The acquisition last year made Quantic Dream the first European studio owned by NetEase. The studio is best known for its narrative-driven titles such as Heavy Rain and Detroit: Become Human. These titles helped solidify a trend of branching, interactive storylines within the games industry, and have earned the Quantic Dream significant renown, in part for their inclusion of Hollywood heavyweights such as Elliot Page, Willem Dafoe, and Lance Henriksen. The company is currently working on an action adventure game set in the Star Wars universe, entitled Star Wars Eclipse.
Notably, the acquisition marked a significant move for NetEase, which is primarily known for its work in the mobile space. Although Quantic Dream included mobile interactivity in its game Beyond: Two Souls, the company has yet to create a game for mobile platforms.
At the time of the acquisition, details regarding the financial settlement were undisclosed. However, Chinese news portal reports that sources have privately disclosed the 100 million euros figure based on their personal share earnings from the sale.
NetEase is diversifying
Although mobile gaming remains the most profitable sector of the games industry, more and more companies are expanding into the console and PC spaces in an attempt to expand their revenue streams. A figure of $106 million would still represent a significant investment on NetEase’s part, and growing confidence in its ability to generate significant revenue in the console space.
Notably, Chinese game makers are increasingly spreading out of the country, in part due to strict regulations on playtime and restrictions on games licensing. Many companies are also attempting to disguise their origins to avoid any backlash due to being Chinese companies. Acquisitions of established companies can offer this opportunity, allowing acquirers to rely on the success of existing brands.
We listed NetEase as the top mobile game maker of 2022.