Chinese tech giant Tencent’s Timi Studios generated $10 billion revenues last year, according to Reuters. The revenue makes Timi, a maker of popular video games Honor of Kings and Call of Duty Mobile, the world’s largest developer.
The revenue justifies Tencent’s ambitions of moving beyond mobile games and competing directly with global heavyweights in the expensive ‘AAA’ title category.
Timi aims to create a new and competitive AAA game that resembles the virtual community from the movie Ready Player One.
Tencent is building studios overseas, including one for Timi and one for Lightspeed and Quantum, both in Los Angeles, to create content with original intellectual property with global appeal.
Many major studios are turning to Tencent for support to convert their ‘hardcore’ desktop or console games to mobile.
Tencent aims to derive half of its game revenue from overseas, from 23% in the fourth quarter of 2019.
Last week, Tencent reported online game revenue of 156.1 billion Yuan or $23.79 billion for 2020, with Timi accounting for 40%.
Tencent has benefited from a surge in paying gamers, with online games revenue rising 29% to 39.1 billion Yuan in the fourth quarter.
Tencent stock is currently gaining. 0700: HKG is up 7.21%
