Summary
Chinese conglomerateTencenthas become something of a quiet industry titan in the increasingly lucrative world of video game development. The tech giant found their footing in the gaming world as a significant stakeholder inEpic Games, Riot Games,and the Swiss-based studioMiniclip, who were a key player in thevery early days of mobile and Flash gaming.
They have been on something of a tear in recent years, though, buying stakes in major game developers at a rate to rivalMicrosoftas the industry draws increasingly narrower, as most media enterprises tend to do. With so much money flying around, perhaps it’s time to take stock and review thebest studios Tencent has invested in.
8Epic Games
Reported Stake: 40%
The relationship betweenTencentandEpic Gamesis well-established and probably the first name that comes to mind when listingTencent’s investments, but that’s not to diminish their significance to the gaming industry.Epic Gamesis the architect of theUnreal Engine,which remainsone of the best available to game designersand operator of theEpic Store.
An invaluable early venture into gaming forTencentthat surely helped them amass the expertise required to become the video game conglomerate they are today.
7Grinding Gear Games
Reported Stake: 100%
Grinding Gear Gamesis one of the narrower reaching and less recognized names in the industry — but one that is very significant to the community of fans thePath of Exilegames have established. Offering a slower, more deliberate take on the dungeon-crawling ofBlizzard’sDiablofranchise,Path of Exile 2was released into early access only recently and has already madebig waves in the industry.
ThePath of Exilegames make up the sole franchise in theGrinding Gear Gamescatalog, however, with the huge, ever-evolving dungeon crawl RPGs consuming countless hours of ongoing development.
6Riot Games
WithEpic Gamescovering the more administrative side,Tencent’searly venture intoRiot Gamesgave them a foothold in active game development and live service models. Starting as a Chinese publishing partner for the US-based studio, they quickly established control just in time to ride the monstrous wave ofLeague of Legends.
The lifestyle MOBA hasdeveloped a world of its own, establishing international tournaments and a lucrative multimedia franchise, including Netflix’sArcaneand the upcoming fighting game,2KXO.
5PlatinumGames
Reported Stake: Undisclosed
PlatinumGameswere considered the gold standard of hack-and-slash games, producing some of the most iconic entries in the genre of the past decade. They were famed for their incredibly fluid and satisfying combat systems that were equal parts challenging and rewarding.
That crown has slipped a little in recent years with the disastrous release ofBabylon’s Fall,but the studio has vowed to rise again, creating games that “surprise and delight.”
4Remedy Entertainment
Reported Stake: 14%
Tencentmay have only acquired 14% ofRemedy Entertainment, but that is enough to make them the second-largest shareholder, giving them significant voting power in the humble Finnish developer. Making a name for themselves with the iconic bullet-time shooterMax Paynenear the turn of the millennium, the studio has gone on to amass a significant reputation.
Remedy Entertainmentisn’t the most prolific studio, but dedicated fans are rewarded with unique gameplay mechanics, surreal storytelling, anda strong dedication to quality, which has endearedRemedyto gamers in an era of rushed releases and post-launch patches.
3Paradox Interactive
Reported Stake: 10%
Paradox Interactiveare a studio that may not be a household name for many, but they are a pre-eminent player in the world of grand strategy and 4X games. For the niche of gamers who want to sink dozens of hours into a narratively rich, strategically deep, and historically accurate endeavor, there are few better developers.
They’ve also successfully crossed over into the burgeoning tabletop strategy market, redeveloping some of their existing IPs and acquiring famed RPG publisherWhite Wolf Publishing.
2FromSoftware
Reported Stake: 16%
FromSoftwareare incredibly influential developers in modern gaming, defining a combat system with such a high barometer of quality that an entire ‘soulslike’ subgenre was spawned from a plethora of other developers attempting to recreate the feel.
FromSoftwareis another studio that rewards fans byconsistently putting out quality releasesand continuing to iterate on their hugely successful formula. They further catapulted into the mainstream with the industry-shaking release ofElden Ringin 2022, their first foray into open-world video games and winner of countless Game of the Year awards. A testament to one of the best AAA studios around.
1Ubisoft
Ubisoftis certainly a company of ups and downs and one thathasn’t always adhered to strong quality control, unlike some of the aforementioned studios. They are still one of the biggest names in video game development though, and an incredibly lucrative company holding major IPs.
Tencentis reported to have a partnership agreement with the majority stakeholders, the Guillemot Family, giving them a potentially extensive level of control. With the company also reported to be in some financial strife, this could be a relationship that continues to grow, representing one ofTencent’slargest ventures into gaming.
