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Chapter 248, page 0245: [The Clash Between Grassroots and Capital]

Chapter 248, page 0245: [The Clash Between Grassroots and Capital]

Because of the ChinaJoy electronics show, hotels near the National Expo Center are filled with staff from Chinese and foreign game companies.

Chen Guiliang arrived at the hotel and met with Tao Chenggang first.

At this time last year, Tao Chenggang was busy making games, but now he is showing up at the event with "The Reign of the Emperor".

When the two met, besides talking about Tao Xue's college entrance exam, they naturally chatted about their respective games.

Chen Guiliang said that the monthly revenue of "Three Kingdoms Kill" just exceeded 1000 million yuan last month.

Because of the relatively low promotion and operating costs, and the existence of its own payment system, the net profit is still quite considerable.

In addition to revenue sharing from overseas sales of "Three Kingdoms Kill," profits from physical card sales, profits from Youpay, and revenue from some mini-games, Game Science's estimated monthly net profit is 1000 million yuan.

Some players of "The Emperor's Reign" are also using Youke's Youpay to recharge their accounts.

There are two "tens of millions of yuan" here. The former is only the online revenue of "Three Kingdoms Kill", while the latter is the net profit of the entire company!
A monthly net profit exceeding 1000 million yuan is already quite impressive.

Tao Chenggang said triumphantly, "The revenue of 'The Reign of Power' this month is guaranteed to be at least 3200 million, and if the operation is good, it may approach 3500 million. We will strive to reach the goal of 5000 million in monthly revenue by the end of the year."

Chen Guiliang joked, "Your revenue figures actually didn't meet my initial expectations."

Hearing this, Tao Chenggang said with a bitter face, "Who knew a bunch of free-to-play games would appear? Although 'Yulgang' is almost dead, there are 'Zhengtu,' 'Eudemons Online,' and 'Legend of Mir' coming to grab the free-to-play market. This situation was completely unexpected."

"Hahaha." Chen Guiliang laughed heartlessly.

Tao Chenggang sighed, "The promotion strategy of 'Conquer Online' simply couldn't hold up, and 'Eudemons Online' is a real oddity. Do you even know how 'Eudemons Online' does its promotion?"

"How did you promote it?" Chen Guiliang asked, playing the straight man.

Tao Chenggang said, "The ground promotion team of 'Eudemons Online' calls themselves the 'Cavalry Company' and even talks about the spirit of 'Bright Sword'. They challenge the 'Conquer Online' team in internet cafes in second- and third-tier cities, and they keep shouting 'Cavalry Company Charge'."

"If an internet cafe has already partnered with 'Zhengtu,' the 'Eudemons Online' team will directly book the entire place at a premium. They'll stand at the internet cafe entrance and shout that all the computers are already paid for, and you can play for free all day. But you have to play 'Eudemons Online'!"

"In this month's 17173 monthly rankings, 'Eudemons Online' is estimated to break into the top ten."

Chen Guiliang thought to himself, Shi Yuzhu wasn't the only one spending money like crazy.

Tao Chenggang faces immense competitive pressure when developing free-to-play MMOs.

"Three Kingdoms Kill" is so much easier to play; there are absolutely no competitors. Although its monthly revenue is far less than "The Emperor's Reign," it allows for a steady, passive income stream.

Chen Guiliang said, "I bought the game adaptation rights for 'My Own Swordsman'. The project has been approved, and we are currently assembling a development team. We also plan to make it a free-to-play game."

"Damn. If you enter this market, the competition will be even fiercer," Tao Chenggang said.

Ning Caishen has been confirmed as one of the planners for "My Own Swordsman". He is responsible for perfecting the game's world view and completing the story that was not finished in the TV series.

This guy is quite expensive, but worth it; he can also be used as a promotional gimmick.

Chen Guiliang wanted to promote Feng Ji to be the chief planner.

Although this person was self-taught and had virtually no experience, according to the Future Era development team, Feng Ji picked things up very quickly.

