Tencent launches party game ‘DreamStar’, analysts say poses a threat to NetEase

Hong Kong: Chinese tech giant Tencent Holdings on Friday launched “DreamStar”, a new party game that has been widely anticipated by users and pegged by analysts to pose a threat to domestic arch rival NetEase.

“DreamStar”, in which gamers play as cartoon characters to race in an obstacle course, is seen as Tencent’s move to take on NetEase’ massively popular game “Egg Party”, a surprise hit which has helped lift NetEase shares by more than 40 per cent this year.

JPMorgan analysts said in a note on Thursday that the launch of “DreamStar” could impact NetEase revenue by 2 per cent to 3 per cent.