Xbox One will launch in China this September
Will Xbox One become a big hit in China?
Microsoft will launch the Xbox One in China this September, following the Chinese government's decision in January 2014 to lift its ban on the sale of foreign video game consoles. With this dismissal, China has created new rules, and regulations concerning the distribution of consoles and games to the public.
Among these rules will be the requirement for foreign companies to work with local organizations to produce consoles within the Shanghai Free Trade Zone, which Microsoft will fulfill due to its partnership with Chinese media company BesTV. The Xbox One manufacturer teamed up with BesTV in September 2013 to create E-Home Entertainment. Microsoft holds a 49% stake in E-Home Entertainment, and BesTV holds 51%. Both combine, to invest over $237 million dollars.
E-Home Entertainment plans to establish an "innovation program" that will foster Chinese development on the Xbox One. This most likely means that the restrictions and regulations will be in full effect. If you pair this with original Ip’s, coding for the systems, and games; it could mean that games from Taiwan, or Singapore will not work.
Microsoft has launched the Xbox One in 13 regions as of November, and has announced plans last month to bring the system to 26 more markets in September; with China being number 27. When this does happen, the Chinese Government stand to make Mega Millions, and Microsoft will finally be able to do something they’ve been trying to do since 2005: expand into one of the largest foreign markets in the world.
If Microsoft can be successful in this new venture, they will crack the market wide open, just as Nintendo once did in early to mid-1996 with the Super Nintendo. The only obstacle I can see, is what specific games will be released there, since the developers will have to work much harder to localize the games due to the legal, and cultural restrictions due to the new media guidelines. We will be covering more on this as it develops, stay tuned for more.
/Kenay Peterson
The Gaming Ground
