On December 27th, Xiao Jun, founder and CEO of Xiaomi Technology and Chairman of Kingsoft Software Lei Jun delivered a speech at the annual meeting of internal game ecology, saying that the mobile game industry has already ended its first phase of barbaric growth, and will then enter a fine operation period.
Lei Jun believes that compared to PC games, there are only tens of millions of users, and the potential users of mobile games are many times larger. China has 1 billion mobile phone users are potential users of mobile games, and in the world, this figure is far more than 1 billion. .
"The development of mobile games to today, the value of IP is also getting higher and higher." Lei Jun said that such a game like Qian Bone has achieved great success, not only because of the content of the game, but more importantly, the interaction with the TV series and IP The promotion value.
Talking about the distribution of millet mutual entertainment in the game ecology, Lei Jun pointed out that millet is a game company that does not play games, but it can provide game developers with support for distribution and channels. Xiaomi also participates in the investment incubation of the game industry, including joint research and development, etc. .
Lei Jun also said that in order to meet the use of millet TV scenes, millet will directly invest in some game companies, to develop exclusive masterpiece games that can be played on television, and even play somatosensory games directly to replace the game console.
According to Reuters’ previous report, video game company Ouya has reached a cooperation agreement with Xiaomi. Ouya's games will be integrated into Xiaomi's TV set-top boxes and smart TVs, and receive specialized software channels for players to purchase or download games independently developed by Ouya. Not only that, Xiaomi may also market Ouya’s games, and the related revenue is shared by the two companies.
The following is a record of Lei Jun's speech:
Three years ago, when I founded Kingsoft Cloud, I had a dream. How can we make people in the game industry focus on the game content? Can we put servers, operation and maintenance, and IDC into third-party companies well enough? Therefore, Jinshan Cloud regards the game industry as the most important breakthrough point. We must invest $1 billion in the next three to five years to promote the cloud service market. This is a very large number for Jinshan Software and fully expresses itself. We are determined to do a good job of cloud services.
In the past two years, we have also been able to provide entertainment and channel support to our customers because we have 150 million users on our platform. We have participated in the investment incubation of the game industry, including joint research and development, so we are a A game company that does not play games can better provide ecological services and help. I feel that there are specializations in the industry. People outside the game industry are watching lively. People inside are looking hard and must make these creative young people. You can focus on what you are good at.
In 2015, friends in the entire mobile game industry felt that the pressure was relatively large. However, the number of large numbers had already reached 40 to 50 billion in the year, which was a year-on-year increase of more than 50%. However, why do people feel pressured? To be honest, the growth rate in 2015 was not The 12th, 13th, and 14th years have grown fast, and the content of the game has begun to tilt like the head. This has made it difficult for small and medium-sized or newly-started game companies.
In the several strategic seminars this year inside Jinshan, I talked about my point. I think that the mobile game industry is only the end of the first phase. The time for solving the barbarian growth has passed, and the second phase of refined operation has only just begun. At this point, I have raised a key issue. I think that mobile games must solve community problems before they can have more fun content and a more robust operating cycle. If this can be done, I think the market size is by no means today. Of the four or five billion, one day the mobile game market in China may exceed RMB 1 trillion.
Why do you think this way? It's very simple. The original game played on a PC was about 70,000 people, and there were 3 or 40 million heavy players. But the mobile phone has 1 billion users in China. Almost everyone will play some small games on mobile phones. The size of the entire business group is much larger than that of PC games, and it is easy to use Google Play to create a global market. Therefore, such a potential user group is more than 1 billion people, which is even larger than this scale.
In addition to heavy games, I think there is also a huge opportunity in the field of light games. With the development of the mobile Internet, new business models have begun to emerge. If a light game gets a lot of players who like to play, it seems that there is no way to charge, but having a huge customer base means huge profit potential. If I import advertising models and bring some advertisements in these light games, I believe this income will also be very impressive.
The third opportunity is the development of mobile games. Today, the value of IP is getting higher and higher. The success of games like Spongebob is a great success, not only because of the content of the game, but more importantly, the interaction with TV dramas and this The promotion value of IP. In today's pan-entertainment or big entertainment, how to unite with strong IP and promote with strong IP is also a topic that every CEO needs to think about.