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Analyst Interview Excerpt
CHINESE GAME OPERATORS – TIAN X. HOU – PALI CAPITAL, INC.


Full article published: 07/28/2008


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TWST: Tian, where do you focus your attention within the gaming industry?
Ms. Hou: Yes, absolutely. These games are not casino type games, these are multiplayer online role-playing games, analogous to a novel where people play in different roles and advance from one level to another level as the game continues. So there is a continuity in a game because it is role-play; it is also quite a community-driven game. It is not a standalone console game or games that you play in casinos. It is quite different.

TWST: Where does this stand in development in China? Is it just starting out?
Ms. Hou: Actually, this type of online game was introduced to China in 2000 by the company Shanda Interactive Entertainment (SNDA), and since then this industry has been growing explosively into a major Internet sector. If you look at the three sectors of the Internet industry in China —online advertising, e- commerce and online gaming — online games is the leader, not advertising, not anything else, but online games.

 

Tickers included in this excerpt: NTES, PWRD, SNDA

 

For more information call (212) 952 7433. The Wall Street Transcript does not endorse any of the comments made by interviewees, and does not make stock recommendations.