flagIn a statement released on Tuesday, the Chinese Government has officially banned websites from “running, publishing, or offering links to online games featuring mafia-like gangs.” The government is also threatening “sever punishment” for anyone violating the ban.

Again, if you’ve not already been asked to join so and so’s mob, ‘mafia’ type games involve virtual world simulations of gang mentality and actions. The way the Chinese Government sees it, these games “advocate obscenity, gambling, or violence,” and “undermine morality and Chinese traditional culture.”

The government has issued, in no uncertain terms, that internet operators of said titles should stop running, promoting, or offering links to these (now) “illegal” games immediately. In a show of “we’re not kidding” the Chinese Government has appointed law enforcement officials to step up their oversight of these activities, and inflict harsh penalties and punishment upon anyone caught offering links to or promoting Gangster/Mafia type games. “These games encourage people to deceive, loot and kill, and glorify gangster life. They are a bad influence on youngsters,” says the government statement.

Three of China’s go-to gaming destinations immediately pulled their mafia offerings as of Tuesday. Kaixin.com’s “Godfather”, mop.com’s “Jianghu” (gangster community), and xiaonei.com’s “Guhozai” (young and dangerous guys) were removed, with little to know warning to active players.

Naturally, the immediate removal of these games has set off a barrage of comments ranging from “It’s totally irresponsible” to “I just stole 3 million yuan in the game when the website suddenly went blank. I just can’t take it!”

With these gang type games being replicated by countless app and online developers, the removal of the Chinese market can only be seen as a major setback. Granted, this removal probably isn’t going to break the bank for major mafia type game producers such as Zynga’s Mafia Wars or Playmesh’s iMafia, but smaller developers may now have to refocus or re-develop their apps with this recent Chinese ban in mind. To that I say – is that necessarily a bad thing? With the market flooded with these types of games, perhaps this ban is just what some studios need to start working on ‘the next big thing’.