Chinese gaming companies Tencent and NetEase are gaining global success with new games

From Investing.com: 2025-01-12 22:51:55

December 2024 marks a turning point for Chinese video game developers, with Tencent Holdings and NetEase gaining global success with ‘Path of Exile 2’ and ‘Marvel Rivals’. These games aim to expand China’s presence in the $165 billion global gaming market, beyond its $45 billion domestic sector, according to Bernstein analysts.

‘Path of Exile 2’ by Tencent is a strong contender against Blizzard’s ‘Diablo II’, drawing over a million players in early access who spent $30-$60 each. NetEase’s ‘Marvel Rivals’ attracted 20 million players post-launch, signaling a shift towards a larger user base compared to their previous hit ‘Naraka Bladepoint’.

Both games have seen high player engagement on platforms like Steam, with ‘Path of Exile 2’ hitting 579,000 peak concurrent users and ‘Marvel Rivals’ reaching 481,000. Bernstein analysts believe these titles have potential for long-term revenue generation as live-service games.

Chinese developers benefit from cost-efficient R&D, unique intellectual property, and freedom from Western cultural debates. Bernstein maintains a positive outlook on Tencent and NetEase, anticipating their ability to compete with Western giants like Blizzard and Electronic Arts in the live-service gaming sector.



Read more at Investing.com: Tencent, NetEase global hits signal new era for Chinese gaming