"Unrestricted Device" hampers Kingsoft Software's gaming business. After "Among Us," what other titles are in the pipeline?

Recently, Kingsoft Software released its performance report for the fourth quarter and the entire year of 2025, with total annual revenue of 9.683 billion yuan, a year-on-year decrease of 6%; of which Q4 revenue was 2.62 billion yuan, a year-on-year decrease of 6% and a quarter-on-quarter increase of 8%. The performance shows a clear divergence, with the office software and services business becoming a pillar of growth, achieving annual revenue of 5.929 billion yuan, a year-on-year increase of 16%, accounting for 61% of total revenue; while the online gaming and other businesses performed poorly, with annual revenue of 3.754 billion yuan, a year-on-year decrease of 28% compared to 5.197 billion yuan in 2024. It is reported that in Q4, this business had revenue of 868 million yuan, a year-on-year decrease of 33% and a quarter-on-quarter decrease of 3%, becoming the main reason for the company’s revenue decline.

Recently, Kingsoft Software’s gaming business is undergoing a period of adjustment. Significant changes have occurred in products such as “Limitless Machine” and “Dust White Zone,” but the mobile game “Goose Duck Kill,” which will be launched in early 2026, has become a new growth point for Kingsoft Games.

The financial report indicates that the decline in the gaming business is mainly due to a high base during the same period in 2024 and a decline in revenue from some older games. Last year’s launch of “Limitless Machine” did not meet expectations, which also hindered business development. To address these challenges, Kingsoft Games completed an organizational restructuring in December 2025, with Guo Weiwei resigning as CEO of Xishan Residence but continuing as chief producer reporting to Zou Tao. Zou Tao, CEO of Kingsoft Software and chairman of Xishan Residence, has taken over as acting CEO of Xishan Residence, and this adjustment lays a foundation for the strategic optimization of the gaming business (see the report “Xishan Residence CEO Guo Weiwei Resigns”).

In the face of performance pressure, Kingsoft Games has clarified a new development strategy. Zou Tao detailed the business layout for the first time during the financial report analyst conference after taking on the role of acting CEO of Xishan Residence. The core strategy focuses on three aspects: first, increasing investment in classic IPs such as the “Jian Wang” series, with “Jian Wang 3” and “Jian Xia World: Origins” as core martial arts IPs, continuing to operate steadily and serving as the business’s foundation, while continuing to enhance game experience and serve core users; second, reducing non-strategic projects and concentrating resources on products with long-term strategic value; third, fully laying out AI, creating an AI creation platform, regularly conducting creative evaluations internally, concentrating resources on promoting excellent projects for commercialization. Zou Tao believes that AI will not devour software but rather reconstruct digital systems, which will disrupt the game content creation model and promote the arrival of an era of universal creation. This is also a key focus for the future layout of Kingsoft Games. The company’s increase in R&D investment also supports the implementation of this strategy, with total R&D costs for the whole of 2025 reaching 3.534 billion yuan, a year-on-year increase of 16%, and Q4 R&D costs of 953 million yuan, a year-on-year increase of 30%, driven by an increase in staff, higher AI-related expenditures, and investment in new game development.

Notably, the mobile game “Goose Duck Kill,” which will be launched in early 2026, has become a new growth point for Kingsoft Games. This social deduction game added 5 million new players on its first day of launch (see the report “Pre-registered users exceed 20 million, popular nicknames sold out, ‘Goose Duck Kill’ mobile game is here”), and within a week of public testing, it gained 10 million new players, with total new users surpassing 30 million. It has consistently topped the iOS free chart, with daily active users stabilizing around 3 million, far exceeding market expectations. Regarding the future development plan for “Goose Duck Kill,” Zou Tao mentioned that based on online player retention data, Kingsoft Software plans to prioritize maintaining user DAU data to ensure version stability and improve service quality. The realization of game revenue and commercialization is not the current focus. Currently, “Goose Duck Kill” has already exceeded company and market expectations, and there remains significant growth potential, with plans for future overseas expansion also in the works.

In terms of new game reserves, Kingsoft Games has also built a diversified product matrix. Two casual games from the “Angry Birds” series have received approval and are expected to launch domestically in 2026; the independently developed game “Star Sand Island,” invested in by Kingsoft, has begun global early access in February 2026. This healing-themed rural life simulation game has received excellent reviews on Steam, and the company will optimize the product based on player feedback to prepare for its formal launch in the second half of the year. Additionally, the company has reserves for products such as “Jian Xia World 4: Infinity” and “Cats and Soup: Magic and Cuisine.”

It is worth mentioning that Kingsoft Software’s gaming business is currently undergoing a period of adjustment. In addition to the poor performance of “Limitless Machine,” the recent two-dimensional shooting mobile game “Dust White Zone” faced controversy due to a collaborative event and has been suspended since March 2 (see the report “Xishan Residence Game ‘Dust White Zone’ Emergency Suspension”).

For Kingsoft Games, which has over 30 years of development history, it currently faces the dual challenge of enhancing flagship IP vitality and iterating blockbuster new releases. The breakout of “Goose Duck Kill,” the implementation of AI strategies, and the diversification of new game reserves are becoming key factors for its breakthrough.

Reporting by: Nandu N Video Journalist Shi Li