Perfect World Names New CEO After Executive Shakeup

Perfect World, the Chinese gaming giant behind hits like Persona 5: The Phantom X and One Punch Man: World, is undergoing a shakeup at the top. Following a round of layoffs impacting over a thousand employees and a disappointing financial performance, CEO Xiao Hong and co-CEO Lu Xiaoyin have stepped down, as per a report by Game Gyroscope on the Chinese WeChat forum. But according to some buzz, they’ll be sticking around as directors.Longtime company veteran Gu Liming, previously the Senior Vice President, is now the new CEO. This change in the guard suggests that Perfect World is looking to hit the reset button and steer the company in a new direction. It’ll be interesting to see what strategies the new captain cooks up!Rough Patch For Perfect WorldThe business reportedly laid off many people, which is a significant setback for any business. Revenue from its current games has also decreased. Even One Punch Man: World, anticipated to be a huge smash, did poorly in international beta testing. It has been mysteriously stagnant, with no updates on the App Store and Google Play since April.Perfect World expects a significant financial setback in the first half of 2024. They project a net loss of 160-200 million yuan, compared to a profit of 379 million yuan last year. Their game business is about to be hit the hardest, with a net loss of 140-180 million yuan.To add insult to injury, the middle office team has been slashed from 150 people to just a handful of dozen. It’s a tough time to be a part of Perfect World, but if Tower of Fantasy’s upcoming update is any indication, there’s still hope for a turnaround. Tower of Fantasy, Hotta Studio’s ambitious open-world gacha RPG, has been riding a financial roller coaster lately. Version 4.2 is set to drop on August 6, 2024, bringing some much-needed excitement—and maybe a little financial relief.Their newly announced game, Neverness to Everness, has generated much buzz. Well, it’ll be a while before Neverness to Everness starts generating revenue (it’s not going to launch until 2025 at the earliest). The early interest suggests gamers are hungry for what Perfect World is cooking up in this new realm. In just a week, the urban-themed open-world RPG racked up nearly three million pre-registrations worldwide.Only time will tell if Perfect World’s new management can guide the firm out of its problems. The next months will be critical as they concentrate on key initiatives, optimize workflows, and ideally restore those funds.Also, if you’re looking for other gaming news, check out our other scoop. Wang Yue, The Open World ARPG Is Stepping Out Of The Shadows As Testing Phase Nears.