The Chinese megacorporation Tencent allegedly wants to buy the German game company Crytek, as reported by the BILD newspaper. Allegedly, 300 million euros are being discussed as the purchase price. The companies themselves have not yet provided a response. Critics see the sale as a potential threat to the security of the Western world.
This is the situation:
- According to a report from BILD, the Chinese corporation Tencent wants to buy the German game developer Crytek for 300 million euros.
- Crytek is known for the CryEngine, with which many games have been made and for well-known games like FarCry and Crysis.
- There are fears that Tencent and China could use Crytek’s technology for military purposes – as the CryEngine is used by some Western armies as simulation technology for military conflicts.
- Tencent has been actively investing in European companies for some time, most recently in the German studio Yager.
Where does the info come from? BILD reported on July 13 that Tencent allegedly wants to take over the German company Crytek from Frankfurt (via BILD.de). This was revealed by research and exclusive information from the editorial team.
According to BILD journalist Julian Röpcke, the deal for 300 million euros is to be processed through a European subsidiary (via Twitter.com).
However, a written response from both corporations is still pending, it is said. Neither Crytek nor Tencent responded to a written request for a statement.
Crytek apparently in crisis for years – Tencent on a shopping spree
How likely is that? Crytek has been struggling with problems for several years. In 2014, financial troubles first arose, although the studio denied being on the brink of bankruptcy (via Gametar.de).
Nevertheless, several of Crytek’s studios in Europe and Asia have been closed over the years or have separated and become independent (via GameStar.de).
Tencent, on the other hand, is doing quite well and has recently been frequently purchasing shares of well-known studios in Europe:
- Most recently, Tencent invested in the German developer Yager (The Cycle)
- In 2019, the Chinese megacorporation bought large shares from the Norwegian studio Funcom (Conan Exiles)
- In 2018, Tencent acquired 80% of the shares of Grinding Gear Games (Path of Exiles).
Crytek made some of the most famous games
Who is Crytek, anyway? Many players may have heard of Crytek, and if not the studio itself, then at least the games of the studio. Many works from Frankfurt are still in the minds of players or have laid the foundation for iconic franchises. Crytek is responsible for:
- the first part of Far Cry (subsequently developed by Ubisoft)
- Crysis – The extremely resource-hungry game from the “but can it run Crysis” meme
- Ryse: Son of Rome
Most recently, Crytek released the shooter Hunt: Showdown in 2019, which is considered absolutely unique in terms of its setting and gameplay for many players. Although the hardcore shooter is rather a niche game, it can still regularly engage thousands of players (via steamcharts.com).
Crytek is also known for the extremely realistic and powerful CryEngine, which underlies Crytek’s games. The engine was first used in FarCry and amazed gamers back then.
The CryEngine has also enabled other hits outside of Crytek, such as Kingdom Come: Deliverance or Homefront: The Revolution.
A variant of the CryEngine is used in current MMOs such as Star Citizen or New World. Crytek even sued Star Citizen a few years ago.
Where else is the technology used? According to BILD, the CryEngine is also used in military simulations and serves defense contractors like ThyssenKrupp to simulate weapon deployments.
Some employees of Crytek are reportedly concerned that the software may be used by the ruling Communist Party of China. Further sources speak of using the engine to practice wars or spy on Western training simulations.
The defense policy spokesman of the CDU, Henning Otte, has made it clear that a sale of Crytek will be thoroughly examined in this context. Security takes precedence over commercial interests.
Whether and how Crytek will actually be sold will become clear in the coming days. At the moment, there are no official statements.
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