Wednesday, March 8, 2017

China Bans Korean Games in Political Move

In what many believe to be a response to US-Korean deployment of THAAD--the defensive anti missile system being set up in response to recent launches by North Korea--China has suddenly placed a ban on licensing for all new Korean games in the mainland.

This coming just over a year after China banned foreign media companies from publishing in China, essentially forcing all publishers to partner with locals to gain access to the world's largest mobile game market. Although this ban will not affect games that have already been released in China, companies who have already spent time & money developing are likely to be hit by the ban.

Netmarble (who were preparing to launch Lineage 2 Revolution) and Nexon (who were preparing to launch Spirit Dungeon Fighter) are both likely to be affected by the ban. Currently 40% of Nexon's sales are in Mainland China, and their stock has dropped 7% since the news broke.

The Chinese government has a history of closely regulating the gaming industry to give advantages to domestic developers. For more about Publishing Games in China, check out China's Winning Strategy of Copying All Your Hard Work. 

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