ASUS invests US$16 million into the Chinese esports scene

Posted: 9 January 2018 5:29 pm

republic of gamers

Asus sets its sights on the Chinese esports market.

AsusTek Computer Inc, otherwise known as Asus, has invested up to US$16 million towards establishing a subsidiary Chinese esports operation.

The company intends to set up its own esports team, the Rogue Warriors, which will operate under the Asus Republic of Gamers brand. Rogue Warriors are expected to compete at the Tencent’s League of Legends Pro League.

The Republic of Gamers is already a well-established esports brand, with partnerships with teams such as SK Telecom T1 and Echo Fox. In response to extending the reach of Asus into China, the CFO Nick Wu of Asus had this to say:

"This subsidiary will see esports as its major business pillar as well as focusing on expansion in Chinese esports ecosystem."

The CEO Jerry Shen added that the business intends to look beyond just merchandise and hardware sales, with the main goal to create its own esports industry ecosystem. Investing in China and the enormous esports scene growing in the region is a smart decision for Asus. With over 72 million esports enthusiasts in the country, China is currently one of the biggest regions in esports.

The budding esports market in China is also a safe investment for Asus. As a well-established brand in the region, the company will have no issues with integrating more content for the viewers. According to Asus’s latest financial report, 18% of the company’s revenue was through the Chinese market, which comes out to around US$14.5 billion. Taking US$16 million from those profits and putting them back into the market is nothing more than a grain of sand in the bank for Asus.

It will be some time before we see any changes or outcomes from this investment, but until then, stay tuned for more on esports and the industry at our hub page.

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