This tech firm is stockpiling Chinese gaming hits in order to compete with Sony

This tech firm is stockpiling Chinese gaming hits in order to compete with Sony

According to reports, Microsoft Corp is stockpiling Chinese video game content in order to replicate Sony Group Corp’s success with “Genshin Impact,” cementing China’s transition from a nation of players to a hub of blockbuster makers.

The US software giant and Japan’s technological vanguard have been paying significant money to tiny producers for years to foster programmes and licence titles, but the influence of “Genshin Impact” has added a feeling of urgency, according to sources.

Since its release two years ago, the action role-playing game from budding Shanghai studio miHoYo has generated billions of dollars and raised the bar in multi-player, cross-platform games – the type that Microsoft and Sony are looking for in China for their Game Pass and PlayStation Plus subscription services, according to sources.

Analysts believe that the growing Western interest in Chinese games shows the maturation of China’s game creation sector. According to Daniel Ahmad, senior analyst at researcher Niko Partners, Chinese games are now on par with big-budget Western games.

“Chinese game makers are attempting to standardize their development tools, build innovative production methods, and invest in really large-scale teams,” Ahmad explained.

According to two industry sources, Microsoft has been assembling a team to spy for Chinese games. The Xbox creator has primarily built its subscription catalogue with big-name titles but is now pursuing indie studios with bigmoney offers, according to sources.

Simultaneously, filings revealed that Microsoft is expanding its subscription service to personal computers and handheld devices, heightening the appeal of Chinese developers such as miHoYo, which have built a reputation for multi-player, cross-platform compatibility – “Genshin Impact” being a prime example.