Eric Eldon at VentureBeat has a great piece on RockYou’s move into the Asia Pacific region courtesy of another round of funding from strategic investors in the region, namely Softbank and SK Telecom.
Why Asia Pac you might ask? The answer is – virtual goods.
Cracking the formula for monetizing social networks via virtual goods is the current holy grail. Where better than China to learn the ropes – bigger than web advertising, virtual goods are a $1.2bn business there already.
In addition, Softbank ploughed $400m into Xiaonei – a socnet similar to Facebook, but ahead of the curve: they recently introduced a virtual currency system. Teaming up with these players is a smart move.
UPDATE: Facebook has started to head down a similar track – they’ve moved to a micropayments system as of today.