China's 58o million dollar online games market is changing its business model, because of rampant intellectual property infringement. Instead of collecting a monthly subscribtion fee for massive multi-player games, they are going to focus on selling in-game items.
"DFC Intelligence’s Alexis Madrigal said an increasing number of MMOs in China will become free to gamers next year, while the companies rely on sales of in-game items to bring in profits."
"Chinese game companies are some of the first to get wise to the switch in sales. It’s also smart to run a service off of in-game sales, when piracy of games in China is so prevalent. Chinese game companies find it hard to make money off of the pure-play of games because pirates are always one step ahead."
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