Investors uncover the pain of domestic games

Zheng Jie recently, an industry report said that 2012 China's online game market size may exceed 40 billion yuan.　　On the one hand is a considerable market prospects, on the other hand, is the online gaming enterprises into homogeneous competition, the elimination rate of high "Red Sea" state. Xu Yijan, the giant's network investment director, last year made an appointment with 3,000 start-up teams in the hope of finding a good investment in the project. "There are a lot of different teams in the country, but it's very rare to sell the project."　　"said Xu contend. Xu contend a decade ago began to study the free engine, for the current domestic online games research and development team's survival status is quite understanding.　　He has also been a pain in entrepreneurship, now a representative of investment agencies, divorced from the embarrassment of those entrepreneurs, he gave the online game developers to advise. Can not be expected to venture capital "the international investment community on the net investment is really a big decline." Many mergers and acquisitions have taken place in Japan, where game companies have been warming up to cope with the cold snap of the international financial crisis. Xu contend that China's online gaming investment is not seriously affected by the international financial crisis, is still a smooth growth curve. In recent years the overall investment in online games has increased, but future investment will be gradually reduced. So he advises the young people who are counting on VC: "Venture capital will only add to the icing on the cake." "Xu contend that there are many angel investors are willing to invest in the early research and development team, but they do not play the game industry, the funds are not very abundant, for the industry is not understand the investment is cautious, the first encounter difficulties will immediately retreat." "Refinancing at that time would dilute the team's stakes and the new VC would not like to take over the team," he said.　　"he said. Probably the net swims to melt Xu contend that, the domestic net swims the company "The technology dies" the product too many, even if is the experienced team research and development product, 80% product just comes out the technical question. "The whole game is a chain, once there is a link out of the problem, other links are no use."　　"he said. Because many investors don't understand code and numerical planning, their judgments about a project are more emotionally inclined to look at pictures.　　And the start-up team often because of funds, capacity and other reasons, the real system to make products with the ideal of a big gap in the fierce market competition is difficult to stand out. Limited revenue for research and development team the entrepreneurial team struggled to finally get the product done, and then need to find operators. However, every operator in the market in the development of the game, your products to get his favor, not only to have outstanding features, but also with his products do not conflict. Even if all aspects of the conditions are met, he will be a bargain, and sometimes even put your ideas to learn to use their own.　　"said Xu contend. Xu contend that at present, some independent research and development companies to transform into operators is very difficult. Even if the product on-line operation is successful, also makes money, the development company after the product sign to the operator often only then obtains the 20% or so divide. As the core of the entrepreneurial team, often in the product after the final listing, according to the proportion of shares, can only be divided into less than 10% of the income, and even many entrepreneurs for a long time have not been real income.