Chinese Internet Company Tencent Invests $400 Million In Riot Games
Tencent is a Chinese Internet company that has invested $400 million in online U.S. gaming company Riot Games. Tencent will be getting a majority ownership in the company as a result.
Riot Games is based in Los Angeles, California. The company sees about 1 million active players that log in about 500 million minutes per month. Through the investment, Riot Games will utilize Tencent resources for expanding worldwide.
“We shared a philosophy and built a mutual respect with Tencent,” stated Riot Games CEO Brandon Beck. “It is an interesting time for games. Social and mobile games are very interesting, but it’s not our focus. We are very focused on core game experiences, which are also evolving from a packaged good to an online service.”
Tencent has 600 million QQ instant messaging service users in China. Previous investors in Riot Games include Benchmark Capital and FirstMark Capital. Riot Games started five years ago and they believed that session-gaming was a trend. This means short games that can be played on a short break. Today the company employs about 150 people.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry