Tencent rant, Sea pay freeze hint at deepening gaming crisis

Tencent and Sea are responsible for reliable moneymakers like ‘Honor Of Kings’ and ‘Garena Free Fire’ on mobile, but they haven’t escaped the sting of this year’s slowdown, with Sea shares down more than 70% and Tencent hitting its first zero-growth quarter. — Bloomberg

Tencent Holdings Ltd and Sea Ltd are signaling that the US$200bil (RM885bil) gaming industry, which in 2022 endured one of its worst slumps on record, is in for an even rockier year.

Tencent co-founder Pony Ma attacked his staff in a town-hall meeting for lacking urgency in the face of an existential crisis. Days later, Sea founder Forrest Li warned of deeper economic challenges in 2023 before slashing bonuses and freezing salaries.