Trump Administration Debating Allowing Chinese Company Tencent to Keep Its Stakes in U.S. Gaming Companies Such as Fortnite Maker Epic and League Dev Riot
IGN
by Vikki BlakeMarch 4, 2026
AI-Generated Deep Dive Summary
The Trump administration is currently evaluating whether to permit Chinese tech giant Tencent to retain its significant stakes in major U.S. gaming companies, including Epic Games (maker of Fortnite) and Riot Games (developer of League of Legends). This decision comes amid concerns over national security risks associated with Tencent's investments, particularly regarding the data of millions of American players. The Financial Times reported that top officials met to assess these risks ahead of a meeting between Trump and Chinese President Xi Jinping.
Tencent has been acquiring Western game companies for over a decade, with notable acquisitions including Riot Games (wholly owned) and a 28% stake in Epic Games. It also fully owns Finnish company Supercell, known for Clash of Clans, and recently invested in Ubisoft following the French company's financial struggles. The Committee on Foreign Investment in the U.S. (CFIUS) has been reviewing these investments to determine if they pose a security threat.
In January 2020, the Department of Defense classified Tencent as a Chinese military company, despite its denial. This classification raises concerns about potential data misuse and has led CFIUS to consider forcing Tencent to divest from these gaming companies or implement stronger data protection measures. The outcome could significantly impact the global gaming industry.
This situation matters to gamers and enthusiasts because it could influence the future of major franchises like Fortnite
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Originally published on IGN on 3/4/2026