China Unveils First Batch of Imported Game Licenses of the Year, the Earliest in Five Years

With the earlier-than-usual granting of imported game approvals, China's gaming regulator is signaling their intention to boost the sector in 2024. Nuversen, ByteDance's gaming division once rumored to bow out of the arena, got a green light for action game "World Trigger: Borderless Mission.”

BEIJING, February 4 (TMTPOST)—China's National Press and Publication Administration (NPPA) of China on Friday released the list of the first batch of imported game licenses for 2024, which was earlier than the corresponding period of mid-February to late March in the past five years.

Of the 32 games that received a green light, Tencent Games secured licenses for two Nintendo Switch titles, namely the 3D adventure game "Kirby and the Forgotten Land" and the drum rhythm game "Taiko no Tatsujin." Boltrend Games, a subsidiary of NetEase, received approval for the role-playing game "Octopath Traveler: Champions of the Continent," and Nuversen, ByteDance's gaming division, obtained the green light for the action game "World Trigger: Borderless Mission."

The figure of approved licenses for console games has been on the rise since the issuance of the first batch of imported online game licenses last year. This suggests that regulatory authorities may aim to further foster the niche gaming console market in the country.

However, some gamers expressed hesitance in purchasing domestic gaming consoles due to the inability to transfer data between domestic and foreign versions of mainstream games. Whether an increase in console game licenses will drive market development remains to be seen.

This batch of imported online game licenses involve several listed gaming companies and major game developers. Examples include "Three Kingdoms: Cao Cao Legend" by CMGE, "Narsalik: Rise" by King, and "Fishing: North Atlantic" by Perfect World.

ByteDance, which had previously announced plans to gradually withdraw from the gaming industry, obtained a license for action mobile game "Realm Blade," operated by ByteDance's game arm, UNVERSE. The last official update on the game's social media dates back to November 20, with no response from the game's official channels regarding the license approval.

Similarly impacted is the game "One Piece: Assemble," operated by Shenzhen Goldfinch Information Technology Co., Ltd. As a company affiliated with A-share listed gaming company KS Game, Goldfinch signed a 10-year strategic cooperation agreement with UNVERSE in 2020. Caesar Culture's 2021 interim report mentioned the collaboration, indicating that UNVERSE would have exclusive rights to distribute games developed by KS Game.

In the wake of UNVERSE' business and organizational adjustments announced in November, uncertainty surrounds whether the game "One Piece: Assemble" would still be distributed by UNVERSE in the future.

Furthermore, Tencent's mobile game "Dungeon & Fighter: Origin" is a highlight of this license issuance. The game's official account released a poster with the caption "Long-awaited" after the license was granted, hinting that it might be the highly-anticipated mobile version of the popular game "Dungeon & Fighter."

In this batch, NetEase also obtained a license for the well-regarded pixel-style RPG game "Vagrant Traveler: Ruler of the Continent." This game, part of the famous "Vagrant Traveler" series, developed by Square Enix, has received positive reviews, with a current rating of 9.2 on TapTap.

Apart from console and mobile games, regulatory authorities also pay attention to the introduction of PC games. In this batch, Gamepoch secured a license for the AAA-level ARPG "Horizon: Zero Dawn," developed by Sony's first-party studio, Guerrilla Games. The game landed on PC in 2020 and is the opening title of Sony's "Horizon" series. The sequel, "Horizon: The End of the West," has also received a license and is set to be released on PC later this year.

Based on the issuance timing, approved game developers, and approved game categories, regulatory authorities demonstrate a positive attitude towards promoting the healthy and orderly development of the domestic gaming industry. With the gaming supply side still showing positive trends, China's gaming industry is likely to gain momentum in 2024.

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