Japanese video game developer Square Enix and Chinese tech giant Tencent have announced a new partnership this week. The business endeavor will see the two develop new titles and promote existing ones.
Two big players join forces
Square Enix, the company behind popular titles like Final Fantasy and Tomb Raider, has been in the game for over 41 years. With millions of sales to its name, the company is a veteran in the video game space. Joining forces with Tencent should help both companies strengthen their positions in the ever-growing space of competitive gaming.
“We have strong expectations for this strategic alliance with Square Enix Group,” said Tencent Group Senior Vice President Steven Ma. “The alliance will enable us to couple our broad range of internet service capabilities to Square Enix Group’s superb creativity and provide our customers with unprecedented content experiences on a global basis.”
The companies anticipate developing new AAA titles based on their intellectual properties. Moreover, they’ll make further efforts to license existing games.
“Tencent Group and Square Enix Group share the vision of utilizing technology and creativity to deliver unprecedented entertainment experiences and services to a global audience,” shared Square Enix Holdings President and Representative Director Yosuke Matsuda.
Tencent continues industry expansion
The Shenzhen-based investment holding has been making continuous moves in the gaming space of late. The firm’s initiatives have also made it into the largest and most valuable gaming company globally.
Current noteworthy holdings include an ownership stake of 40 percent in Epic Games, the developer of Fortnite. Fortnite has not only garnered more than 125 million fans in a relatively short time, but it’s also on track to generate $2 billion in revenue this year.
Another major ownership includes League of Legends creator Riot Games. After acquiring a majority stake in 2011, Tencent bought the remaining stake in 2015. The Chinese company also holds a five percent stake in Ubisoft.
And let’s not forget Tencent’s five percent stake in Activision-Blizzard, the California-based company behind popular titles like Hearthstone, Overwatch, Call of Duty, and others.
It’s clear Tencent has fully embraced the huge potential of the industry and is not showing any signs of slowing.
Editorial credit: logoboom / Shutterstock.com
