September Newsletter | China's Gaming Visions

Welcome to the September edition, where we explore the latest insights in the gaming world.Our Chief Revenue Officer, John Kavvouras , shares his insights on the latest trends shaping the Chinese gaming industry. (Video)

In this newsletter, you will discover how Black Myth: Wukong's success is impacting the gaming landscape and how Tencent and NetEase are adjusting their strategies with the resurgence of the Chinese market. Plus, you will learn about the importance of localization and influencer partnerships in the Chinese market through our featured articles. Looking ahead to October, get ready for Huqiao's Annual Client Meeting and the Game Industry Conference, where you can gain valuable insights and connect with industry experts.

Industry News | Opportunities for Game Dev

??Tencent and NetEase Reassess Japan Investments as China Market Revives (Link)

Chinese gaming powerhouses Tencent and NetEase are scaling back investments in Japanese studios after yielding a few blockbuster games. With the Chinese market seeing a revival, notably with the success of Black Myth: Wukong, both companies are rethinking their global strategies.

? Key Highlights:

• Tencent and NetEase are reassessing their investments in Japanese gaming studios due to limited success.
• The success of Black Myth: Wukong has shifted focus back to domestic opportunities.
• Despite setbacks in Japan, Tencent and NetEase continue to invest globally, with Tencent expanding its reach to Europe.

?? Chinese Gamers Surpass English on #Steam with Black Myth: Wukong Success (Link)

Daniel Wu's daring investment in Black Myth: Wukong has paid off spectacularly, with the game selling 18 million copies in just two weeks. This marks one of the fastest-selling starts in gaming history, underscoring Wu's strategic foresight and commitment to bringing Chinese culture to a global audience.

? Key Highlights:

• Wukong has surpassed the initial sales of industry giants like Elden Ring, with potential lifetime sales projected at 30 million copies.
• HeroGames, Wu's company, invested significantly in the game's development, contributing to its US$70 million budget over six years.
• The game has earned an estimated US$700 million within weeks of its release, showcasing its runaway popularity.
• GameScience, the creator of Wukong, is now valued at several billion yuan, marking a massive return on investment for Hero Games.

? Key Highlights:

• August's gaming sales on Steam reached $14.4 billion USD (over 100 billion RMB), marking a 62% year-over-year increase.
• "Black Myth: Wukong" sold over 16 million copies on Steam within ten days, with 76% of sales from China.
• Steam's peak concurrent users surpassed 37 million, largely due to "Black Myth: Wukong".

?? The Release of Frostpunk 2 (@11 bit studios) (Link)

Frostpunk 2 has finally launched, and the global community, including Chinese gamers on Bilibili, can’t stop raving about it! Tons of gameplay videos flooding the platform -- one video already racking up a 347K views and 2,500+ reviews ((Video)

Articles | Chinese Gaming Market and Marketing Strategies

Many people struggle with the decision of organic or paid collaboration with influencers.

Read the article to learn more about the differences, limitations and benefits, and a case from Huqiao.

?? Check out the full article: Link

With 668 million gamers, China is not just an opportunity—it's essential! Yet, with Chinese being the #1 language on Steam, only a few games support it. Is your game among them?

Early localization of your Steam page and assets is the key to capturing this massive audience. From culturally resonant descriptions to engaging community interactions, the right localization strategy can skyrocket your game's visibility and appeal.

?? Check out the full article: Link

Exciting News at Huqiao

We're bringing together customers from around the globe and from all five of our companies— Tigers , Huqiao 琥桥 , Automation House , Sawicki Legal , and Experiment5m —to spark the pure energy of innovation. The annual event is designed for our valued clients and partners.

? Key Highlights:

• Huqiao 琥桥 's CEO Wojtek Jaworski 严立行 ?? GDC will host a discussion about “Games vs Reality.”
• Piotr Siwek , Head of Global Marketing at Mitsubishi Electric , join us to share his insights on “Scenarios of the Future.”
• More to come: "Man vs. Machine" debate, future business scenarios and marketing trends, networking opportunities...

?? Date: October 18, 2024

?? Place: Warsaw, Poland

?? Join us in the event: (Link)

Teammates in China

We are proud to share that 40% of our team is now based in China, reflecting our continued commitment to expanding our presence in this key market. A special thanks to our HR team at XXII Ventures for their exceptional work in helping us grow our talented team.

In addition, Kacper Przybyszewski (朴瀚博） has joined our team in China after relocating from Poland. His move will strengthen our efforts to connect with the Chinese market and support games from various regions in entering this dynamic industry. Kacper remarked,"It is fascinating to see how much Chinese are into gaming. There is Wukong everywhere, in the coffee shops, in the malls; they are really proud. The future of the gaming industry is definitely in China.”

Upcoming Event | GIC

This year, you will meet with these experts from our team:

1. Wojtek Jaworski 严立行 ?? GDC – CEO and Founder of Huqiao 琥桥
2. Aleksander Ptak – Senior Account Executive at Huqiao 琥桥
3. John Kavvouras and Milivoj Pu?kar – CRO from Huqiao 琥桥 and XXII Ventures – Financial wizards

They will share the latest trends and opportunities about the Chinese gaming market. Also, if you're curious about financing from the US or China, leveraging financial instruments, or managing your game development budget, they've got you covered.

Can't wait to meet you and share more insights at GIC. Contact us today to book a meeting!

Ready to level up your insights and strategies in the gaming industry?

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