KongZhong buys Shanghai-based Dacheng Network Technology

One of China's leading mobile internet companies, KongZhong, has announced plans to acquire Shanghai-based MMORPG developer Dacheng Network Technology.

The deal will see the equivalent of $80 million USD paid in cash and through the purchase of shares to Dacheng's shareholders in the first quarter of 2010.

KongZhong already runs a successful mobile game development studio, while Dacheng creates and operates 3D massively multi-player online role-playing games. The acquisition is more likely focused on Dacheng's proprietary 3D game development engine, considering the immense popularity of both mobile and online gaming across China.

With the iPhone having received an official release in China recently the potential to finally combine these two aspects of gaming is huge, and the combined specialities of KongZhong and Dacheng are likely to make it the new power in both the mobile and online waters in the Far East.