Chapter 263: The Counterattack of the Channel Providers
"A price war?"
"Yes, using low prices to drag down other gaming platforms, just like the free software and app wars before. First, lose money to attract designers, games, and players all at once. Once a monopoly is established, then raise prices to harvest the market."
"Hiss... Is Chen Mo really thinking that way?"
"I don't know what he's thinking, but based on my guess, it's highly likely. Think about it, what kind of person is Chen Mo? He's not running a charity. If he could earn fifty percent, why would he settle for twenty or thirty percent?"
"That's true. With the current user base of the Thunder Game Platform, how much money is he losing!"
"Well, there's a lot more to this than meets the eye!"
"The buyer is never as shrewd as the seller; isn't that the way it's always been? A smart guy like Chen Mo, would he really make a fool of himself on such a critical issue?"
"Yeah, if there were no profit in this, why would he go out of his way to offend all the domestic game channel providers?"
"Ah, forget it. I don't care what Chen Mo thinks, but at least in the short term, it's very beneficial for us designers. If these channel providers start a price war, we'll definitely be the ones to benefit."
"That's right. This is a proper clash of titans. We bystanders can just sit back and watch the show."
...
At the headquarters of Imperial Dynasty Interactive Entertainment.
Xu Xiaojun was reporting to Lin Chaoxu on some key data regarding the Thunder Game Platform, as well as several contingency plans prepared in response to Chen Mo's announcement.
Lin Chaoxu's expression was somewhat gloomy, clearly very displeased, but he still controlled his emotions and thought silently.
Finally, Lin Chaoxu spoke: "What do you think Chen Mo wants to do?"
Xu Xiaojun considered for a moment and said, "I think Chen Mo's intention is very clear. It's similar to his strategy when he made 'Thunder Chess & Cards.' He's using a price war to poach users, further expand the influence of the Thunder Game Platform, and suppress other gaming platforms."
Lin Chaoxu nodded and said in a deep voice, "This kid has a really hard head."
Xu Xiaojun added, "And he's also very bold."
Lin Chaoxu said thoughtfully, "One of the biggest differences between him and other designers is that he always has a long-term vision. He distinguishes very clearly between immediate and long-term interests, and he can always resist huge temptations."
"A 70/30 revenue split, with the scale of the Thunder Game Platform, how much money is he giving up? To be able to abandon so much immediate profit, as a young man, that takes real guts."
Xu Xiaojun asked, "So, Mr. Lin, what are your instructions?"
Lin Chaoxu was silent for a moment, then said, "First, find a way to stabilize the independent game designers who publish games on our platform. If it's really necessary, lower the revenue split and sign exclusive agency agreements. In short, don't let the ordinary designers run off too quickly."
"Then, put more effort into public opinion. You know exactly how to handle that, so I won't go into detail."
"If all these strategies fail... then there's no other choice. We'll have to cut our losses and fight a price war with Chen Mo. But we don't need to rush too much. I expect Ding Xing over at Divine Fantasy Game Platform is even more panicked than we are. He won't just sit there and do nothing."
Xu Xiaojun nodded: "Understood, Mr. Lin. I'll get on it right away."
Lin Chaoxu said, "Go ahead. The other domestic channel providers should be making their moves soon as well."
...
After Chen Mo announced that the Thunder Game Platform would allow any game designer to publish games, the major domestic channel providers quickly found countermeasures and retaliated swiftly.
First, they signed exclusive agency agreements with a large number of independent game designers.
Many independent game designers were hesitating, considering whether to publish their games on the Thunder Game Platform. Meanwhile, the channel providers who originally had partnerships with them were raising their offers and demanding exclusive agency agreements.
For example, they promised a higher revenue split (an unprecedented 60/40 split, with the developer getting 60%), along with a series of promotional slots and related marketing plans.
The rhetoric of these channel providers was also very deceptive.
"The Thunder Game Platform is a new channel, so its promotional capabilities are definitely weaker. What good is a high revenue split? If the game isn't promoted well, you still won't make any money. Look at the official game platform; it only takes a 20% cut, but how much money can your game earn there?"
"We've been cooperating for a long time, and we know each other well. We've been professional channel providers for years, and we offer guarantees in this area."
"Besides, now that this news is out, how many developers are going to publish their games on the Thunder Game Platform? With so many games coming out at the same time, the Thunder Game Platform only has a few promotional slots. The competition is still fierce!"
"Think about it. With the quality of your game, can you get their attention? If not, then why are you going through all this trouble?"
"It's true, we've taken a hit, which is why we're offering this exclusive agency agreement. A 60/40 split, with the developer getting 60%, is unprecedented! And we'll provide you with a full-service package. Not just promotional slots, but also corresponding advertising resources to ensure your new game gets enough attention."
"Of course, after signing the exclusive agency agreement, you won't be able to publish your game on the Thunder Game Platform anymore. But as I said before, think it over carefully. It's not necessarily better over there!"
The intention of these channel providers was clear: to retain these independent game designers as much as possible by giving up some profit, binding them to themselves.
The main goal was to prevent a large-scale exodus of designers to the Thunder Game Platform. Once such a trend started, it would be very difficult to suppress.
In addition, many malicious attacks against Chen Mo and the Thunder Game Platform also emerged.
One article received over ten thousand upvotes on a Q&A community and was widely reposted by multiple gaming media outlets.
"Unveiling the Thunder Game Platform: Is Chen Mo Really Trying to Do Charity?"
One passage read as follows:
"Do people really think that the Thunder Game Platform drastically lowering channel prices is a good thing for the development of the entire gaming industry?"
"In fact, this is very similar to some software wars. Some software, under the banner of 'free,' expanded aggressively, crushing other companies that were doing serious work."
"Once they achieved a monopoly, these software companies showed their fangs. Although they were free, they stuffed various plugins into the software, even stole user data, and stopped at nothing."
"There's no such thing as a free lunch. The wool comes from the sheep. The benefits being given to designers now will one day be taken back with interest."
"On that day, companies that refuse to homogenize will go bankrupt, and those that survive will all have the same face. By then, everything will be irreversible!"
"Please keep your eyes open and don't be blinded by short-term gains!"