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NetEase to partner with Blizzard Entertainment on World of Warcraft

Thu. April 16, 2009; Posted: 09:47 AM
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BEIJING, Apr 16, 2009 (Xinhua via COMTEX) -- NCTY | Quote | Chart | News | PowerRating -- ?? Chinese Internet technology company NetEase.Com, Inc. (NTES.Nasdaq) announced on Thursday that Blizzard Entertainment, Inc will license one of NetEase's affiliated companies to operate its online game World of Warcraft for three years in China's mainland after the expiration of the existing license agreement.

Currently, The9 Limited (NCTY.Nasdaq) is licensed to operate the online game World of Warcraft (WoW), but the license will expire this June.

Mike Morhaime, CEO of Blizzard Entertainment, said that the new agreement with NetEase will help attain its business goals for years to come, and is looking forward to a smooth transition for WoW.

The public relation department with The9 Limited refused to comment on the issue.

Zhao Xufeng, an analyst with iResearch Consulting Group, said that The9 Limited is doomed to see a drop in revenue, client numbers and its stock price when it concludes the operation of WoW in China's mainland.

NetEase probably has high expectation for cooperation with Blizzard Entertainment in the future, while for the time being they focus on building reputation and a client base, according to Zhao.

NetEase and Blizzard Entertainment previously announced a partnership over Blizzard Entertainment's Warcraft III, StarCraft II and Battle.net online service last summer.

For full details on Netease.com Inc (NTES) click here. Netease.com Inc (NTES) has Short Term PowerRatings of 4. Details on Netease.com Inc (NTES) Short Term PowerRatings is available at This Link.

    


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