Chinese company Tencent has officially acquired the Hong Kong-based game studio Leyou. This acquisition puts Digital Extremes, the Warframe developer, is now under the control of Tencent.
This purchase made Tencent add more money to the game company it owned. Are you curious about how much money Tencent has to spend in order to acquire Leyou? Let’s check out the following details.
Acquisition of Leyou, a Warframe Developer under Tencent Control
Based on the information circulating, Tencent had to spend $ 1.5 billion to acquire Leyou. Previously, this acquisition had been running since last July 2020. However, rumors regarding this only surfaced in August 2020.
Previously, Tencent took quick steps against the game studio after talks with Sony failed. Tencent’s acquisition of Leyou gave them access to their studios.
Leyou recently set up Athlon Games, which is currently operating as a publishing partner with Amazon on the Lord of the Rings MMO. Leyou may not be a household name, but that’s an idea of the size of this acquisition.
The full list of Tencent’s gaming interests is increasingly comprehensive: as well as the full ownership of developers such as Riot Games and Funcom, it holds just under 50% of Epic Games, plus investments in Activision Blizzard, Ubisoft, Paradox Interactive, and many more.
Companies like Epic have reacted robustly in the past to any claim that Tencent is an overbearing or censorious partner, even though the assets of the Chinese conglomerate are so large and so broad that it draws the attention of the U.S. government.
There is still skepticism among western viewers about Tencent’s vast gaming holdings: after all, we’ve seen in recent weeks that Western digital storefronts are too scared to sell a Taiwanese horror game for fear of offending China. Yet its continued development and scope seems relentless.
Not only that, but Tencent is now in control of Splash Damage, Radiance Games, and Kingmaker. In this acquisition, the most prominent are Digital Extremes and Splash Damage.
As information only, Digital Extremes is the developer, an online Co-op Shooter game which was released in 2013. Digital Extremes has always maintained that its arrangement with Leyou guaranteed the artistic freedom of the studio, which, to be honest, seems to have been the case with Warframe.
Meanwhile, Splash Damage is the developer behind Brink 2011. Even though the game was not very successful, Splash Damage together with the game made by it, Gears Tactics managed to attract a lot of players.
What’s the Future?
Of course, Tencent’s acquisition of the Warframe developer raises the question, what is the fate of the game? To date, there has been no confirmation on how Tencent will change it. Maybe, we have to wait a little more to see.
It is possible, Tencent completely left Digital Extremes to the game it made. Even so, this acquisition looks very attractive, but still the news is not too big like Microsoft which acquired Bethesda a few months ago.
What do you think about this acquisition from Tencent? So, Stay tuned for more articles and news!