LoL developer Riot Games has been fully sold
(Mirror Daily, United States) – A couple of years have passed, but China’s Tencent now fully owns ‘League of Legends’ after buying out most of the studios back in 2011. The transaction has been completed for an unknown amount, but it’s been announced that the Chinese internet company, Tencent Holdings Limited, has completely bought the American company, Riot Games.
Riot Games started out as an indie developer in the mid 2000s. However, their success basically exploded with the development of ‘League of Legends’, or LoL as it’s most commonly known to gamers. The MOBA sensation has gained the dedication of fans and its popularity skyrocketed. It has become a near culture, with numerous competitive games and huge prizes.
Today, ‘League of Legends’ has over 50 million players, which has earned Riot Games around $1.3 billion last year for in-app purchases. This is in spite of the fact that the popular MOBA is entirely free. It speaks more to the success and sheer immensity of the game’s fan base.
Until now, Tencent already owned 93% of the Riot Games, but the few extra points have been purchased as well. The Chinese company has completed the transaction for an undisclosed sum. However, Tencent has been recently estimated at around $200 billion, so it was likely able to afford it. With the acquisition though, it’s officially the largest corporation in the world.
The company also owns stocks in Activision Blizzard, known for games such as ‘World of Warcraft’ or ‘Call of Duty’, Epic Games with ‘Gears of War’, GLU Mobile, and Pocket Games. They have now purchased the remaining equity of Riot Games, and there will be a few changes for its employees. For example, the company has stated that it will change compensation from ‘equity’ to ‘cash incentive’.
Considering Tencent wants to own the entire firm, the change is understandable. Though it remains to be seen if it will be favorable for everyone involved. ‘League of Legends’ has not witnessed a drop in popularity. In fact, Riot Games announced earlier that a big update is coming, concerning fixes, characters, monsters and a few others. However, it has not been confirmed yet if the changes will not be delayed by the acquisition.
The Chinese company, however, seems to want to keep the management just the same. That means that there likely won’t be any major changes noted by the average LoL player. It would be a dangerous risk to rock the boat now that it’s doing so well. ‘League of Legends’ has become highly competitive, and there’s a major base of players that would be irked at every misstep.
Image source: greaterlasvegaschurchofchrist.com