Tencent Will No Longer Spend Money on Highguard

Highguard had already faced a difficult launch, but recent developments clearly show the scale of the problem. According to information reported by Jason Schreier of Bloomberg, Tencent has stopped funding the game. Following this decision, Wildlight Entertainment is reportedly undergoing extensive downsizing. This news, coming just two weeks after launch, reveals how quickly the process is progressing.

Why Was Funding Cut for Highguard?

According to the report, Wildlight Entertainment currently employs fewer than 20 people. It’s rumored that Tencent’s funding was tied to specific performance metrics, and that criteria such as player retention rate didn’t meet expectations. While there’s no official confirmation, it’s believed that the funding cut is directly related to the game’s performance.

It is reported that the term “hubris,” or overconfidence, is frequently used in discussions within the development team. Studio management reportedly believes they can replicate the success of Apex Legends, but haven’t adequately considered the changing dynamics of the industry. It’s particularly noteworthy that player habits are rapidly evolving in the highly competitive live service market.

Highguard’s current player numbers support this view. At the time of writing, concurrent players hover around a few hundred. Peak numbers in the last 24 hours have also been quite limited. For a live service game of this scale, these figures don’t seem sustainable.

Despite this, the shrinking team hasn’t completely abandoned the project. The remaining developers are reportedly working to improve Highguard and keep the game afloat. However, in a scenario where financial support is withdrawn, how long this effort can continue remains questionable.

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