Competition brutal Chinese network game market mocking difficult to play

Source: Internet
Author: User
Keywords CNZZ online games industry Tencent online gaming company
In China, more than 2 million of young people are waving swords and lethal arms claws or using machine guns to target their enemies every moment.  They incarnate as "Berserker", "Ghost" or "Asura", immersed in the virtual world of Dungeons and Warriors (Dungeon &fighter), the most popular online game in China.  About 64% of China's internet users, or 217 million of them, are playing online games that are surprisingly large.  CNZZ, an internet research company in Beijing, predicts that by 2012 China will account for half of the world's online gaming market, with operating income reaching 41 billion yuan (6 billion US dollars).  However, even with such rapid growth, it is becoming increasingly difficult for game operators to get a slice of the pie. Shanda Games (Shanda Games) is one of China's leading online gaming companies, with a reputation for large on-line role-playing games such as the "Blood Legend" and "Kingdoms: Heaven".  But the company said that in recent years, the game market competition has become a lot of cruelty. Diana Li, CEO of Shanda Games, said: "If there are only 10 games available in the market-just like the first time the games started in China 10 years ago-the user chooses the game a bit like washing detergent; every game has a Li Yu." "But now, there are more than 200 games entering the Chinese market every year, so consumers don't even have time to recognize them, let alone download them." So more and more games will never be able to gather popularity.  "In view of this, the online gaming industry is worrying, the company's valuation has been lower than other Internet companies, because investors have taken into account the next game may be annihilated risk."  Nearly half of the 70 million players in China's big online games have been playing for more than 3 years, according to an annual study of the online gaming market, published by the Official Research institute China Internet Information Center (CNNIC) November 24. CNNIC senior analyst Liu said: "They do not care about the game company's marketing, but more value the friends of a game evaluation." "To meet these challenges, China's two largest internet companies, Sohu (Sohu) and Shanda Interactive Entertainment Limited (Shanda Interactive), are listing their gaming divisions this year.  Other companies are also trying to catch up and try to roll out more games at a faster pace. "Foreign game companies can develop a new game for up to 6 years, while some local companies use up to 2 years, some not more than six months," says Liu.  He added that because of more competition and less innovation, it formed a vicious circle.  Some online executives are aware of the problem and are looking for fresh talent from outside the company to break the vicious circle. Companies such as Shanda and giant networks (Giant Interactive) have started to invest in the game design team, which is made up of freelancers. Other companies are trying toDevelop teams to further popularize technical and planning skills and draw ideas from gamers.  The NetDragon, a mid-sized gaming company, has launched a "solicitation system" in which any player can make suggestions online that could be a source of inspiration for new games. "We also realize that the ability to design new games is being held by a handful of people," said Liu Luyuan, executive director of the Dragon Network. We are promoting relevant skills so that more people can help develop products.  But analysts say Chinese gaming companies may need to adjust their business models in addition to trying to improve the game development architecture. "One of the big differences between Chinese and American game companies lies in the profit model," said Alicia Yap, an analyst at Citigroup Elisia Jappe. In the United States, most gamers have to pay for CDs first. "In China, the revenue from gaming companies comes mainly from the costs that players pay for virtual items or game time in the game."  "Most game companies have concluded that spreading risk is the best way out," he said.  Jinshan Corporation (Kingsoft) is also considering similar initiatives. There is only one company that does not have to consider all of the above issues, namely the game "dungeon and Warrior" operator Tencent (Tencent).  In addition to the Dungeons and Warriors, Tencent has three games among the top five, according to Credit Suisse's ranking of the top online games for Chinese gas last month. Unlike other rivals, Tencent can rely on its large customer base for QQ, an instant messaging service.  Currently, QQ has nearly 500 million active accounts.  Perfect Space-Time (Perfect world) creates a game-related E-commerce site. Shanda also set up an online literature subsidiary, and with Hunan radio and television set up a joint venture, began to expand the scope of business to other digital content areas.
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