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Original title: First in 2021! Did Huawei remove Tencent’s games from the list and the games of the two giants split into a “noisy break” on the first day of the new year? Source: China Times
This newspaper (chinatimes.net.cn), reporter Lu Xiao reports from Beijing
On the first day of 2021, Huawei and Tencent, the two neighbors who are in the same Shenzhen, “broken” because of the game.
On January 1, the Huawei Game Center community account announced that Tencent Games unilaterally made major changes to the cooperation between the two parties at 5:57 p.m. on December 31, 2020, causing significant obstacles to continued cooperation. between the two parties. Under evaluation, Huawei had to suspend the relevant cooperation in accordance with Tencent’s unilateral request and remove Tencent’s games from Huawei’s platform.
“We admire the achievements of Tencent Games and the absolute market position in the industry. Although we do not agree, we also understand Tencent’s requirements based on this. We look forward to the opportunity to cooperate again in the future,” Huawei said in ad.
Did it originate from sharing games?
According to the press release of the China Times reporter, Tencent’s “Peace Elite” and “King of Glory” games have not been found in Huawei’s application market, but can still be found in other Huawei application distribution markets. Android.
Tencent Games said in response to a China Times reporter that Huawei’s mobile gaming platform and its “Mobile Games Promotion Project Agreement” were not renewed as scheduled, leading to the sudden removal of products related to Tencent Games. this morning. At present, we are actively communicating and negotiating with Huawei’s mobile gaming platform, and we are striving to recover as soon as possible.
The two companies have not disclosed specific reasons for impeding the contract renewal. However, there has always been the contradiction between game developers and mobile application distribution channels.
An industry insider told a China Times reporter that the current domestic Android application distribution market has been using a 50-50 ratio. Huawei’s share of the domestic Android game market has always been 50%, but its share of the foreign Android game market is only 15%. But on the other hand, under pressure from huge game development costs, game creators represented by Tencent have been trying to cut the domestic Android game market share to 30%. In 2019, Tencent was reported to be renegotiating the revenue share ratio with major domestic Android application distribution channels.
Right to speak
Behind the “noisy break”, Tencent and Huawei have the right to speak in the field of game development and distribution.
Tencent is the largest game maker in China. Data analytics company Sensor Tower announced the Global Mobile Gaming Revenue Rankings for May 2020, showing Tencent’s “PUBG Mobile” and “Honor of Kings” were on this list with revenues of more than $ 226 million and $ 204.5 million, respectively. The first two have increased by more than 40% year-on-year. In these two games, approximately 53% of PlayerUnknown’s Battlegrounds revenue comes from China, and 95% of “Honor of Kings” revenue comes from China. The third quarter 2020 financial report released by Tencent Holdings in November this year also showed that its online gaming revenue for the current period was 41.42 billion yuan, which is 1/3 of the total revenue for the current period. .
The enormous popularity of games is inseparable from distribution channels. Huawei has a large number of mobile phone users, especially in the Chinese market. IDC statistics on the domestic mobile phone market in the third quarter of 2020 show that current shipments to the domestic market of Huawei were 35.1 million units, occupying 41.4% of the market share and occupying the first place. His participation is 2.32 times greater than that of the second place.
What needs to be mentioned is that, relative to the current “stagnation” of the Android ecosystem, Apple has reduced its own percentage. In November of this year, Apple announced that as of January 1, 2021, if the developer’s annual revenue in the App Store is less than $ 1 million (after deducting the share), Apple will only charge 15% of the commission next year. And if the developer’s annual revenue is more than $ 1 million, Apple’s share will remain at 30%.
The following trend between Tencent Games and Huawei is certainly a benchmark for the choice of other domestic Android app markets.
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