In just a few months, Feng Ji went from being a menial worker in the development team to one of the core planners.

He's played countless games, is quick-witted, learns fast, and possesses management talent. It's only a matter of time before he stands out; it's just a matter of whether he has the right platform to hone his skills.

The only drawback is its excessive perfectionism. Many members of the development team have been driven crazy by Feng Ji's nitpicking demands!
……

The following day, the ChinaJoy electronics show began.

The State Administration of Press and Publication and local leaders delivered speeches in succession, followed by speeches from the bigwigs at the main forum.

Which companies' bigwigs?
The unchanging top three are The9, NetEase, and Shanda – these three are the most profitable game companies.

Despite the apparent decline of "Legend of Mir" and "Legend of Mir 2" in popularity, with their rankings plummeting on 17173's charts, the profitability of these two games remains unmatched by emerging games.

Moreover, Shanda has the most complete game recharge system in the country, and its offline channels cover 70% of internet cafes nationwide.

A large number of small and medium-sized game companies recharge through Shanda's payment system, and the revenue share they give to Shanda every month is staggering.

Chen Guiliang and Tao Chenggang were also invited to give speeches, but their speeches took place at a breakout session of the forum.

During his speech, Tao Chenggang mainly introduced his professional experience and how he made games for his dream.

There's no way around it; I can't let my public image crumble.

"After graduating from junior college, I got a job at a state-owned enterprise. For a young person from a small, third-tier city, getting a job at a state-owned enterprise is already the most perfect thing. But I want to go out and see the world. I don't want to be stuck in a small place for the rest of my life, living a life where I can see the end from the beginning..."

“I quickly spent all the living expenses my parents gave me. To save money, I even slept on the streets of Shanghai. Back then, it was relatively easy for college graduates to find jobs, but my standards were too high, and I had a terrible temper, so I would quit every job after a short time…”

"Later, when Starcom expanded its business and recruited people, I applied and became a promoter for PHS (Personal Handyphone System). Later, I was sent to third- and fourth-tier cities to promote PHS, and I found that selling IC cards there was a blue ocean market. So I resigned and became an IC card agent. Although I call myself an agent, I was actually a card dealer, and I earned my first pot of gold of several hundred thousand yuan."

"..."

As he talked about selling internet cafes, selling cars to make games, and even planning to sell his house, Tao Chenggang suddenly burst into tears.

Superb acting skills!

Of course, genuine emotions were also involved. He was genuinely worried at the time, sometimes tossing and turning all night, unable to sleep. Finally, Tao Chenggang said that the game's quality must be guaranteed, and content innovation should be carried out on that basis. Blah blah blah.

The audience burst into applause.

The founders of small game companies, in particular, have a natural affinity for Tao Chenggang. Some even idolize him, dreaming of one day achieving their own success.

Stories of ordinary people achieving success against all odds resonate with people of similar backgrounds, no matter where they are placed.

In the past year, over a hundred new game companies have joined the ranks.

The founders of these small companies lack nothing but dreams. They attend trade shows and gaming forums today simply to gain more support and resources.

They want to become the next Tao Chenggang!
This forum breakout session is specifically for discussing free-to-play MMO games.

After Tao Chenggang finished speaking, the next person to speak was Shi Yuzhu.

The two are completely opposite.

Tao Chenggang has always said he lacks the funds to make games. And what about Shi Yuzhu?
"I'm never stingy when it comes to things. The early development of 'Zhengtu' cost 4000 million yuan, and most of that went to employee salaries. At the beginning, the development team only had 20 people, but it eventually grew to 200 people..."

"For the initial team of 20 people, I gave each person company stock options and paid them the highest salaries in the industry. I also invested over ten million yuan of my own money to build our own servers..."

“I’ve established branch offices in every province across the country, and we’re pushing our way down from second-tier cities to small counties. My sales team has grown to over 2000 people… We’ve invested $1 million directly, and we’re also putting another $1 million in reserves!”

