Tencent pulls out of the PUBG game in China while regulatory approval proves difficult to reach

SHANGHAI / HONG KONG (Reuters) – Tencent Holdings Ltd. announced on Wednesday that it would cease offering in China its test version of the hit global video game "PlayerUnknown's Battlegrounds" (PUBG), after having waited in vain more than a year before obtaining its regulatory approval. to start sales.

The Chinese leader of video games said in November 2017 that he would introduce the bloody game in China and gave it a socialist makeover to abide by the strict rules of the government at its informal launch of the title in the following February.

PUBG, a South Korean-based manufacturer, has been named by global video game distributor Steam as one of its most profitable titles in 2018, and industry insiders have estimated that Tencent could generate a revenue-generating figure. $ 1 billion business where he was allowed to earn an income.

"The PlayerUnknown battleground test phase officially ends on May 8. We thank everyone for the support they have given us so far," said an article on the official account of the game on the Weibo Chinese platform, similar to Twitter.

Tencent did not immediately respond to requests for additional comments from Reuters.

The Weibo publication also announced the launch on Wednesday of a similar title, "Game for Peace," licensed by Tencent, which got approval from the authorities monetization in April.

Jefferies analysts said the earlier-than-expected launch of the tactical shooter, a tribute to Chinese aviation, bode well for the growth of Tencent's game in the second half of this year.

"Despite the simultaneous closure of PUBG, the direct migration of user and purchasing data should reduce the risk of termination," he said in a research note, citing the need to limit the loss of users transferring the PUBG data to Game for Peace.

The subject "PlayerUnknown's battlefields disappeared" was Wednesday's most watched topic on Weibo, with over 300 million clicks and nearly 90,000 posts.