Behind 'Honor Of Kings', Video Game Revenues Blast To Record $41.4B
Thursday, September 28, 2017 at 01:30PM in Honor of Kings, Mobile Games, Newzoo, Tencent, Video Games, Wideo Games, finances

By Barry Janoff

September 28, 2017: Led by Tencent and the enormous popularity of its Honor of Kings game — plus the fervent fans of such titles as League of Legends, Call of Duty, Grand Theft Auto and The Legend of Zelda — mobile and video game revenues generated by the top 25 public companies topped $41.4 billion in the first half of 2017.

That represents a 20% increase versus the same period in 2016, when revenues were $34.5 billion, according to the just released Global Games Market Report from Newzoo, San Francisco.

The $41.4 billion figure for the first half of 2017 is nearly double that from the first half of 2013, when the Top 25 public companies had game revenues of $22.2 billion.

First-half revenues in 2014 were $25.8 billion, $28.4 billion in 2015.

With China-based Tencent entrenched at No. 1, the Top Ten companies generated $31.4 billion of this, up 24%.

Mobile gaming accounted for 42% of all revenues generated by the Top Ten companies, up 40%. according to Newzoo.

Tencent stayed firm in its top position with revenues of $7.4 billion, a 50% increase versus the same period last year.

Tencent’s  growth was driven by the strength of Honor of Kings, a multi-player battle game for mobile phones, which the report said has 200 million players in China alone and more than 50 million daily users. The app is free but users can purchase items to advance and become stronger in the game.

The game is so popular in that nation that parents and teachers began to complain, according to local news reports. That led Tencent to limit that number of hours players under 18 could access the app and play per day, about 1-2 hours.

Looking forward, Tencent said it would be releasing a version of Honor of Kings in the U.S and Europe.

Tencent also plans to launch gaming platform WeGame and also a free-to-play version of Rocket League in China.

Tencent games also include League of Legends (via Riot, owned by Tencent), Clash of Clans (via Supercell, majority owned by Tencent), Call of Duty and World of Warcraft (the latter two via ownership deals with Activision Blizzard).

Sony was No. 2 among the top 25 public companies with revenues of $4.3 billion, up 25%. "That was primarily due to an increase in sales through the PlayStation network," according to Newzoo’s report.

"Honor of Kings is so popular in China that parents began to complain, moving Tencent to limit that number of hours players under 18 could access it."

Activision Blizzard was No. 3 with $3.9 billion in revenue (up from $3 billion in the first half of 2016).

Microsoft was No. 4 ($3.2 billion) and tied for No. 5 were Apple and EA ($3 billion each).

The Top Ten also includes NetEase ($2.9 billion), Google ($2.1 billion), Bandai Namco ($1.1 billion) and Nexon ($1 billion).

Newzoo said the fastest-rising company here was Korea-based Netmarble, (No. 12 overall behind Nintendo), "which completed a successful IPO in May and reported revenue growth of 81% versus the first half of 2016."

Among the companies that showed a decline versus the first half of 2016 were GungHo Entertainment (down 20%), which Newzoo said "struggled to replicate the success of Puzzles & Dragons"; Disney (down 8%) and Warner Bros. (down 2%).

See the full Top 25 numbers here.

Back to Home Page

Article originally appeared on (
See website for complete article licensing information.