After just two years in the market, ByteDance has pulled the pin on its gaming unit.
👉 Background: Back in 2021, ByteDance (the owner of TikTok) announced six core business units, which included a gaming department called Nuverse.
👉 What happened: They were so serious about gaming that ByteDance acquired a gaming studio called Moonton for a reported $4 billion USD. But now, after just two years in the market, ByteDance has pulled the pin on its gaming unit.
👉 What else: It's believed that nearly 3,000 employees will be laid off. So, despite the success with TikTok and its Chinese app Douyin, it couldn't do the same with Nuverse.
💡Transferring success from one domain to another isn't always as easy as it seems. The creative process in different industries can be extremely different.
💡For example, gaming requires story depth and sophisticated game play mechanics.. This is a big contrast with to rapid approach used in social media platforms like TikTok.
💡TikTok isn't the only tech slash content company to try to get a slice of the gaming industry and fail; Netflix also made a big push into video games. But despite their number of games tripling, less than 1% of all Netflix subscribersplay a Netflix game on a daily basis.
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