Tencent subsidiary TiMi Studios had revenues of $10 billion in 2020, two anonymous sources told Reuters. The developer mainly makes smartphone and Switch games, such as Honor of Kings, Arena of Valor and Call of Duty: Mobile.
The ten billion dollar turnover makes TiMi Studios the largest game developer worldwide, Reuters writes. Tencent does not provide figures for separate game studios, but said it will have total online gaming revenue of $29.79 billion in 2020. TiMi Studios accounts for 40 percent of Tencent’s online gaming revenue, according to the two sources.
Besides TiMi Studios, Tencent has more gaming studios, such as Lightspeed & Quantum. This studio is responsible for PUBG Mobile and generated 29 percent of Tencent’s gaming revenue. Tencent wants to grow further with the studios, mainly outside of China. Ultimately, half of Tencent’s gaming revenue must come from outside China. In the last quarter of 2019 this was still 23 percent.
In order to be able to grow further, Tencent is building development studios outside of China. The company is now building two studios in Los Angeles, both for TiMi and Lightspeed & Quantum. TiMi also aims to build a major AAA game for PCs, PlayStation 5, Xbox Series consoles and the Nintendo Switch, which is inspired by the virtual community of Ready Player One.