game news In 2022, this mobile game publisher made MUCH more profit than PlayStation and its PS5
We’re used to talking about video games through the prism of the big three manufacturers or the big so-called western publishers. But in recent years, the industry’s top-grossing players have been Chinese publishers, working primarily on mobile but also opening up to the console market.
China: the true world leader in video games?
Despite the restrictions that weigh on the Chinese video game marketThe latter is developing rapidly and many publishers are based in China having invested abroad to compensate for the slowdown in the domestic market. Tencent, Cheetah Mobile, Happy Elements, Perfect World, MiHoYo and NetEase are just some of the existing players and they are inevitable. Their financial strength is unparalleled among video games and foreign companies often you have to join them to publish in China.
In terms of sales, however, companies like Tencent are far ahead of Sony, Xbox or Nintendo There is a bias in the analysis. In fact, where manufacturers make their mark around the world, Chinese companies still make their mark the majority of their numbers in their territory. This gives an idea of the size of the Chinese market, but until recently it was very difficult Compare the impact of global and Chinese publishers. As we said before, Chinese companies are starting to export themselves and that is happening over time Creation of publishing labels such as Level Infinite (Tencent), from investments in many studios and publishers (Riot, Ubisoft) or from the Development of Triple A for the global market.
But there’s one studio that does even better than the Sony PlayStation, and you know it. Otherwise, you might see more clearly whether it’s Genshin Impact or Honkai Star Rail. Available on mobile, PC, and console (Honkai Star Rail is coming to PS5 later this year), these titles are being developed by MiHoYo (HoYoVerse), a company founded in 2012 by three students named Cai Haoyu, Liu Wei, and Luo Yuhao . Other titles have been released before, but it’s these two games that have made MiHoYo famous around the world.
MiHoYo (Genshin Impact) and what kind of PlayStation?
In the last fiscal year, HoYoVerse generated an operating profit of 3.5 billion dollars in 2022. For comparison, we can use the operating profit of PlayStation, that was 1.6 billion in the same year. In other words, the HoYoVerse studio made it significantly more money before taxes last year as PlayStation and their PS5. For the Chinese studio, the comparison is even more favorable as its operating profit has been converted a net profit of 2.06 billion dollars, a sign that the business model is extremely efficient. Remember that MiHoYo/HoYoVerse games are free, rich in content and technically successful, but based on one Gacha-like monetization.
Players must therefore either run farms or put their hands in the wallet to get resources to do draws and eventually get the best characters. The success of the games depends on it a fairly satisfying record that doesn’t seem overly frustrating players and do not send them to the famous “paywall” too fast. If you ignore this concept in the context of a game, you know that progression in a free title then becomes too tedious or even impossible for a player who does not take out the blue card. However, keep in mind that Sony’s aura in the global market is even greater than MiHoYo’s for now. But at this rate, things are likely to change very quickly.
