Black Myth: Wukong could drive Chinese investment in big-budget games

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Long wary of China’s capricious regulations on video games, investors and developers now see an upside to spending years on a single title.

A woman walks past an ad promoting the latest blockbuster Chinese video game Black Myth: Wukong in Beijing, Friday, Aug 23, 2024. has Chinese investors and video game developers looking at ways to replicate its success, but industry insiders say that might be a decade away.

The immense popularity of China’s first AAA title – an unofficial designation for games with large budgets and long development times – now has other developers in the country thinking more ambitiously. The uncertainty of China’s video-gaming regulations – which three years ago wiped US$100 billion of value from related stocks – has made investors and game developers alike hesitant to invest the time and money needed for big projects like Black Myth, Zhou added.

Zhou now sees a chance for the situation in the domestic industry to change. “The success of Black Myth will definitely bring more funding into the sector, which will make more game developers willing to try to develop such big projects,” he said.“Mature investors will choose mature teams,” Zhou said. “So resources will further converge towards the top game developers.”

Qin, however, added that she will not consider making AAA games herself. “The cost is too high and it takes too long,” she said. “Not every small studio can get investment from Tencent.”

 

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