Products You May Like
Tencent acquisitions have thus far mainly revolved around acquiring minority stakes and making investments in the global video games industry, but it looks like the company plans to change that strategy. According to a new report by Reuters, the Chinese gaming giant now plans to aggressively pursue full ownerships or controlling stakes in video game companies around the globe. Tencent already owns developers like Riot Games, Funcom, Turtle Rock, and Digital Extremes.
What Tencent acquisitions strategy means for the games industry
Tencent is the world’s largest video games company by revenue, beating the likes of Sony, Microsoft, and Nintendo. It has invested in major studios including FromSoftware (Kadokawa) and Ubisoft. Reuters‘ sources claim that Tencent now wants to expand its assets in the West by owning majority and controlling stakes. In a statement to the news publication, the company said that it specifically looks for “innovative companies with talented management teams,” and has been investing abroad “long before any new regulations” in China.
This report doesn’t come as a surprise. It was only last month that Tencent’s chief strategy officer, James Mitchell, said that the company will continue to be “very active” in acquiring new game studios outside of China.