An accountant by profession, but my knack for Movies and Gaming has never left the soul. Consider myself to be an old soul when it comes to playing games.I have a huge knack for fast cars and that is why i love Forza and NFS series. However i like to take out my frustration by killing zombies in Dying Light. A die heart fan of Call of Duty franchise. Gladiator & The Shawshank Redemption are eternal love and these are just the tip of the iceberg.
This issue has been in news now for a long time. Since last year Chinese authorities have put a complete ban on South Korean developed video games. These South Korean companies have still not been able to acquire any new licenses. Because of this issue, the Gaming Industry In China which is one of the biggest in the world has been very much affected.
Dozens of gaming companies big or small have been largely affected by this. Gaming giant Tencent Holdings Ltd. has been the one facing many difficulties. It has faced a market value loss of over $150 billion from the most peak that they experienced in January.
They have almost lost $15 billion alone on Tuesday after Beijing halted the sales, of the new and one of this year’s most liked and played video game, Monster Hunter World. Some say because of the ban and the legal issues, the Gaming Industry In China and the gamers are very much affected in the short term. Player Unknown Battle Ground (PUBG) and Fortnite are also among the games which have been halted in China previously.
Netease Inc. and Tencent are among the biggest game distributors in China. They have licensed titles from few of the world’s biggest developers. These include Activision Blizzard Inc. and Electronic Arts Inc. in the U.S, Capcom Co. in Japan. Nexon Co. is said to receive 45 percent of its revenue from Tencent alone.
This ban was initially said to be in response to the setup of Terminal High Altitude Area Defense (THAAD) missile defense system. This System was developed in South Korea in view of protection, against any possibility of an attack from the neighbor North Korea. China, on the other hand, saw the collaborated development of the missile system as a direct security threat.
China is also said to have the world’s most stringent approval processes for video games. This is said to be it because they want to have complete control over online content, so they can rule out any dispute in opinion and other ideas that they consider undesirable, also curbing sex and graphic violence.
With that said, Steven Yang of Blue Lotus seems to view positivity for the industry and the company in the future. He said, “We don’t think that the regulation will impact the sector forever, We think that Tencent is still able to break this siege and continue to publish new and popular games.” Let us hope and see what future brings for all.