The 9 revenues drop by 94% after losing WoW
by Zach Yonzon 
Nov 30th 2009 at 8:00PM
Although The 9 downplays the loss, pointing to notable growth in their other licenses, such as FIFA Online 2 and Granado Espada, the impact of losing the publishing rights to Blizzard's phenomenal MMOG was more than apparent. World of Warcraft has a tumultuous history in China, with The9 losing the rights to rival Netease back in June, with rumors swirling about the change as early as April of this year.
World of Warcraft is currently in the middle of a power struggle between two Chinese government agencies, resulting in the suspension of the game. Players in mainland China have reportedly not had access to the game in months and there were numerous delays to the Wrath of the Lich King expansion, putting the future of World of Warcraft in the country, as well as its potential millions of dollars in profits, in question.
[via Massively]
Filed under: Blizzard, News items, Economy
Reader Comments (Page 1 of 2)
OneSound Nov 30th 2009 8:04PM
wow...just...wow
Mynarc Dec 1st 2009 9:17AM
or the lack of wow
Blackhorn Dec 1st 2009 11:49AM
Please sign my petition to end the overuse of the two following forum responses:
First, "wow. just wow."
and "This."
/signed
cronos1212 Dec 1st 2009 11:59AM
^This
Wow... just wow...
CallMeIrd Nov 30th 2009 8:07PM
Are they arguing over the censorship still? Or is it just boring money stuff they're worrying about.
Blasterion Nov 30th 2009 8:51PM
money really
jfofla Nov 30th 2009 8:11PM
I would not worry either if I had the lucrative FIFA Online 2 license to fall back on.
Bonksy Nov 30th 2009 8:23PM
Don't forget Granado Espada
Dart Nov 30th 2009 8:42PM
Granado Espada is actually pretty fun @__@
Sithril Nov 30th 2009 8:24PM
Im no economist , but if it were any other company in any other country - wouldnt it go bankrupt by now ?
elvendude Nov 30th 2009 8:49PM
Not necessarily. They now don't have the costs associated with WoW.
aol sucks balls Nov 30th 2009 9:31PM
Exactly. Revenue != profit.
Sithril Nov 30th 2009 11:52PM
Thanks!
JFetch Nov 30th 2009 8:42PM
"Sorry, you ticket is no longer valid for the gravy train. Please exit at the next stop."
McCombs Nov 30th 2009 9:09PM
Sad really, that a developed, powerful country such as China hurts its people and businesses due to what boils down to ego.
And its scary that in our lifetimes that same country will become increasingly powerful and influential in the world.
Mop+Bucket Nov 30th 2009 9:52PM
It is entirely possible that we may get cataclysm before the chinese get Wrath...
Can you imagine that?! Two expansions behind the rest of the world.
busuan Nov 30th 2009 9:33PM
The real struggle.
NetEase promised Blizzard that they would give up much more control to Blizzard if they were awarded the contract.
You may ask, how much more is 'much more'?
That is: Blizzard would now have a channel (through NetEase) to directly market and Publish (!) their new products in China.
You may say, big deal! so what?!
Well, it is against the rules/law/consensus of Chinese government/gaming industry that foreign firms are Prohibited from doing so until...forever!
However, NetEase have some really powerful lobbying agents...much much better that The9 had. NetEase could probably be able to change the rules of the game.
And Blizzard knew it.
Other Chinese gaming companies knew it too. They have formed a united front against NetEase/Blizzard.
Politics, people, politics. Wherever there are people, there's politics.
So, please throw away your 'free zis free zat' mentality, if you haven't done it already. Most modern issues have nothing to do with Freedom...
Chris Nov 30th 2009 9:48PM
The information in this article is incorrect, although you probably just thought revenue is the same thing as earnings. The 3.7, 42.2 and 59.8 million are all revenues, not earnings as you have incorrectly labeled.
Please don't write an article if you don't even understand what you are writing about.
"Their revenues were posted at $3.7 million, a significant drop from their second quarter earnings which was pegged at $42.2 million (while they still held the license). Last year, The9 reported earnings of $59.8 million."
Zach Nov 30th 2009 9:49PM
Thanks for pointing that out. Corrected.
Chris Nov 30th 2009 9:50PM
To clarify, revenue can be thought of the gold you rake in from selling your gems on the AH.
Earnings, can be thought of as the gold you rake in from selling your gems minus the gold you paid for the ore you prospected to get the gems.