PUBG: Battlegrounds Surges in Popularity and Revenue

Record-Breaking Revenue for KRAFTON

In the first half of 2024, KRAFTON, the South Korean company behind PUBG: Battlegrounds, reported its highest revenue ever. The company’s revenue soared to 1.37 trillion won, approximately $1 billion, marking a 48.3% increase compared to the same period in 2023.

Financial Highlights

• Operating Profit: KRAFTON’s operating profit grew by 55% to 642.6 billion won ($469 million), another record for the company.
• Net Profit: Net profit rose significantly by 74.4% to 690 billion won ($503 million).
• Revenue Breakdown:
  • Mobile games generated the most revenue, bringing in 902.2 billion won ($658 million), a 52.1% increase.
  • PC games contributed 435 billion won ($317 million), up by 47.2%.
  • Console games, however, saw a decline, with revenue amounting to 20.3 billion won ($14.8 million), a 22.9% drop.

PUBG: Battlegrounds Performance

The success of PUBG: Battlegrounds was a key driver of KRAFTON’s financial performance. Several factors contributed to this surge:

• Return of Classic Map: The reintroduction of the classic “Erangel” map boosted player engagement.
• K-pop Collaboration: A collaboration with the K-pop group NewJeans also played a significant role.
• Player Growth: The number of monthly active players increased by 40% compared to the previous year, while the number of paying players skyrocketed by 130%.
• PUBG Mobile: On the mobile front, PUBG Mobile saw a 40% increase in monthly active players and a 30% rise in paying players.

Steam Revenue Performance

On the Steam platform, PUBG: Battlegrounds continued to perform well. According to GameDiscoverCo, PUBG: Battlegrounds was among the top-grossing games on Steam in the first half of 2024, generating an estimated $276 million in revenue. This places it alongside other high-performing games like Counter-Strike 2, Helldivers 2, and Palworld.

KRAFTON’s Expansion and Investments

KRAFTON has been actively expanding its portfolio through strategic investments. From January to August 2024, the company invested in 11 game development studios, including the acquisition of Tango Gameworks. Currently, KRAFTON consists of 13 game development studios, each working on various projects:

• Bluehole Studio: Known for TERA and working on Dark and Darker Mobile.
• PUBG Studio: Responsible for the PC and console versions of PUBG.
• RisingWings: Creators of mobile games like Golf King and Mini Golf King.
• Striking Distance Studios: Developers of The Callisto Protocol.
• Dreamotion: Known for Road to Valor and Ronin: The Last Samurai.
• Unknown Worlds Entertainment: Creators of Subnautica.
• 5minlab: Developers of Smash Legends and Baam Squad.
• Neon Giant: Creators of The Ascent.
• Krafton Montreal: Working on a game inspired by The Bird The Drinks Tears series.
• ReLU Games: Creators of Uncover the Smoking Gun.
• Flyway Games: Developers of Trinity Survivors.
• Vector North: A young Czech studio.
• Tango Gameworks: Known for Hi-Fi Rush, Ghostwire: Tokyo, and The Evil Within.

Esports and Community Impact

PUBG: Battlegrounds also has a significant presence in the esports scene. The game’s cumulative prize pool for esports tournaments has seen substantial growth, reaching over $27 million in 2023. This growth reflects the increasing popularity of PUBG in competitive gaming.

The broader esports industry is also experiencing rapid growth, with the global market valued at over $1.6 billion. The US esports market, in particular, has overtaken China’s, with a valuation of $1.07 billion. This growth is driven by increasing sponsorship and viewership, with games like PUBG contributing to the overall health of the esports ecosystem.

Conclusion

KRAFTON’s record-breaking revenue and the surge in popularity of PUBG: Battlegrounds highlight the company’s strong position in the gaming industry. With continued investments in new studios and projects, KRAFTON is poised for further growth. The success of PUBG: Battlegrounds not only reflects the game’s enduring appeal but also underscores the company’s ability to adapt and innovate in a rapidly evolving market.