Shanda Games, the online gaming subsidiary of Shanda Interactive Entertainment Limited is about to discontinue MochiMedia China business after announcing closing down Ju Xin (Big Stars), an online Karaoke platform as part of a broader move to streamline and restructure its portfolio, according to people familiar with the matter.
Shanda Ju Xin has been in operation since 3 years ago, the team said on its official website that โdue largely to general market condition and the gameโs status quoโ, it would take down all the gameโs servers and eventually shut it down by February 6th of next year.
MochiMedia, the San Francisco, CA based, Accel Partners funded company that helps game developers around the world to monetize and distribute their games was acquired by Shanda Games for $60 million in cash and $20 million in equity. Shanda had high hopes for MochiMedia as the gaming vendor was counting on the distributor to internationalize Shandaโs game pipeline. However, things didnโt pan out as Shanda hoped, MochiMedia China discontinued support service from this June on, and now is said to completely discontinue its China business.
Insane, aimless and blind expansion has characterized the Chinese online gaming giantโs growing path over the past few years, and now it is time to slow down and shed off some burden.
