HK Stock Market Move | Google Play's global in-app purchase commission reduced to 20%, NTES-S (09999) rose nearly 6%, Tencent (00700) rose nearly 4%

The game stocks collectively rose, as of press time, NTES-S (09999) rose 5.34%, to 189.4 Hong Kong dollars; Tencent (00700) rose 3.39%, to 519 Hong Kong dollars; IDREAMSKY (01119) rose 3.09%, to 0.5 Hong Kong dollars; IGG (00799) rose 1.32%, to 3.08 Hong Kong dollars. In terms of news, Google's parent company Alphabet recently announced a systematic reform of the Google Play store, reducing the standard service fee for in-app purchases (IAP) from the longstanding 30% to 20%, and reducing subscription service fees to 10%. They also opened up third-party payment systems and third-party app stores. Citigroup released a report saying that Google Play's policy reform could signal an important milestone in the fee structure of mobile platforms, potentially benefiting Chinese gaming companies with large overseas mobile distribution businesses, and encouraging more studios to explore overseas opportunities. This move could gradually improve the gross profit margin for gaming companies, depending on their domestic/overseas and platform combinations. The bank believes that other major app stores may also follow suit to maintain their competitiveness and openness.