Zhongjun Alliance Shi Yuzhu Entertainment Empire Huayi Enter game

Huayi Brothers announced December 7 that it will set up a joint venture with the giant network, "Beijing Huayi Giant Information Technology Co., Ltd.", the 3D multiplayer online role-playing game of the Giant network, "King of Kings 3". Huayi Brothers, who invested 70 million yuan in 51% of Huayi, became the main shareholder of the joint venture, and the joint venture received the intellectual property of King 3 and the development team of the game, while the Giants network and the "King of Kings 3" team will be a minority shareholder. This means that Huayi Brothers have officially entered the gaming market.

As early as June 22, 2010, Huayi Brothers with its own capital of 149 million yuan, through the acquisition of equity and the way to increase capital to acquire the palm of the interest of science and technology 22%, to get through the company's video and game channels, the formation of new business growth. The palm has already dabbled in the popular film and television drama adaptation field, has bought "latent", "the Ugly female invincible" and so on popular movie and TV game copyright and develops becomes the handset game.

Huayi from the original film production, artists brokerage business started, and then acquisition of music companies, shares of mobile gaming companies, into the theater. This foray into the field of online games, coupled with the previous Cross-border layout, no one is to build a comprehensive entertainment empire.

Why does Huayi hold hands with giants?

"It was announced so soon." I voted in favor of the decision, and I was not involved in the process, both Liu Wei and juntong in negotiations and operations. Online games and film and television belong to the entertainment industry, should be able to explore the combination of mode, which may be the greatest significance of cooperation between the two sides. "For this interactive entertainment industry's big cooperation, December 7 News announced, Shi Yuzhu namely in micro-blog quickly make a comment."

For the first time to enter online games, Huayi Vice President Ming told the China Business newspaper reporter, Huayi will have two lines in the future, a line is a movie, a line is a game.

The mainstream audiences of huayi movies are young people under the age of 40, and a large proportion of gamers are coincident. This has brought Huayi and the giant great cooperation opportunity.

Ming revealed that the two sides of the high-level November has been the exchange of visits, in-depth exchanges of cooperation, is now the most preliminary cooperation, just a starting point, new research and development companies will develop new products, the next game products must be huayi a very powerful film or TV series.

For this cooperation between the two sides, art consulting Vice President Hou Tao analysis, now investors hope Huayi has a stable chain growth, this cooperation is best for huayi to bring a stable chain growth, because Huayi has been the film's cyclical impact, instability is very strong, this is its biggest problem. Such instability has a huge impact on its share price. So Huayi will choose to buy some of the continued growth of the business to ensure that the overall performance is relatively stable, which is its choice with the giants of the external cause of cooperation. But the internal cause lies in, Huayi content industry chain extension also is the general trend. For example, such as Disney, Shanda are doing the expansion of the relevant industrial chain, because the video, television broadcast is only a consumption, they want to have two times three times repeat consumption, so need to transform consumption patterns, the game is a relatively mature market, the annual market size of about 30 billion ~400 billion.

According to the giant network related people, Shi Yuzhu has been very optimistic about the integration of online games and the direction of film and television industry, before often with Huayi Brothers chairman Zhongjun to explore the "game + film" mode of cooperation.

Star runaway influence geometry?

Will this cooperation give Huayi a shot in the market? Huayi currently faces considerable pressure, according to the Shenzhen bulk trading data and "listed companies directors, supervisors, senior management and related personnel to hold the changes in the shares of the company" disclosed, November 1 to 26th, A total of 12 large and 21 bidding transactions to reduce Huayi brothers 15.5856 million shares, the cumulative amount of 469 million yuan.

For a period of time before the big shareholders, Ming said, although Ma Yun sold the Huayi Brothers part of the stock, but Ma is still huayi apart from the founder of the second largest shareholder, with more than 20 million shares.

In response to the departure of Zhou Xun, Ming told reporters that at present in Huayi's film, television, artists brokerage three plates, artists brokerage accounted for 20% of total profit, always maintain a relatively stable growth, but there will be no explosive growth, will not fall, this income is more than 100 artists contribute.

Ming revealed that the first-line star to the company is more brand help, in fact, the financial benefits are very small. By the end of September 2010, Huayi's top five artists each brought the company 2.4 million yuan of income, this is not a profit, less than a first-line star will be less than 2.4 million yuan of income, the financial impact is not big.

Ming revealed that Huayi also in the reflection, with the development of the industry as a whole, the future of the brokerage business is more on the training of new people above.

It is understood that in the film and television companies, the company's share of the proportion of the company to take the high, while the big stars and companies take the proportion of the low. The same resources will then be invested in people with high profits to reduce risk.

Create entertainment Empire layout to the Internet

It is reported that Huayi Brothers board chairman Zhongjun, giant Network board chairman and CEO Shi Yuzhu optimistic about this cooperation. Zhongjun said he believes it is a winning way of cooperation.

Within one year, share the palm interest, with the giant cooperation, Ming said is to improve the industrial chain layout, aims to become "comprehensive film and entertainment Group."

Observe these two investments, Huayi's layout focus gradually clear, one is based on mobile internet demand for entertainment content to provide, one is with the huge profit space of the game company combined to play the potential of Huayi film resources, the film and television works adapted for the game, common marketing, bring new revenue growth points.

Huayi has repeatedly indicated that the layout direction is a comprehensive entertainment company, to become a comprehensive entertainment group like Disney, Ming revealed that Huayi's present layout focuses on entertainment content and extends to neighboring industries, which will become the new profit pillar for Huayi in the next three years. Another focus is to develop new media, such as mobile internet , video and so on, in the new media, Huayi will focus on the field of application. Huayi's team has made video products based on wireless internet that combine content with games.

With the use of Huayi's own content resources, catch the hot mobile Internet Express, will reach the internet to dig more profit pillars, through the traditional entertainment industry and the internet boundaries, is the real purpose of Huayi.

For the cooperation of the two prospects, easy to view international analyst Yuyi Analysis, film and online games of the different industry cooperation, can let the audience play games, let the player into the cinema, is the agreement between the two sides. "King of Kings 3" as a landmark game, the impact of the players have become the main consumer groups. This cooperation "King of Kings 3" content resources or more high-quality, but Huayi can interpret this magical theme, is also a big challenge.