NCSoft Stockwatch

[Little Green Frog]

Bearing in mind this is only one reporter talking to me, so who knows...but "Joe," the reporter that interviewed me for the Korean times, indicated at the feeling at the paper is that NCSoft is giving at least some of those analysts kickbacks for their glowing recommendations.  He also indicated that this is by no means out of the ordinary over there.  If I were to hazard a pure guess, it is that most stockholders are aware of this and not listening to the analysts.

Actually, this is a very serious accusation, comparable to the rumor of money laundering. If Mr "Joe's" theories are reasonably close to the truth, there is something very wrong going on with NCsoft. On the other hand there is little evidence to support these claims. For example would Nexon buy NCsoft shares if they had any reason to suspect them of such shady business practices? Because in both cases we're talking not just lack of ethics, but criminal behaviour. Things that make people go to jail. Surely if a newspaper could come up with these claims, then Nexon's analysts could do so too. I think I may personally start to question Mr "Joe's" motives. What is his angle in revealing all this?

[mikoroshi]

My neighbor, who is a recent transplant from Korea, has told me he has heard lots of shady things about NCSoft in the last few years and openly wondered why anyone is surprised this happened: he says they have shut down dozens of games and studios in the East in the past... and its perplexing him why it took so long to happen here.

[HarvesterOfEyes]

Actually, this is a very serious accusation, comparable to the rumor of money laundering. If Mr "Joe's" theories are reasonably close to the truth, there is something very wrong going on with NCsoft. On the other hand there is little evidence to support these claims. For example would Nexon buy NCsoft shares if they had any reason to suspect them of such shady business practices? Because in both cases we're talking not just lack of ethics, but criminal behaviour. Things that make people go to jail. Surely if a newspaper could come up with these claims, then Nexon's analysts could do so too. I think I may personally start to question Mr "Joe's" motives. What is his angle in revealing all this?

In most countries of the world, what we'd call "corrupt" business practices seldom land anyone in jail unless they are opposition politicians.

...and even here in the US, the level of official corruption that is considered "normal" today is an offense to pretty much every moral standard ever devised.

[Little Green Frog]

In my country it does. Plus we're also talking about money laundering, which is another of Mr "Joe's" revelations. I think that counts as a big no-no in US?

[HarvesterOfEyes]

In my country it does.

Count your blessings.

Plus we're also talking about money laundering, which is another of Mr "Joe's" revelations. I think that counts as a big no-no in US?

I can't tell whether what's being described violates any written law, and I submit that it's irrelevant.

EDIT: spelling

[TimtheEnchanter]

My neighbor, who is a recent transplant from Korea, has told me he has heard lots of shady things about NCSoft in the last few years and openly wondered why anyone is surprised this happened: he says they have shut down dozens of games and studios in the East in the past... and its perplexing him why it took so long to happen here.

"The Day Mitt Romney Came To Town: The Videogame Edition?"

[Blue Pulsar]

"The Day Mitt Romney Came To Town: The Videogame Edition?"

I don't get it.

[malonkey1]

I don't get it.

In reference to Mitt Romney's predicted presidency in the event that he won the 2012 election, at least according to liberals and moderates (including myself). No more reference to Romney should be made from here on in, in the interest of evading pyromania.

[Blue Pulsar]

In reference to Mitt Romney's predicted presidency in the event that he won the 2012 election, at least according to liberals and moderates (including myself). No more reference to Romney should be made from here on in, in the interest of evading pyromania.

Nice "Tag, no tag backs" you did there. lol

[Victoria Victrix]

Actually, this is a very serious accusation, comparable to the rumor of money laundering. If Mr "Joe's" theories are reasonably close to the truth, there is something very wrong going on with NCsoft. On the other hand there is little evidence to support these claims. For example would Nexon buy NCsoft shares if they had any reason to suspect them of such shady business practices? Because in both cases we're talking not just lack of ethics, but criminal behaviour. Things that make people go to jail. Surely if a newspaper could come up with these claims, then Nexon's analysts could do so too. I think I may personally start to question Mr "Joe's" motives. What is his angle in revealing all this?

