Misunderstandings and Miscommunication Lead to Activision Blizzard's Split with NetEase and Blizzard's Shutdown in China.

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Source: GamesIndustry.biz
Misunderstandings and Miscommunication Lead to Activision Blizzard's Split with NetEase and Blizzard's Shutdown in China.
Photo: GamesIndustry.biz
TL;DR Summary

The 14-year partnership between Blizzard and NetEase reportedly broke down due to misunderstandings, disagreements, and perceived threats between the two companies. NetEase sought to make changes to its contract with Activision Blizzard to ensure compliance with new Chinese regulations, including asking for annual revenue disclosure to Chinese regulators. Activision objected to a NetEase proposal that it should license its games to the Chinese publisher, rather than the two handling them as a joint venture. The breakdown of the partnership ended a deal worth around $750 million per year and leaves more than three million Chinese players without access to games such as World of Warcraft.

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