On the 7th of May, in China, Tencent Games has pulled the plug on its viral game - PUBG Mobile. But they also simultaneously launched a "new" mobile battle royale title. Talking about the maps, game mechanics, or the logo, this new title is similar to the popular PUBG Mobile. That was a classic move of face changing by Tencent. Why did they do that? What is the reason behind this move?

But they also simultaneously launched a "new" mobile battle royale title.

In this article, we will take a look into the approval process for video games of the Chinese government, to understand better the action of Tencent.

Note: Why other news outlets will refer to the game as "Game for Peace" translated directly from the Chinese title. The official English title for this game is Peacekeeper Elite. 

The Chinese Approval Process For Video Games

There are two game publishing systems in our world. One base on verification, the other is a system of content rating. The method of content rating is widely used in the western markets, for example, the ESRB in the US, the PEGI in Europe, and the CERO in Japan. Other industries like television and film also used this system to published their entertainment contents.

This system takes into consideration many factors to release a game as its content and the potential political influence.

Not like other markets, China used a verification system to publish a video game. This system takes into consideration many factors to release a game as its content and the potential political influence.

Simply speaking, all video game in the country needs two number types to publish a game, granted out by China.

One number is the " Digital Product Publishing Access Number" in charge by the SAPPRFTTPRC (State Administration of Press, Radio, Publication, Television, and Film). The other number is "batch number" given by the Ministry of Tourism and Culture. Generally speaking, this approval has been dramatically gated for publishing games.

On the 28th, March 2018, the government passed a proposal, merging and upgrading some of its departments. That lead to the announcement of SAPPRFTTPRC to shut down some of its previous functions includes a freeze on video game approvals.

Why PUBG Mobile Needed An Approval?

Unfortunately, for the PUBG Mobile and PUBG for PC, this long period was a crucial time for its financial growth and development.

The previously mentioned of game approvals' freeze in China continued on for 9 months, from March to December of last year. Unfortunately, for the PUBG Mobile and PUBG for PC, this long period was a crucial time for its financial growth and development.

Back in 2017 November, Tencent has signed a deal with Korean based game studio -Bluehole Studio, to distribute PUBG exclusively into the Chinese market. Then in 2018 February, they released a mobile version of the game called PUBG Mobile for the Chinese market. Tencent's own Guangzi Studio developed this game. But even as big as Tencent, they still couldn't get the approval by the government during that period.

Tencent's own Guangzi Studio, who developed this game

At one end, approval for games was frozen in the country. At the other end, the nature of the game genre and the content were seen at too controversial and violent for the audience in China. Example, the game takes inspiration for its "Erangel" map from an island close to Russia, which under military occupation after WWII.

Then, "kill" the word was also recognized as violent. Therefore in the clone game - Peacekeeper Elite, they replaced the theme of "war" with “military exercise,” "kill" with "defeat."

Have to make money

For Tencent as a publisher, earning money out of a game is their end goal. But in the country, a game without approval by the government, even Tencent as a colossal publisher could not monetize this game.  We should know that from the begin to end, PUBG Mobile has not got approval from the government. Therefore, there was ever only a BETA version of PUBG Mobile in China - a free game.

But in the country, a game without approval by the government, even Tencent as a colossal publisher could not monetize it.

According to GameLook's research, the game has reached 30 million active users daily (DAU) outside of China on 2018 December. Moreover, the tile has got 200 million downloads in just eight months since its release. Then in 2018 August, its revenue on other markets has surpassed 50 million USD.

All these signs were saying to Tencent that this game contained huge profit potential. Plus, as the game popularity increased, the maintaining and servicing servers cost also increased.

But as time flew by and without the approval, Tencent has missed that chance to monetize PUBG Mobile. Then on the 14th of November 2018, Tencent applied for a trademark named Peacekeeper Elite. This small step of Tencent would lead to a huge step in PUBG Mobile future.