In a wide-ranging discussion, Alex Jensen and Genya Smagin from SK Telecom Strategic Investments, give us an insight into important parts of Korean business.
Genya begins by recapping the major acquisitions that have occurred and will occur in the gaming industry. Starting with Microsoft’s $68.7 Billon dollar acquisition of the Activision Blizzard stable. Titles from this stable include; Call of Duty, Guitar Hero, World of Warcraft, StarCraft, Diablo, and Candy Crush Saga. Alex and Genya discuss the short term, and long-term impacts of such deals on the Korean gaming industry.
The pivot from this to a discussion on how NFT gaming and meta gaming will also impact the broader gaming market. These new forms of playing, earning and not earning are going to strategically shift the market.
The next topic is the IPO market in Korea. 20 million people in Korea participated in IPO’s last year, a phenomenal amount. Koreans are looking at equity markets to hedge against inflation and avoid the low bank interest rates. But Genya’s concern is that there might be some people with out the internal fortitude needed to prosper in equity markets. He reminds us of Warren Buffet’s consistent purchases in Coca-Cola and Bank of America over flash stocks. He reminds us that there is no such thing as a good stick or a bad stock, there are just good prices and bad prices.