×
You will be redirected back to your article in seconds

Chinese Video Streamer iQIYI Buys Game Developer Skymoons

Chinese video streaming giant iQIYI has agreed to pay up to $300 million to buy gaming firm Chengdu Skymoons Digital Entertainment.

The purchase diversifies and expands iQIYI’s revenue stream. It also gives it other potential characters and stories to develop into series and films. Chinese streaming firms prize original content as they compete to attract and retain subscribers, and content with proven track records is regarded as valuable IP.

Additionally, “Skymoons has entered into cooperation agreements with a number of renowned international IP powerhouses with respect to the synchronized development and promotion of mobile games, films, anime and comics based on the same source materials,” iQIYI said.

iQIYI said that it is paying RMB1.27 billion now and possible performance-related payments of RMB730 million over the next two years. Further financial details were not disclosed.

The move comes only a couple of months after iQIYI floated its shares on the NASDAQ exchange in the U.S. The company remains majority-owned by Baidu.

“Skymoons is a natural extension to our business and will strengthen iQIYI’s media platform and our overall ecosystem,” said Gong Yu, founder and CEO of iQIYI, in a prepared statement.

Competition with other video firms that are integrated into the vast tech empires of Alibaba and Tencent has led iQIYI to start behaving more like a platform company than a simple streaming player. Other diversification moves have seen iQIYI this year open the first of a small string of physical movie theaters in China and take over Baidu’s Nuomi ticket sales firm.

More Gaming

  • 'Bloodstained: Ritual of the Night' Has

    'Bloodstained: Ritual of the Night' Has Lots of Post-Launch DLC Planned

    “Bloodstained: Ritual of the Night,” the spiritual successor to Koji Igarashi’s Castlevania series, officially releases on Steam, GOG.com, PS4, and Xbox One on Jun. 18. It comes to Nintendo Switch a week later on Jun. 25. Publisher 505 Games has big plans for the side-scroller after its launch, and shared what downloadable content fans can [...]

  • Someone playing fortnite a computer gameVideo

    World Health Organization Making Final Decision on Gaming Disorder This Weekend

    The World Health Organization (WHO) is making its final decision on whether or not to classify video game addiction as a disorder on Saturday, May 25, a spokesperson told Variety. The 72nd World Health Assembly is currently underway in Geneva, Switzerland. It’s the decision-making body of the WHO, and it’s attended by delegations from member [...]

  • Nominees Announced for 2019 BitSummit Awards

    Nominees Announced for 2019 BitSummit Awards

    The Japan Independent Games Aggregate (JIGA) announced the nominees for the 2019 BitSummit Awards on Friday. BitSummit is an annual festival celebrating independent video games and developers based in Japan. Founded in 2012, it’s become Japan’s premier indie gaming event, drawing thousands of visitors each year. It takes place the weekend of Jun. 1 at [...]

  • League of Legends Esports to Release

    League of Legends Esports to Release Premium Viewing Option

    League of Legends Esports has a new Pro View premium experience which will allow viewers to watch esports matches from the individual pro players’ perspective, the company announced Friday. The Pro View Package will be available for the Summer Split of the League Championship Series (LCS) as well as the League European Championship (LEC). In [...]

  • Microsoft's Project xCloud Rollout Hits 13

    Microsoft's Project xCloud Rollout Hits 13 Regions, Capcom, Paradox Testing

    Microsoft’s take on cloud-gaming — an approach to game development and deployment that theoretically makes games playable on any system without the need for porting — continues its rollout, with the company on Friday detailing work they’re doing with developers Capcom and Paradox Interactive. Project xCloud now has custom server blades at Azue datacenters in [...]

  • 'Sonic the Hedgehog' Pushed Back Due

    'Sonic the Hedgehog' Movie Pushed Back to 2020 Due to Character Design Changes

    Paramount Pictures is pushing its “Sonic the Hedgehog” movie back three months, from Nov. 8 to Valentine’s Day. The delay follows fan criticism over the appearance and design of the titular blue hedgehog — particularly his teeth and lean legs. Director Jeff Fowler tweeted that it was “taking a little more time to make Sonic [...]

  • 'Mortal Kombat 11,' 'League of Legends'

    'Mortal Kombat 11,' 'League of Legends' Dominate Global Digital Games

    The world’s top-earning digital games for last month include “Mortal Kombat 11,” “League of Legends,” and “Fortnite Battle Royale,” according to a report from SuperData released Tuesday. The ranking of top grossing games for the month of April 2019 is split into three groups: PC, console, and mobile. The massively popular “League of Legends,” a [...]

More From Our Brands

Access exclusive content