This is the web version of dot.LA’s daily newsletter. Sign up to get the latest news on Southern California’s tech, startup and venture capital scene.
Once again, Riot Games is taking a Chinese mobile gaming rival to court over claims that it’s illegally copying intellectual property from its popular “League of Legends” franchise.
In recent years, West Los Angeles-based Riot has grown increasingly frustrated with a competing game developer called Moonton, which Riot claims is stealing IP and promotional tactics from “League of Legends” to use in a competing mobile title called “Mobile Legends: Bang Bang.”
Last year, Shanghai-based Moonton was acquired for $4 billion by ByteDance. Yes, that ByteDance—the Chinese tech firm that owns video-sharing giant TikTok, whose Culver City offices are not far from Riot’s Sawtelle headquarters.
The latest legal spat, now playing out in U.S. District Court for the Central District of California, is part of a larger battle between ByteDance and Tencent—the rival Chinese tech conglomerate that took control of Riot Games in 2015—for control over what’s become a lucrative mobile gamer base. According to digital research firm Sensor Tower, games like “Mobile Legends: Bang Bang,” which fall into the mobile multiplayer online battle arena (MOBA) category, generated more than $300 million in average monthly revenues globally last year, up 14% from 2020.
In its lawsuit, Riot alleges that Moonton’s “Mobile Legends”—which counts 500 million downloads on Android since its release in 2016—rips off the aesthetic, characters and even the title of Riot’s “League of Legends” franchise, which was created in 2009. The complaint claims that since 2015, Moonton has engaged in a “deliberate and sustained campaign to free ride on Riot’s highly valuable rights” for “League of Legends,” calling the situation “blatant copying.” Riot actually sued Moonton in the same court in 2017 making the same argument—but a judge dismissed the suit, arguing that it should be heard in China instead. Now, Riot is trying its case again.
This time, Riot is taking issue with Moonton allegedly lifting from its newest “League of Legends” title, “Wild Rift,” which was released in the U.S. early last year. “New characters, settings, and objects are regularly copied from ‘Wild Rift,’” Riot notes in its new lawsuit, which was filed May 9. “Moonton often copies the modifications and updates, such that both games look and feel highly similar to gamers.”
In its complaint, Riot requests that Moonton return any profits it gained in the U.S. from copying its “League of Legends” games. “[Monday]’s filing follows years of serial copying,” a Riot spokesperson said in a statement to dot.LA. “This copying must stop.”
Representatives for Moonton and ByteDance could not be reached for comment. — Samson Amore
Netflix’s Ad-Supported Plan Could Launch By Year’s End
Executives at Netflix told staffers that they aim to introduce a cheaper subscription with ads during the final three months of 2022. The streaming giant plans to start restricting password sharing around that same time.
Did TikTok Disinformation Just Decide the Next President of the Philippines?
Ferdinand Marcos Jr. is set to become the Philippines’ next president. His campaign paid social media influencers to publicly support him. Researchers say TikTok’s lack of transparency regarding its algorithm and misinformation on the app influenced the election.
🎧 Listen Up: How Farmgirl Flowers' CEO Built Her Startup Without a Degree or Funding
On this episode of Behind Her Empire, the founder and CEO of Farmgirl Flowers discusses how she built a successful company without investors, a degree or background in the industry she chose to focus on.
What We’re Reading Elsewhere...
- Zooey Deschanel talks about launching ecommerce platform Merryfield.
- L.A.-based EVgo partners with Portland, Maine on its electric vehicle charging infrastructure.
- Unagi launches its venue-based micromobility sharing network in L.A.
- Activision subsidiary Raven Software prepares for a union vote.
- Indoor agtech startup Smallhold opens a facility in L.A. focused on organic mushrooms.
- L.A.-based "healthy light" startup Korrus acquires LED company Circadian ZircLight.
- Santa Monica-based My Code, an agency focused on building brands more diverse audiences, acquires Spanish language media giant Impremedia, the publisher of La Opinión and El Diario.
----
How Are We Doing? We're working to make the newsletter more informative, with deeper analysis and more news about L.A.'s tech and startup scene. Let us know what you think in our survey, or email us!
- Riot Games Give South LA Students Access to Tech Education - dot ... ›
- Riot Games Acquires Gaming Studio Hypixel - dot.LA ›
- Riot Games Investigating Esports Team Founder Andy Dinh - dot.LA ›
- Riot Games Doubles Down on Mobile With ‘Aim Lab’ - dot.LA ›
- Riot Games' Approach to Gaming's Workplace Reckoning - dot.LA ›
- Riot Games' Hackers Invade 'League of Legends' - dot.LA ›
- The Tech Behind Universal's Super Nintendo World - dot.LA ›