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Players can purchase skins which provide new and unique abilities to certain characters as well. Honor of Kings also has completely different characters to League of Legends that are based on Chinese history. Despite this simplification, the game is still very much skill based. Honor of Kings benefits from smaller maps, shorter session times and simpler controls making the game more casual friendly.
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The first unique factor is that Honor of Kings is designed from the ground up for mobile devices whereas League of Legends is designed for PC gamers. However, Tencent has made subtle changes to Honor of Kings which has allowed it to stand out as a unique title in the eyes of gamers. On paper the two games are nearly identical: they’re both MOBAs, they both use very similar visual styles and map designs, they both have similar player abilities and most notably they both have the exact same gameplay mechanics. What’s extremely interesting to note is that the growth of Honor of Kings did not have a negative effect on the growth of League of Legends in China. At the end of 2015 the game had 7.5 million daily active users and at the end of 2016 the game had 50 million daily active users. The game launched in 2015 and since then it has grown to become the highest grossing mobile game in China for 2016 on both iOS and Android. In fact, if you were to put pictures of the two games side by side you might struggle to tell them apart. The second title, Honor of Kings (Also known as “King of Glory” originally) developed by Tencent’s Timi studio, is a MOBA title that is very similar League of Legends. The growth has been nothing short of astounding and right now it is the most popular online PC game in China and the world. The game has dominated PC online gaming for the past 4 years and has grown from 32 million monthly users in 2012 to 67 million monthly users in 2014 to over 100 million monthly users in 2016. The first title, League of Legends developed by Riot Games, is extremely popular around the globe. Whilst Tencent has a broad range of games that can be considered hits, there are two games that are extremely similar and account for over 25% of Tencent’s annual games revenue.
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On top of all of that, Tencent has also invested in many gaming companies such as Epic Games, Activision Blizzard, CJ Games, Glu Mobile, Plain Vanilla, Aiming, Pocket Gems and has an 84% stake in Supercell and full ownership of Riot Games. Tencent has also grown its external partnerships by localizing and publishing licensed titles such as Crossfire, Dungeon & Fighter and Call of Duty Online in China.
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The company also owns several game development studios that have been able to deliver high quality software for mobile and PC.
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In addition, the company operates Tencent My App, the number one Android store in China.
The company operates WeChat, an instant messaging and social media service that has over 889 million active users. Tencent owns nearly 50% of China’s game market because of the strength of its game offerings and internal capabilities in value added services. Tencent is a giant in the gaming business and made headlines this week as it surpassed Wells Fargo to become the 10 th biggest company in the world by market cap.
This makes Tencent the world’s largest games company for the fourth year in a row and it’s worth bearing in mind that the $10.2 billion number doesn’t include revenues generated by Supercell who was purchased by Tencent last year. Tencent had a record year in 2016 as it saw game revenues increase 25% YoY to 70,844 million RMB / $10.2 billion USD.
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