What is your angle in questioning and cross-examining every statement I make, and coming just short of repeatedly calling me a liar?

[Perfidus]

I assume playing Devil's Advocate. He wants the game back just as much as we do.

[Little Green Frog]

What is your angle in questioning and cross-examining every statement I make, and coming just short of repeatedly calling me a liar?

Whoa, there! I did not mean to step on anyone's toes. However, you are very active in the movement (I am very grateful for that as I stated previously in other posts and I think you are doing great job, honest!), while I am by nature distrustful and have difficulty believing in anything remotely resembling a free lunch. So it's inevitable that sometimes I will debate something that you will see in a very different light. Now please observe that I am giving a look to Mr "Joe", not to you. I am doing that because I see him feeding us with pretty wild stuff, while not providing any kind of proof. They're just guesses. On the other many people in our community are pretty bitter and/or desperate, so they are likely to cling to anything that would hurt NCsoft. It doesn't take much to ignite a wild goose chase in such circumstances. Why would he do that? Well, for the story would be my first guess. But it's a guess - I have nothing to back it up. So with that I'll just go and sit quietly in the corner. I do not want to stir any negative emotions and I am sorry that my mistrust has angered you. I apologize.

[Little Green Frog]

I assume playing Devil's Advocate. He wants the game back just as much as we do.

Thank you for your kind words.

[Victoria Victrix]

Whoa, there! I did not mean to step on anyone's toes. However, you are very active in the movement (I am very grateful for that as I stated previously in other posts and I think you are doing great job, honest!), while I am by nature distrustful and have difficulty believing in anything remotely resembling a free lunch. So it's inevitable that sometimes I will debate something that you will see in a very different light. Now please observe that I am giving a look to Mr "Joe", not to you. I am doing that because I see him feeding us with pretty wild stuff, while not providing any kind of proof. They're just guesses. On the other many people in our community are pretty bitter and/or desperate, so they are likely to cling to anything that would hurt NCsoft. It doesn't take much to ignite a wild goose chase in such circumstances. Why would he do that? Well, for the story would be my first guess. But it's a guess - I have nothing to back it up. So with that I'll just go and sit quietly in the corner. I do not want to stir any negative emotions and I am sorry that my mistrust has angered you. I apologize.

Accepted.

Now, look at it from my perspective.  I am not a stock market analyst, I in no way am going to be able to influence stock prices, I am virtually unknown in Korea and no one in the US is going to pay any attention to an elderly fantasy writer when it comes to "real news."  I mean, seriously, when is the last time you heard of anyone going to Stephen King for financial analysis?  And he's exponentially "bigger" than I am.  No one in Korea is going to be operating under some bizarre illusion that I am the Great and Powerful Oz and can topple corporations with a breath.

I'm assuming the logical.  "Joe" told me this, merely to confirm my suspicions, and maybe with an eye to the idea that someone sufficiently motivated in the US could at least report those suspicions to the authorities.  Which, I did.  He also told me that this (money laundering and bribery) has turned up with other gaming companies in Korea, so it is by no means unheard of.   How common it is, I can't say, since I don't live in Korea.

[FatherXmas]

Or "Joe" has an axe to grind and through you and by extension us, a group of disgruntled former NCSoft customers, could be persuaded to pick up a torch and pitchfork and needle NCSoft because his Korean readers/editors have written him off already?  But it's nice to believe that there are hard hitting investigating journalists who can't quite gather enough evidence to break the story wide open alive and well in the world.

And don't undersell yourself VV.  You comment in The Korea Times did trigger a short term sell off as the locals heard of what happen to us for likely the first time, since CoH never really succeeded there.  NCSoft is in the KOSPI 100 and KOSPI 200 indexes and is still one of the top 60 companies in those indexes based on Market Cap so people do follow NCSoft other than on MMO blogs.

