Shanghai, CHINA, January 10– The League of Legends China Esports Summit, themed ‘Building the future of esports’, was held at the Shangri-La Hotel in Shanghai, China on Thursday where it was reported that the deputy director of Shanghai’s City Tourism Board Lei Jin , deputy director of Shanghai’s Municipal Sports Bureau Wenhua Luo, deputy director of Shanghai’s Jing’an district Haiying Zhou, Tencent’s senior vice president Steven Ma, Riot Games’ CEO Nicolo Laurent, were in attendance for a huge announcement.
During the summit, it was announced that Tencent and Riot Games established a joint venture company called Tengjing Sports. According to the information gathered, the company’s full name is Tengjing Sports & Culture Development (Shanghai) Co., Ltd., with a registered capital of 530 million RMB. The official registration date is January 4, 2019.
Senior Vice President of Tencent Group, Xiaotong Ma, will be appointed the Chairman of Tengjing Sports and Gaming Vice President of Tencent, Lingdong Huang, will be appointed as one of the Board of Directors and legal person-in-charge of Tengjing Sports. Other members of the Board of Directors include the head of Riot Games in the Greater China and Southeast Asia region, Qiangsheng Ye, as well as the General Manager of Tencent’s Entertainment Partnership Zhengrong Zhu. Bobby (Yibo Jin), head of Tencent’s Entertainment (League of Legends) and Leo (Song Lin), head of Riot Games China Market are the co-CEO’s of Tengjing Sports.
With the establishment of Tengjing Sports by Tencent and Riot Games, the LPL will now officially operate as an independent company and is no longer a part of a franchise deal. It is believed that Tengjing Sports will operate LPL as an independent company and increase the overall efficiency.
Reports state that Tengjing Sports Director Qiangsheng Ye announced the 3-year development goals for the LPL: 1) To achieve a total of 1 billion RMB in revenue; 2) To achieve a total of 4 billion hours watched for the LPL; 3) LPL to become one of China’s most valuable sports IP.
In order to achieve these goals, Tengjing Sports co-CEO Lin Song announced that in 2019, the LPL will focus its effort to improve in the following three aspects to build a more sustainable ecosystem:
- Fine-tune the LPL rules and regulations: management & competitive rules, business cooperation rules, salary & compensation rules.
- Optimize the business model: establishing a sustainable home/away tournament mode and exploring new ideas with the possibility of fully utilizing the potential of organizations and clubs working closely together. By coordinating the resources of these organizations, it hopes to improve the overall efficiency and profitability of the LPL.
- Invest in the professional talent system: further improve the youth training system, establish a mentorship program and focus on having a career development path.
Song Lin also announced that the LPL Summer Split 2019 Finals and League of Legends’ 8th Anniversary Ceremony will be held in Shanghai.
Coincidentally, on January 8, 2019 Obsidian Technology Company (Y.T BASE) held a press conference in Shenzhen announcing that it has exclusive rights to Tencent’s League of Legends Development League (LDL). It can be seen that the works of Tengjing Sports is already underway.
In terms of public welfare, Tengjing Sports will officially launch the LPL cares. It’s aim to increase the social value of the brand as well as bear certain social responsibilities by focusing on these three dimensions of esports – the people, public welfare and positive energy.
During the Summit, Tengjing Sports co-CEO Yibo Jin also released some data regarding the 2018 League of Legends Global Finals. It achieved a total of 99.6 million unique viewers, 44 million peak concurrent viewers, and an average of 19.6 million average viewers which is an all-time record for global esports.