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Tencent Acquires Two ByteDance Game Studios

March 16, 2024
in Technology
Tencent Acquires Two ByteDance Game Studios
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Insider sources report that Tencent has taken over certain gaming operations previously cut by ByteDance. These include the 2D tactical competitive project (S1) from Shenzhen Gravity Studio and the 2D open-world project (J5) from Jiangnan Studio. Both projects have been absorbed into Tencent‘s Photon Studio. A new company, Saros Network Technology (Shenzhen) Co., Ltd., has been established, with several former ByteDance employees already onboard. Registered on December 21, 2023, Saros is a wholly-owned subsidiary of the Tencent Group.

At present, Jiangnan Studio is still operating ‘Planet: Reboot’, which was launched in 2023, and is leading the development of a 2D open-world project and a large-scale shooting project. Gravity Studio, which was established later, is currently researching a core product, a tactical competitive shooting game developed based on the Unreal 5 engine, which has been in development for about two years.

Looking at the business situation of the two studios, Tencent has reasons for choosing these two.

Whether ‘Planet: Reboot’ operated by Jiangnan Studio will continue to operate is still uncertain, but considering the good initial data when the game was launched, Tencent may provide distribution and operational support. At the same time, the 2D open-world project being researched by Jiangnan Studio is a relatively scarce product in Tencent‘s own game products.

Gravity Studio is more inclined to heavy tactical shooting games, and games developed with the Unreal 5 engine are mostly AAA-level, with long development cycles and high development costs. Tencent‘s takeover at this time can not only enrich the game product line but also save some of the early game research and development investment.

In addition to the two studios acquired this time, there are no clear buyers for VI-GAME and MMC studios under ByteDance. The two have independently developed the action RPG game ‘Crystal Core’ and the sci-fi shooting game ‘Planet: Reboot’, which are considered the two most successful heavy mobile games launched by ByteDance in its game layout so far.”

SEE ALSO: XPeng Motors Core Management Team Undergoes Changes

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