Tencent made bank in Q3 2019 thanks to mobile – not PC – games

Plus AOC plays LOL

    
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Well well well, how the turntable.

While companies like Blizzard are seeing severe revenue drops this quarter and other MMO companies are trudging along, Tencent is having a rather up moment. The Chinese megacorp’s third quarter revenues boasted an 21% bump year-over-year, almost half of which can be attributed to its online games. That’s over $13B US, folks.

“Online games revenues grew by 11% to RMB28,604 million. The increase primarily reflected revenue growth from smart phone games in both domestic and overseas markets, including key titles such as Honour of Kings, PUBG MOBILE and Peacekeeper Elite, partly offset by lower revenue from PC client games such as DnF. […] Our PC client games revenues decreased 7% year-on-year and 2% quarter-on-quarter to RMB11.5 billion, due to reduced revenue from DnF, whose recent 11th anniversary content update resulted in fewer paying users than the year-ago update. League of Legends’ (LoL’s) auto-chess mode Teamfight Tactics (TFT) established global leadership in the emerging auto chess genre by leveraging the core MOBA’s strong IP and engaged user base. TFT enhanced LoL’s user time spent and increased its revenue internationally. In China, LoL’s active users and cash receipts also grew year-on-year.”

In more League of Legends-specific news, you might have noticed that yesterday the LOL community blew up over the news that US Congresswoman Alexandria Ocasio-Cortez plays the game. “I thought it was cool making it to Silver,” she tweeted. “But today I found out Rep. @JoshHarder is ranked PLATINUM!” Apparently she mains Morgana, Lux, Miss Fortune, and Anivia. So that happened.

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Ernost
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Ernost

Unpopular opinion: I’ve had more fun playing Azur Lane this past month than I’ve had playing any MMO in the past 5 years.

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Axetwin .

And yet people will insist there’s “no market in mobile gaming” and “no proof mobile gaming makes any money”.

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Armsbend

I have never seen anyone ever type that ever. Plenty of people don’t like mobile gaming – but they still know it makes lots of money.

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Axetwin .

Luck you, I’ve been told that a bunch of times when I bring up how lucrative mobile game is.

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Bruno Brito

If your issue is with Blizzard discussions, then bear in mind, most people ( myself included ) think that they shouldn’t focus on mobile nor should they focus in China because they’ve been trying for years already and they failed any solid foothold in both markets.

My problem with mobile gaming is that companies that have no idea how to survive on that market are 1- trying to change themselves into mobile companies and bursting the bubble, or 2- bringing mobile monetization to PC/Console gaming. And we really don’t need more of that.

Yangers
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Yangers

As much as I despise mobile games, this is why Diablo Immortal is happening.

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rafael12104

Lol! I don’t know which irks me more, that Tencent makes money just… you know… breathing, OR that politicians are playing League. Freaking League… it will never die…

In other news, the North Pole is still north. ;)

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Bruno Brito

AOC saying she plays LOL really makes me wonder if we forgot that this is the same company that had a huge problem with sexual harassment over their ranks.

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Armsbend

I would be embarrassing if a US house member followed games as closely as we did.

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Bruno Brito

I don’t know. I know that i don’t buy any of this crap about Woke Disney, Geek Blizzard or Gamer Politicians.

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partiesplayin

Easy to claim when you produce mobile games like bowel movements. I’m sure they would have seen the same increase with decent PC games as well.

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Ben Stone

Doubtful. People are perpetually busy. It’s easier to smash out a game on your phone than sit down and play. Like it or not, mobile games will be far more profitable in the future.

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3dom

With news like these PC players should be happy to get any half-decent games – instead of creating whine-fests around understandably buggy / unpolished releases of major open-world games (Anthem, Ghost Recon Breakpoint) which cost tens of millions $$$ to develop – while mobile games cost 1/10 of that with 10x profit potential.

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Kross Vilalobos

“understandably buggy” might be/is a different definition from what I and maybe others call understandably buggy. Also I kinda feel like you worded it like we should just accept trash releases and being milked like cows for money from AAA companies that have existed for 18+ years because they just don’t have the profits
and know-how to create a decent working game that doesn’t try to bleed their supporters dry.

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TherecDaMage .

Woo! China revenue and mobile games making a Chinese company profits! It’s like everything everyone hates in this site rolled into one.

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styopa

You guys all have mobile phones, don’t you?

kajidourden
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kajidourden

PC and console gamers both like to talk down Mobile titles but the reality is they are the future. Like anything else this industry is going to follow the money and unless someone makes another game as successful as WoW there’s way more money to be made in the mobile market. Expect to see more, not less mobile titles and focus.