"Is there any secret to making games? Actually, it's very simple. The competition in this industry isn't as fierce as you might imagine. The rich are extremely rich; Ding Sanshi has 30 billion yuan in cash sitting there..."

"But most companies struggle to even spend two or three million to develop a game, let alone keep up with the later stages... Mr. Tao's 'Reign of Power' is an exception. Games with investments under 500 million have a success rate of less than 10%. On the other hand, not a single game with an investment of over 2000 million has failed..."

Shi Yuzhu spoke passionately on stage, but his colleagues in the audience frowned.

They even felt fear.

The contrast between the two makes Tao Chenggang seem even more endearing.

The reporters on the scene became even more excited, and they already knew how to report it: when capital and grassroots compete on the same stage, who will have the last laugh?
The forum session where Chen Guiliang was located was themed around casual online games.

Yes, "Three Kingdoms Kill" is also classified as a casual online game.

The games in the same industry are similar to Audition Online, Bubble Fighter, and KartRider.

There are also games based on the Three Kingdoms period, such as "Three Kingdoms Strategy," a strategy battle game. It may seem relatively unknown, but it's actually quite profitable. Moreover, it's been licensed to Xiaorizi (a gaming platform), where it's even more popular than "Three Kingdoms Kill."

"Many representatives from major companies are present here, and their speeches just now were very insightful. There is much I can learn from them..." Chen Guiliang's speech was very polite.

Since there's no competition, a few compliments are a win-win situation.

Chen Guiliang continued, "There are many founders of new companies here. I've just come from that stage myself, and I know what it's like to start a company with insufficient funds. I've always believed that you shouldn't be reckless when making games; there are ways to do things even without money..."

"By pioneering a new path, 'Three Kingdoms Kill' can avoid competing with major companies. This is especially true for casual online games..."

"Haoyu Technology's 'Three Kingdoms Strategy' is very impressive and has won many awards, such as being named one of the Top Ten Most Influential Domestic Online Games Brands last year..."

"Haha, we both work on the Three Kingdoms theme, and our companies are both located in the HD district. I'm at Peking University, and Mr. Wang is at Tsinghua University. We can do some collaborations in the future. After all, Peking and Tsinghua are like family..."

This remark caused the entire audience to burst into laughter.

Wang Rui of Haoyu Technology sat below, not knowing whether to laugh or cry.

He started his business a year earlier than Chen Guiliang.

One is at Tsinghua Science Park, the other at Peking University Science Park. One is developing "Three Kingdoms Strategy," the other is developing "Three Kingdoms Kill."

And they all succeeded.

Some people have dubbed them the "Twin Jewels of Tsinghua and Peking Universities".

After the forum ended, Wang Rui took the initiative to shake hands with Chen Guiliang: "Let's have a few more drinks when we get back to Beijing? How about we meet at the barbecue stall outside the southwest gate of Tsinghua University? It's close to your company."

“Sure, we’re neighbors anyway,” Chen Guiliang said with a smile.

This guy is 30 years old. He used to work at Tsinghua Tongfang and later joined Kingsoft.

More than ten years later, it seems he's gone into investment and is still dabbling in blockchain.

Besides Wang Rui, a large group of founders from small game companies also gathered around.

They eagerly handed Chen Guiliang their business cards, hoping he would critique their games. Some of their games were even unfinished; their sole aim was to get Chen Guiliang to invest.

Chen Guiliang invested in Tao Chenggang, and the game was a success.

Small business owners, lacking funds, also want to replicate the model. Who knows, Chen Guiliang might actually be willing to invest money.

Chen Guiliang gladly accepted more than ten business cards; he really intended to get to know them properly.

What if we discover a game with potential?
Even if they don't discover any great games, they can still get to know a group of game industry professionals with entrepreneurial passion. When their startups fail and they're left with nowhere else to turn, Game Science might be able to take the opportunity to recruit some talent.

(End of this chapter)

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