In a move that could significantly impact the global gaming industry, Chinese tech giant Tencent is reportedly in talks to acquire South Korea’s gaming titan NEXON, valued at $15 billion. This news, which emerged today from Bloomberg, has sparked intense discussions about the future of both companies and the broader gaming landscape. 
Founded in 1994, NEXON has become a major player in the gaming world, particularly known for its highly successful franchises like Maple Story, Mabinogi, Vindictus, and Dungeon Fighter Online, one of the highest-grossing gaming IPs globally with over $22 billion in earnings by 2023.
The company’s recent game releases, including KartRider: Drift, Dave The Diver, and The Finals in 2023, as well as upcoming titles like NAKWON: LAST PARADISE and ARC Raiders, are generating excitement among gamers worldwide. NEXON’s diverse portfolio and its significant presence in the gaming community make it an attractive acquisition target for Tencent, which is estimated to be worth over $600 billion.
The potential acquisition has been driven by Tencent’s ongoing expansion in the gaming industry, which includes owning full stakes in companies like Riot Games, Grinding Gear Games, and Funcom, among others. Tencent’s efforts to acquire NEXON have reportedly involved reaching out to the family of the late NEXON founder, Kim Jung-ju, who passed away in February 2022. The founder’s family holds a substantial stake in the company through NXC Corp., a family investment firm. NEXON’s future remains uncertain as the family continues to evaluate their options.
While Tencent’s acquisition of NEXON seems plausible given the immense financial power of the Chinese conglomerate, there’s no guarantee that the deal will go through. The structure of the transaction and the final decision on whether it will happen are still up in the air. Moreover, it remains to be seen how such a move will affect the global gaming market and whether the South Korean government will allow such a deal to proceed, given the complexities of international relations.