Another company will be under Tencent. This time, it’s a Chinese eSport tournament operator, Versus Programming Network (VSPN).
VSPN, according to Sohu Sports is China’s largest esports tournament operator and production company. Tencent and VSPN have signed a strategic partnership to strengthen China’s esports ecosystem. Unfortunately, there were no details on how much Tencent had to pay.
VSPN itself was found in September 2015 and is a subsidiary of Hero Entertainment, a mobile game developer. Hero Entertainment is known for its popular first-person shooting game Crisis Action.
The investment by Tencent in VSPN is in-line with their eSport industry target in China. It plans to create a US$5 billion eSport industry in China by 2022. This includes establishing esports leagues, tournaments, and associations, as well as constructing esports-themed industrial parks.
Tencent will then get a share of VSPN’s organizing tournaments such as Honour of Kings, Clash Royale, Playerunknown’s Battlegrounds, Crossfire, FIFA Online 3, League of Legends and other games.
It’s also worth noting that Tencent is already a prime investor for top video game streaming platforms. This includes Tencent’s US$632M investment in Douyu TV. Not to mention a US$461.1M investment in Huya TV.
The company also has a majority of publishing rights in China. This includes a 40% ownership stake in Epic Games. Also, it has the right to release Fortnite in China with a US$15.8M spending plan on the game’s marketing and eSport tournaments.
There are also reports claiming that Tencent is investing a whopping US$470M on PUBG‘s developer, Bluehole Studio.
Another global expansion for the Chinese giants. This time, Tencent expands to UK. The collaboration will feature technology and culture.
With all the investment actions that Tencent took. It’s just a matter of time it will reclaim its money to become the biggest gaming company in the world. Wouldn’t you agree?
Edited by Devi