In 2005, in order to obtain the "World of Warcraft" in China's exclusive right to operate the region, Ninetowns paid up to $ 51.3 million proxy gold, of which only a royalty free, which amounts to $ 3,000,000. At the same time, Ninetowns also must come up with $ 13 million as a "World of Warcraft" game market in China , the costs of promotion. Commercial operation in the game after four years Ninetowns also has to pay each quarter to $ 1.6 million $ 3.7 million as royalties. So, the firefall gold is in hot sale on any website.
And ended December 31, 2004, Ninetowns surplus cash and cash equivalents 793 million yuan (about $ 95.9 million). IPO financing only for the amount of $ 103 million Ninetowns, the agency "World of Warcraft" will bring financial pressure to Jun Zhu is indeed a gamble. Of course, such a large capital investment in the case of Jun Zhu also have their own calculations.
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