The
$10 billion would make Timi the world's largest developer, the
sources say, which many industry watchers had suspected to be
the case.
It also provides a hefty basis for its ambitions to move beyond
mobile games and compete directly with global heavyweights
developing expensive "AAA" titles on platforms such as desktop
computers, Sony's PlayStation, Nintendo's Switch and Microsoft's
Xbox.
In a recruitment notice last month, a Timi engineer wrote that
the company aims to create a new AAA game that resembles the
virtual community from the movie Ready Player One, and will
"compete head-to-head against big powers from Japan, Korea,
Europe and U.S."
Tencent is building studios overseas, including one for Timi and
one for Lightspeed and Quantum, both in Los Angeles, with the
goal of creating content with original intellectual property
that has global appeal.
Tencent aims eventually to derive half its game revenue from
overseas, from 23 percent in the fourth quarter of 2019, the
most recently available figure.
Many major studios are turning to Tencent for support to convert
their "hardcore" desktop or console games to mobile. Such games
feature long sessions and in-depth storytelling or battles, with
some including multiplayer online role-playing or online battle
arenas.
Last week, Tencent reported 156.1 billion yuan ($23.79 billion)
in overall online game revenues for 2020 but did not break down
revenue for individual studios, which are run independently and
compete with each other.
Timi's proceeds accounted for 40% of the game revenue, said the
two people.
Of Tencent's remaining gaming revenue last year, its Lightspeed
and Quantum studio, the developer of PUBG Mobile, another
top-grossing game, contributed 29%, the people said, while 26%
was proceeds from publishing for other developers. Aurora
Studios Group, boosted by its Moonlight Blade Mobile title,
contributed 3%, the people said.
The sources declined to be identified because the information is
not public.
Tencent did not immediately reply to a Reuters request for
comment.
Tencent, which has benefited from a surge in paying gamers, said
last week its online games revenue rose 29% to 39.1 billion yuan
in the fourth quarter.
($1 = 6.5619 Chinese yuan renminbi)
(Reporting by Pei Li and Tony Munroe. Editing by Gerry Doyle)
[© 2021 Thomson Reuters. All rights
reserved.] Copyright 2021 Reuters. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
Thompson Reuters is solely responsible for this content.
|
|