Shenzhen Government Offers Financial Incentives to Create an ‘International Esports City’

Credit: Hongyu Chen/TEA

During the Tencent Esports Global Summit in Shenzhen (where the official headquarters for Tencent Holdings is located), Shaohua Chen, deputy director, member of the Party Leadership Group of Culture, Radio, Television, Tourism, and Sports Bureau of the Shenzhen Municipality, revealed plans by the city government to provide incentives to companies that promote esports. Chen unveiled a three-year multiple benefit-based policy for developing esports in the city that the leadership hopes will transform Shenzhen into an “international esports city.”

According to his main stage presentation on July 14, the Shenzhen government will offer a maximum ￥10M RMB ($1.39M USD) in allowances for building international-level esports venues in the city—the allowance is a one-off, and would not be over 30% of paid-in capital.

For Shenzhen-based game publishers that have developed vital esports titles (to be featured in large-scale international esports competitions), the city government will offer a maximum of ￥5M ($700K) in one-off allowances.

For leading international esports organizations, tournament organizers, and media publications planning to have Shenzhen headquarters, the city government will offer a maximum of ￥5M ($700K) in one-off allowances.

For Shenzhen-based esports organizations that compete in international esports competitions and use “Shenzhen” alongside their team names, the city government will offer a maximum of ￥2M ($279K) in allowances. Also, if the team wins a great result in a competition, the Shenzhen government will provide a bonus reward of a maximum of ￥5M ($700K) in allowances, dependent on tournament level, influence, and final ranking.

Finally, the city government will offer a maximum of ￥8M ($1.11M) in allowances for esports companies that bring large-scale international esports competitions to Shenzhen.

Chen did not disclose the overall amount the city government is willing to spend over the next three years to help promote Shenzhen as one of the top destinations for esports and esports-related business.