Canadian company SkyBox Labs is co-developing Halo Infinite for Microsoft’s Xbox. NetEase acquired SkyBox Labs as part of an aggressive international push and as it has its sights set on a slice of the console market.
Patrick T. Fallon | Bloomberg | Bloomberg | Getty Images
Netease On Friday, as the Chinese tech giant continues its aggressive international push, it announced that it has acquired Canadian game studio SkyBox Labs, which co-develops major games including Halo Infinite.
SkyBox Labs will operate independently under NetEase, China’s second largest gaming company. The companies did not disclose the financial terms of the deal.
Over the past two years, NetEase has stepped up its efforts to expand its games internationally as China’s domestic market slows down amid tighter regulations.
Despite being a rival Tencent NetEase has been aggressive in acquiring game studios in the past, but NetEase aims to keep up with the aggressive international push.
The company last year acquired French game developer Quantic Dream, creating its first wholly owned studio in Europe. NetEase also established game studios in Japan and the United States.
It has focused on investing in or acquiring companies that have committed to strong franchises and brands. SkyBox Labs meets the criteria. The Canadian company has worked with game companies such as Xbox Game Studios and Electronic Arts.
SkyBox Labs is currently co-developing Halo Infinite and working on a project with Minecraft.
NetEase has already released mobile games based on the Harry Potter and Lord of the Rings franchises.
The company said it will support SkyBox Labs with “resources and execution capabilities, enabling it to achieve faster scale while maintaining the quality of work that SkyBox Labs is known for.”
NetEase has typically focused on mobile and PC games, but the company aims to become a major player on consoles as well, with SkyBox Labs playing a big role.
NetEase said SkyBox Labs “will continue to operate independently, working closely with existing and new partners to pursue creative opportunities and co-develop titles in the PC and console space.”
