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Expansion to China 'changes our business model' says PopCap
Sep 2nd 2008 at 16:13 by Michael French

PopCap's James Gwertzman has been discussing the culture clash encountered by the firm in expanding its casual games empire to China, saying the firm has thought up an entirely new strategy for operating in the country.
Earlier this year, PopCap formally announced it had opened its office in Shanghai, appointing Gwertzman and VP of the new office.
Speaking to Interfax recently, Gwertzman said that although Chinese and US gamers have similar tastes - meaning PopCap's games won't have trouble finding an audience - the way they are sold is different.
"When PopCap came to China, we realized it was not about changing the cultural content of our games, but rather about changing the company's business model," he said.
So instead of selling games via downloads PopCap is using the free-to-play model in the region, and will make money via in-game transactions and subscriptions to VIP services.
"For example, VIP users can kick other users out of games or maybe keep their score record online for two weeks rather than 24 hours," Gwertzman said. "We will offer extra value for them to make them feel important."
PopCap is also looking for a local partner to work with in the region, as Chinese law dictates that overseas game developers need to partner with a China-based game company in order to license their games in the country.
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