[malonkey1]

Nice "Tag, no tag backs" you did there. lol

While I will not deny that, flame wars must be averted. And is there any chance, VV, that we could get in touch with "Joe" or his sources?

[TimtheEnchanter]

In reference to Mitt Romney's predicted presidency in the event that he won the 2012 election, at least according to liberals and moderates (including myself). No more reference to Romney should be made from here on in, in the interest of evading pyromania.

Not quite, it was a propaganda video highlighting the darkest aspects (would that actually make it lowlighting?) of his business career. No opinion on his potential as a president is intended or should be inferred.

[Victoria Victrix]

Or "Joe" has an axe to grind and through you and by extension us, a group of disgruntled former NCSoft customers, could be persuaded to pick up a torch and pitchfork and needle NCSoft because his Korean readers/editors have written him off already?  But it's nice to believe that there are hard hitting investigating journalists who can't quite gather enough evidence to break the story wide open alive and well in the world.

And don't undersell yourself VV.  You comment in The Korea Times did trigger a short term sell off as the locals heard of what happen to us for likely the first time, since CoH never really succeeded there.  NCSoft is in the KOSPI 100 and KOSPI 200 indexes and is still one of the top 60 companies in those indexes based on Market Cap so people do follow NCSoft other than on MMO blogs.

I'm not all that sold on the idea of an axe to grind.  I'm pretty good at spotting leading questions, and I didn't get any in that interview...about half of which was cut because I gave long and detailed answers, figuring the Korean tolerance for tl;dr is higher than in the US.  And I am not sold on the idea anything I said had much influence, except that this was the first time Koreans heard the disconnect between the "we are expanding in the west" and the "we are concentrating on the east" messages.  As long as they got that from any source, the result would have been the same.

While I will not deny that, flame wars must be averted. And is there any chance, VV, that we could get in touch with "Joe" or his sources?

Same way Rae did.  Email to him at the Korean Times.  Contact info should be on that article.

[FatherXmas]

Okay "ax to grind" is a little strong.  Lets say a true believer that NCSoft is up to no good.  Sort of like guests and callers on Coast to Coast AM who truly believe in aliens, ghosts, angels, the Mayan Doomsday, etc. and is looking for an audience who shares in their beliefs, or who are at least open to the possibility. 

You've (general you, from the POV of the investigating journalist) heard rumors, stories from a friend of a friend or on the DL from some low level official or employee or ex-employee about a potential investigation, wrong doings, etc.  Not enough proof to break a story on but enough to lead you to believe that something is up but you're at a dead end.  How do you proceed?  Well you put it out there through groups who may be sympathetic to your misgivings and see if any of them heard something new.  The worst case you generate a low level buzz that something may be up and then just maybe a new lead will emerge.

Or you could believe that what "Joe" has is an open secret there, that it's SOP for such companies in Korea and that the local agencies simply turn a blind eye in the name of the national economy and he is now looking for someone to start an outside investigation that would shed more light on it.

But if you believe that 38 of the 39 analysts, or even just the 13 who has NCSoft as a Buy are all on the take, that's a little too cynical for me.  It's too easy for me to believe our current feelings about NCSoft will color our judgement when to comes to accepting such rumors and accusations at face value.

[Kurukaze]

Different view:

"We are heroes. This is what we do."

One thing happening to heroes often is being framed. So:
 - Nexon did buy a large part of NC stock this year - as I understood that part was owned by Mr. CEO himself before.
 - NC is tanking, widely believed due to very bad public standing, analysts have them on "buy" - they still have the Lineage stuff that works pretty well on their hometurf, GW and GW2 - and is still tanking despite christmas sales.
 - Someone is buying, even enough to have NC rise a lil from time to time.

So, what if that "someone" is actually Nexon trying to get NC for "very cheap", having Mr. CEO play their cards, making bad "strategic decisison" to create bad publicity - picking us as we were the most probable group of (now ex-)customers to deliver?