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Thread: Lenovo to develop new game console

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    Senior Member Guo Xiang's Avatar
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    Default Lenovo to develop new game console

    http://www.reuters.com/article/idUSTRE67Q0KO20100827


    HONG KONG | Thu Aug 26, 2010 11:53pm EDT

    HONG KONG (Reuters) - Lenovo, the world's No. 4 PC maker, has set up a unit to develop a video game console for the China market, a newspaper reported on Friday, pitting it against rivals such as Microsoft and Sony.

    Some 40 Lenovo software engineers have been spun off from the company to work for Beijing eedoo Technology, which will be tasked with developing and marketing the "eBox" game console, the China Daily reported.

    Lenovo, its unlisted parent Legend Holdings, and its private equity arm Legend Capital co-invested in the new company, but did not disclose investment figures, the newspaper said.

    Lenovo and eedoo officials were not immediately available for comment.

    The Chinese PC maker has been trying to diversify away from selling only the heavily commoditized personal computer, having launched in the past year a smartphone in its home market and announcing plans to roll out a tablet PC.

    China has been a notoriously difficult market for video console makers, which make most of their money from game sales, due to rampant piracy in the country.
    Will this work out? Aside from the piracy issue it's going to have to fight a host of established consoles.
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    Quote Originally Posted by Guo Xiang View Post
    http://www.reuters.com/article/idUSTRE67Q0KO20100827


    Will this work out? Aside from the piracy issue it's going to have to fight a host of established consoles.
    If the company is smart about it, then it could be a huge huge success.
    First of all, the market for video game in China is huge. Chinese people love/addict to games.

    The biggest problem is piracy. Therefore, the company needs to develop the system such that it will crash if people try to use bootleg games. If this doesn't work, then the company should come up with better idea.

    Since people these days love to play games against each other online, the company should develop a system such that people can play any game available online against each other or play against the computer online. Instead of making money from selling games, the company can charge people a reasonable monthly fee in order for them to play game. Fee should be flexible. For example, the company may charge people 1 yuan/hour or 70 yuan/month which ever is lower. People also don't have to worry about vacation since they don't have to pay anything if they don't play. I believe most chinese would play more than 70 hours per month, so the company basically can earn 70 yuan per family per month. 70 yuans per month doesn't seem much, but the chinese population is huge. If the games are good, there will be at least 50 million users. That is at least 3.5 billion yuan (US$500 million).

    Chinese people love fighting games such as Street Fighter, King of Fighter, Dynasty warriors, and ect... The company should make interesting fighting games to suit the population. Of course, not just fighting games, but other games as well.
    Last edited by Trien Chieu; 09-14-10 at 10:24 PM.

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