Shi Yuzhu cast 51.com loss 240 million Yuan giants last quarter net profit drop 60%

Every reporter Tao Li from Shanghai is not every investment, such as Minsheng Bank, can make Shi Yuzhu earn pots full of pot. The daily economic news reporter learned that February 26, the giant network released 2012 Q4 earnings report, the company's 2008 investment in the 51.com site has done a 240.7 million yuan (about 38.6 million U.S. dollars) to reduce the value of the preparation. This means that the Shi Yuzhu of the original investment in the 51.com 51 million dollars in 4.5 of the time shrank by nearly 80%. The loss also led to a net profit of 82.7 million yuan (about $13.3 million) for the giant network Q4, down 66.4% from a year earlier, down 73.5% from the previous quarter. Industry insiders believe that the giant's previous flagship game "Journey" has been faced with a certain life cycle, and it is difficult to have better product access rods. Coupled with the current high cost of Internet access to users, as well as the impact of mobile Internet on client-side gaming, the company's future performance will also face greater pressure. 51.com Difficult Transformation page Tour July 2008, in the net of the most powerful, with good grasp of user psychology known Shi Yuzhu announced 51 million U.S. dollars to buy another SNS website 51.com 25% Equity. At that time, the establishment of only 1.5 hours of happy NET has accumulated 60 million users, 51.com a day of registered users can exceed 800,000, the value of 240 million U.S. dollars. But, the face of micro-bo, micro-letter, such as a large number of "killer" product impact, SNS site has been difficult to find the past glory. Alexa data shows that since February 2010, happy Net launched a "fun restaurant" game, bringing the last traffic peak after 1.5 time, the number of users fell daily about 70%. In recent days, happy Net's page traffic has fallen by as much as 38.74%. According to media reports, from 2008 to date, 51.com left the senior middle level has more than 20 people, page traffic has also dropped sharply. Helpless, at the end of 2011, 51.com began to carry out the Web game product development, and embarked on the web game market for exerting force. But the road to transition has not been smooth. Analysys data show that in the 3rd quarter of 2012, the top five of web game manufacturers accounted for 45.5% of the market share, Tencent, 4399, Fun, 37wan, 360 games. Gaming industry analyst Shi Yong in an interview with the Daily economic news, said that the Web game platform can access the market, mainly to see whether there is enough traffic, so as to obtain users. "51.com transformation is not successful, at least for the moment has not seen very good results, the entire site's traffic is declining, not to mention the market competition in the page is also very fierce." "While the giant network explained in its earnings reports that the 51.com investment loss was due to the 51.com core business revenue and operating cash flow lower than expected, but also because of its research and development projects and the planned new games launched promotional delays. Traditional online games face heavyThe fall in the net profit of the giant is not an industry case. February 26, the grand game released earnings showed that last year's fourth quarter Shanda game revenue only 172 million U.S. dollars, compared with a year earlier 1.356 billion yuan slipped 20.2%. The fall in revenue makes the traditional giants grand games less than the Up-and-comer Sohu Swim, from the industry's third position fell to fourth place. In response to the weak performance of the two giants, Shi Yong that the Internet industry to obtain new users the cost of continued higher is the main reason. "Earlier, two companies were able to win with their core products, but now there is a constant need for new users to continue to have blood transfusions, while promotion and marketing costs are rising, which naturally creates enormous pressure." such as Tencent, NetEase, swimming have other platforms and products to bring traffic, giants and Shanda whether the user source or products are too single. "2 is still the core driver of revenue growth, contributing nearly 50% of total revenue and a third quarter of 45%," said the giant's network earnings report. In addition to the new product revenue is weak, Shi Yong that mobile games and web games continue to be popular more to erode the traditional games market. Therefore, the giant network insiders to the "Daily economic news" reporter revealed that hand-travel research and development will become a giant new strategic focus. The giant plans to set up a hand tour research and development team, at the same time through investment and mergers to maximize the development of hand tour business.