Hangame reduced the expected revenue from AAA MMORPG <TERA> in 2011 by about US$9.2m. Balance issues and slow updates are the cause.
NHN reported its 2011 Q1 earning on 19th. Game business contributed 33%(US$154m) of the total revenue of NHN.
Most of the game revenue are from <TERA> in Korea and <Dragon Nest> <El Sword> in Japan. <TERA> was, of course, the main driver which boosted the online game revenue up to 33.8% in the early year.
Nonetheless <TERA> could not meet the expected revenue. Wook Jung the CEO proxy of Hangame said “As massive updates are being late, the revenue is decreasing. It started like <Aion> at the beginning but it became <WoW> now.”
In Feburary, Hangame was expecting minimum US$73m and maximum US$92m from <TERA> but it lowered it down to about US$60m. Due to this adjustment, Hangame’s expecting growth for this year also decreased to 10~15% from 15~20%.
“Every three months a big update of <TERA> will be done and we will make 50:50 of web/board game to online game by encouraging revenue from new games until the end of the year,” said Mr. Jung.
On May 18, Neowiz Games announced that it will release 7 new online games?at 2011 Q1 earning report.
