World of Warcraft China Examined

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A new article on Gaming Steve details the challenges World of Warcraft faces in China, including health issues, regulations imposed by the Chinese government, and more. Regardless of such challenges, though, it sounds like the game is still making plenty of money for Blizzard, VU Games, and provider The9. Check it out:

Concerning the WOW license agreement with Vivendi Universal Games (VUG)and Blizzard

(We are obligated to pay royalties equal to 22% of the face value of WoW prepaid cards and online points sold by us by making recoupable advances against royalty payments in an aggregate amount of approximately US$51.3 million over a four−year period commencing from the commercial launch. We paid VUG an initial non−refundable license fee of US$3.0 million in 2004 and the first year minimum royalty guarantee of US$13.0 million in 2005. We are also obligated to commit no less than approximately US$13.0 million in the marketing and promotion of WoW in China during the term of the license agreement. To meet this obligation and to promote WoW in China, we have agreed to conduct a joint marketing campaign with Coca−cola (China) Beverages Limited, or Coca−Cola China, to promote WoW in China.)

World of Warcraft China Examined

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