Krafton, the South Korean game development company, is set to expand its popular battle royale shooting game PUBG with a series of strategic moves, according to a note from Goldman Sachs. The company aims to sustain and grow PUBG, its biggest mobile title, with a range of initiatives.
Key Takeaway
Krafton is planning to extend the reach of PUBG through franchising and enhance the gaming experience with a graphics revamp using Unreal Engine 5.
Franchising the IP
Goldman Sachs revealed that Krafton is planning to franchise the PUBG IP by introducing a diverse range of genres, platforms, and play modes. This move is aimed at broadening the game’s appeal and reaching new audiences.
Graphics Revamp with Unreal Engine 5
One of the major updates in the pipeline is a significant graphics upgrade. Krafton intends to utilize Unreal Engine 5 for a PUBG 2.0 revamp, as confirmed by Goldman Sachs. The latest iteration of Unreal Engine is expected to offer enhanced realism and immersion while optimizing performance costs, providing a more dynamic and detailed gaming experience.
Positive Outlook
Goldman Sachs projected a positive outlook for PUBG’s PC and mobile apps, as well as BGMI, the India-only battle royale title. The note highlighted the success of PUBG PC and the continued strong performance of BGMI in the Indian market.
Revenue Projections
The investment bank also provided revenue projections, indicating a positive trajectory for PUBG and its related titles. With the company’s increased investment in the local market, particularly in esports events and localized promotions, Goldman Sachs anticipates robust revenues for BGMI in the coming years.