Mobile Games, Asian Companies

The $1.5 billion deal by SoftBank of Japan for a majority stake in the Finnish game developer Supercell shows that Asian companies are still building positions in the industry --

Asia, Where Mobile Games Flowered, Extends Its Reach - NYTimes.com: ". . . . The growth of mobile gaming is upending the longstanding business model of the business, which was based on the sale of games — and the devices to play them. The new approach is to give away games away for smartphones and then to earn revenue from in-game purchases, advertising and other add-ons. While the so-called free-to-play model has spread to much of the rest of the world, it was mostly pioneered in Asia. “If the U.S. and Europe are great conceptually, the leading Asian markets are masters of the science of making money from mobile,” said Tim Merel, founder of Digi-Capital. In September, two Asian countries, Japan and South Korea, together accounted for a whopping 62 percent of worldwide revenue from games on the Google Play mobile app store, according to App Annie. The United States represented 15 percent of sales. Over all, Asia accounts for half of the revenue in the mobile game business, and this will grow to two-thirds in 2016, according to Digi-Capital. . . ." (read more at the link above)

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