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Thursday, August 15, 2024

The Latest On Black Desert Online In China

 On Pearl Abyss' Q2 2024 earnings call last week investors were told the South Korean game company had received a license in June for Black Desert Online to operate in China. But players in the People's Republic should not plan on playing just yet, as Pearl Abyss and its Chinese partner plan on conducting technical tests and a marketing campaign during the current financial quarter.

Now, I thought the timing of the release was rather slow as the company mentioned plans to expand BDO into the Chinese market on the Q4 2023 earnings call. On an earnings call on 10 May, analysts on the call were informed that all the necessary paperwork had been submitted and the company was just waiting on approval.

At the time I noted Pearl Abyss was not using one of the big Chinese tech/gaming firms like NetEase, the company CCP Games uses as its publishing partner for EVE Online and EVE: Echoes.
The analysts seemed interested in two subjects. The first is the progress of introducing the PC version of Black Desert Online into the People's Republic of China. The latest progress report is that all paperwork was turned into the authorities and the waiting begins for approval.

Stepping outside the presentation, Pearl Abyss' optimism in not misplaced. In January, the Chinese government approved 115 new video game titles, the largest amount in 18 months. Pearl Abyss' partner in the People's Republic, Snail Games China, is not the biggest player in the Chinese market but has not incurred the wrath of the regime either. 
That changed less than three weeks later at Spark 2024 as Tencent revealed Black Desert Online as part of its gaming lineup in China. Nine days later, Pearl Abyss announced that Black Desert Online was among the 15 foreign video games approved by the China’s National Press and Publication Administration.

I didn't realize Pearl Abyss had switched partners in China, but I'm not surprised. And with very limited time between the announcement of the deal and granting of the license, I wouldn't count on BDO operating in China this year. The Spring Festival holiday and Lunar New Year run from 28 January to 3 February in 2025 so I think a December or January launch makes sense, which means the game may not launch in China until 2025.

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