Capcom in Negotiations with Tencent Holdings, Partnership Could Be on the Horizon

By on April 14, 2014 at 10:08 am


The future is looking a little brighter for Capcom, as the company has recently been in discussions–possibly already reaching a deal–with Tencent Holdings about a collaboration, according to e27.

Tencent, one of the primary players in China’s internet and gaming industry (it made a profit of 15 billion yuan in 2013), has been investing overseas, particularly gaming companies. According to minyanville, Tencent paid $400 million in 2011 to acquire Riot Games, creator of League of Legends. (It currently owns 92.78 percent of its equity share.) In 2012, Tencent bought a minor stake in Epic Games, creator of the Gears of War franchise. It also partnered with Activision Blizzard later that year to bring Call of Duty online to China.

An extension into the Chinese market could very well be a boost for Capcom. Active players of League of Legends nearly tripled between August and November 2011 shortly after Tencent’s purchase, jumping from 4 million to 11.5 million. While Capcom’s key franchises might not see such drastic jump, the possible partnership with Tencent will only aid the Japanese company with the release of Ultra Street Fighter IV on the horizon.

What do you think about this possible collaboration? May these benefits possibly trickle down to the fighting game community? Leave your thoughts in the comments below.

Source: 17173 via e27 and NeoGAF