BEIJING, May 25 -- Walt Disney Internet Group and Shanda Interactive Entertainment announced yesterday they would bring Disney characters to China's booming online games industry.

    Shanda will develop, distribute and operate an online game based on the magical world of Disney, featuring some of its most popular animated characters, according to the agreement.

    Targeting female online gamers in China, the game will be available in open beta, or preview stage, in the spring of 2007.

    Both sides refused to disclose any financial figures about the deal, but said the online game marks the beginning of a long-term co-operation.

    Shanda Spokesperson Zhuge Hui said the development process would be wrapped up by the end of the year.

    "Shanda has a good reputation and close relations with the government, which encourages and supports healthy games. The application (development) process is expected to go smoothly," said Zhuge.

    China's online games industry has a large and loyal user-base of mainly young males.

    Last year, the industry's revenue in China reached 3.77 billion yuan (US$465 million), an increase of more than 50 per cent on 2004.

    Shanda claims that in the first quarter of 2006, the average number of users of its online games reached 1.35 million more than 30 per cent were casual games players.

    As one of the largest operators of online games in China, Shanda currently operates 12 online games, including seven role-play and five casual games.

    However, the company is looking to develop more games for its new target users female players and families because online games have traditionally been designed for young male players.

    "The Disney brand and its line-up of animated characters are already popular in China," Chen Tianqiao, Chairman and CEO of Shanda, said.

    "We believe the addition of Disney's wholesome content will further broaden our user demographic, thus making a significant contribution to the implementation of our home strategy."

    The agreement with Shanda marks Disney's entrance into China's online market and is a new means to promote its stories in the country.

    "China has a large online games market with significant growth, which represents a good business opportunity for Disney," said Carter Agar, China manager of the Walt Disney Internet Group (Business Consulting).

    Last year Disney and telecommunications company Qualcomm China jointly launched mobile phones with cartoon content in Shanghai.

(Source: China Daily)