Industry Domination: How Tencent Dominates the Gaming Sector

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Tencent is one of the biggest gaming companies in the world. Because of its size, there’s a pretty big chance that you’ve played a game from Tencent no matter where you are in the world. However, many gamers don’t know of Tencent. Furthermore, they don’t know the extent of control that the company has over the industry.

In this article, we will be exploring how Tencent is dominating this billion-dollar industry and how it can become the biggest and most successful video game company in the next few years.

The Legacy of Tencent

Tencent is one of the biggest companies in China. It was founded in 1998 by a handful of Chinese entrepreneurs, namely Pony Ma, Zhang Zhidong, and Xu Chenye. Currently, Pony Ma has a majority stake in the company and a net worth of over $40 billion.

The company started as a tech company involved in the tech development of China. It developed the country’s most significant communications and social media platform, WeChat. It also has a stake in various tech developments in the country. However, the company is most famous for its games, widely available to people worldwide.

Accessibility

Tencent has multiple games released on different platforms. Most of these games can be played by anybody, regardless of race, age, or culture. These games are also known to be some of the biggest gaming titles worldwide.

Almost anyone can access a Tencent game through their mobile phone or computer. Any gaming computer can play their games, and every online video game store is selling their games. The accessibility of their games is beyond measure, and considering that some of the games they have free-to-play, many people are drawn to them.

Moreover, the company knows how to market its games. By utilizing famous social media platforms such as TikTok and Facebook. They hire micro-influencers to stream and post short videos about how fun their games are and how people from any generation can enjoy them. However, one game stands apart from the many games that Tencent has published. This game has more than 115 million active users and is considered one of the industry’s biggest games.

League of Legends

If you’re a gamer, there’s a good chance you’ve heard of League of Legends or LoL. There’s also a good chance that you’ve played it. It’s one of the most successful video games globally, raking over $1.75 billion in revenue every year. No other game comes close to earning this amount of money, aside from Fortnite and GTA V. Still, nonetheless, the existence of LoL and its ability to gain millions of followers worldwide make Tencent happy.

Tencent purchased Riot games in 2011, and since then, the company has put a lot of effort into the game’s marketing and development. It has become so popular in the US that it garners millions of viewership during its yearly world championships. With all of these stats, it seems that LoL is enough to make this company successful. But there’s more to this company than a few games that are accessible to almost everyone. It also has a stake in some of the biggest video companies worldwide.

Ghost Investor

Not many know this, but Tencent owns various shares in big video game companies such as Epic, Bluehole, Ubisoft, Blizzard, and Grinding Gear Games, to name a few. This company has also given millions of dollars in investments to small video game companies to ensure that they stay independent.

It’s hard to think that some of the biggest games in gaming, such as FortniteAssassin’s CreedWorld of Warcraft, and Path of Exile, were all developed using this company’s money. Moreover, one can imagine its power over these companies and what it can do to change the gaming industry. Given enough time, these investments will give the company millions of dollars in revenue, further projecting it ahead of its competitors.

The Future of Tencent

Many fear this company because it’s the second biggest company in the industry, only a few billion dollars short of SONY. Moreover, because of its stake in more than ten video game developers and publishers, its current net worth is understated. As these companies continue to produce more games, Tencent will continue to gain profits from them.

 

The company also has a stake in various tech developments in China and many countries worldwide. With this in mind, the future of Tencent is bright, and it’s only going to be a matter of time before it becomes the biggest video game company in the world. It’s also in line with becoming one of the biggest tech companies worldwide.

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