jlm-pacific-epoch posts

Statistics point to China's growing significance in MMO industry

by James Egan Mar 20th 2009 at 5:00PM

Filed under: Culture, MMO industry, Legal

We've been mentioning a bit about some of the regulatory issues in China affecting massively multiplayer online games, particularly as they concern some Western game companies. However, a number of gamers in the West have wondered something along the lines of, "What does this have to do with me?" Well, in terms of Western markets directly, not much. But China is significant for the MMO industry seen as a whole.

China will be the world's largest MMO market moving forward and as broadband speeds and penetration increase, the numbers of online gamers will keep rising. The current regulatory changes put forth by China's General Administration of Press and Publication (GAPP) stands to have a major impact on how online games are operated in this market, ranging from implementation of a "fatigue system" (where play time is limited each day) to censorship of game content. The country has over 55.5 million online gamers, with a total market for virtual transactions between USD 1.4 billion and 1.9 billion (RMB 10-13 billion), according to 2008 statistics released by the China Internet Network Information Center (as reported in English by JLM Pacific Epoch).

Tags: asia, censorship, china, cinic, cnnic, culture, fatigue, fatigue-system, gapp, jlm-pacific-epoch, legal, mmo-industry, regulations, regulatory, virtual-goods, virtual-transactions

China to impose more restrictions on foreign online games

by James Egan Mar 16th 2009 at 5:00PM

Filed under: Business models, Culture, MMO industry, News items, Legal

We've mentioned some of the issues that China's licensed World of Warcraft operator The9 faces with bringing Wrath of the Lich King to market, and what this latest round of regulation could mean for the the operator. The government's newfound concern with controlling exactly what content exists in online games played in China may have an impact that goes far beyond World of Warcraft. Other foreign MMOs are presently operating in China, while others have their eyes on this growing market.

JLM Pacific Epoch cites (the Chinese-language news portal) Sohu, which reports that the General Administration of Press and Publication (GAPP) will "tighten approval criteria for online game imports in an effort to protect the development of online game enterprises and avoid the excessive penetration of foreign culture among Chinese youth."

Tags: asia, business-models, censorship, china, culture, gapp, jlm-pacific-epoch, legal, mmo-industry, operator, operators, protectionism, regulations, sohu, the9, wow-china

China's The9 faces bankruptcy if Wrath expansion not approved by government

by James Egan Mar 13th 2009 at 5:00PM

Filed under: World of Warcraft, Fantasy, Business models, Expansions, MMO industry, News items

We reported the other day on the issues that The9 is having with getting the Wrath of the Lich King expansion released in China. The government is unwilling to approve the World of Warcraft expansion, citing 'health' and decency concerns about the game's content. The9 is the licensed operator of World of Warcraft in China, and the company paid a significant amount in licensing fees to Blizzard Entertainment in April of 2008 to secure the rights to operate Wrath, according to Shanghai-based JLM Pacific Epoch.

Although the Chinese regulatory body, the General Administration of Press and Publication (GAPP), is chiefly concerned with removing "unhealthy" content from the game, their stance could prove disastrous for The9. If GAPP doesn't green light the Wrath of the Lich King expansion in China, The9 will not be able to recoup their losses and may face bankruptcy.

One of Azeroth's millions of citizens? Check out our ongoing coverage of the World of Warcraft, and be sure to touch base with our sister site WoW Insider for all your Lich King needs!

Tags: asia, business-models, censorship, china, expansions, fantasy, gapp, jlm-pacific-epoch, licensed-operator, mmo-industry, operator, regulation, regulatory-body, shanghai, the9, world-of-warcraft, wotlk, wow, wrath, wrath-of-the-lich-king

Wrath of the Lich King rejected thus far by Chinese government

by James Egan Mar 10th 2009 at 3:00PM

Filed under: World of Warcraft, Fantasy, Expansions, MMO industry, News items, Legal

Continuing on in that upward ascension toward MMO godhood, Blizzard's Wrath of the Lich King expansion for World of Warcraft has proven to be popular with the Death Knight crowd in Western markets. "Popular" is an understatement, of course. Millions of MMO gamers have bought the expansion to date. Despite its success in Western markets, Wrath of the Lich King still hasn't been released in China, where the title has a significant playerbase. Why? Regulatory issues and censorship.

China-based JLM Pacific Epoch reports: "The government has rejected two applications by the second expansion for The9's (Nasdaq: NCTY) licensed MMORPG World of Warcraft, "Wrath of the Lich King," [...] The applications were rejected due to content that didn't meet requirements, including a city raid and skeleton characters; the submitted version did not contain WLK's Death Knight first hero class..."

Tags: asia, censorship, china, death-knight, death-knights, expansions, fantasy, government, jlm-pacific-epoch, legal, mmo-industry, regulatory, skeleton, skeletons, the9, world-of-warcraft, wow, wrath-of-the-lich-king