The gaming world witnessed a significant legal victory as Genshin Impact developer MiHoYo successfully sued Chinese e-commerce giant Temu for promoting a fraudulent collaboration. The court ruling resulted in Temu paying over $130,000 in compensation for false advertising and damaging MiHoYo’s reputation through unauthorized promotional campaigns.
This landmark case highlights the growing issue of fake collaborations in the digital marketplace and sets an important precedent for protecting intellectual property rights in the gaming industry.
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Genshin Impact Fraudulent “Collaboration” That Started It All
The controversy began when Temu promoted a fake collaboration with MiHoYo without any prior authorization or consent from the Genshin Impact developers. The deceptive campaign targeted Genshin Impact players through influencers and video bloggers who promoted a special “Genshin Impact quest.”
The fraudulent promotion included a tantalizing offer: “Grab 10,000 Primogems for ¥1.” For context, 10,000 Primogems represent significant value in Genshin Impact—enough for dozens of character summons that would normally cost players hundreds of dollars.
How the Scam Operated
When users clicked the promotional link expecting their promised Primogems, they instead experienced:
- Automatic download of the Temu/Pinduoduo app
- No delivery of promised Primogem rewards
- Misleading information about an official collaboration
- Potential exposure to unwanted app installations
Legal Battle Timeline
| Stage | Court | Outcome | Compensation |
|---|---|---|---|
| First Instance | Trial Court | Guilty verdict | ¥350,000 ($2,363) |
| Appeal | Zhejiang Provincial Higher Court | Upheld ruling | ¥1,000,000 ($130,000+) |
| Final Ruling | Higher Court | Additional penalties | Public apology required |
MiHoYo’s Legal Victory: More Than Just Money
The court’s decision went beyond financial compensation. Temu was ordered to:
Immediate Actions Required:
- Halt all fraudulent advertising campaigns immediately
- Publish a public notice clarifying no official collaboration exists
- Pay ¥1,000,000 ($130,000+) for reputation damage
- Cover economic losses caused to Genshin Impact
The Zhejiang Provincial Higher People’s Court’s decision to uphold the initial ruling after Temu’s appeal demonstrates the seriousness of intellectual property violations in China’s legal system.
For more insights on gaming industry legal matters, check out our comprehensive guide to gaming IP protection.
Why This Case Matters for the Gaming Industry
Setting Legal Precedents
This victory establishes important precedents for gaming companies facing unauthorized use of their intellectual property. It demonstrates that courts will take serious action against companies that exploit gaming brands for commercial gain.
Protecting Player Trust
The ruling helps maintain the integrity of official collaborations and partnerships. Players can have greater confidence that promoted collaborations are legitimate, protecting them from scams and false advertising.
Economic Impact
The substantial compensation amount sends a clear message to other companies considering similar fraudulent practices. The financial penalty makes unauthorized brand usage economically unviable.
The Broader Context: Fake Collaborations in Gaming
This case reflects a growing problem in the gaming industry where popular franchises like Genshin Impact become targets for fraudulent promotional schemes. The game’s massive popularity—with over 60 million monthly active players globally—makes it an attractive target for scammers.
Common Red Flags for Players:
- Unrealistic rewards for minimal effort
- Requests to download unrelated apps
- Unofficial channels promoting “exclusive” deals
- Missing official announcements from game developers
For the latest Genshin Impact news and official updates, visit our Genshin Impact coverage section.
Impact on Temu’s Reputation
This legal defeat represents a significant blow to Temu’s credibility, especially in the gaming community. The company, already facing scrutiny over various business practices, now faces additional challenges in building trust with potential users.
The requirement to publish a public apology further amplifies the reputational damage, ensuring widespread awareness of the fraudulent campaign among potential customers.
What This Means for Players
Enhanced Protection
This ruling provides stronger protection for players against fraudulent schemes masquerading as official collaborations. Gaming companies now have clearer legal recourse against unauthorized brand usage.
Verification Importance
Players should always verify collaborations through official channels—game websites, verified social media accounts, and in-game announcements—before participating in promotional offers.
Industry Accountability
The substantial financial penalty demonstrates that companies cannot exploit gaming communities without facing serious consequences, encouraging more responsible marketing practices.
Looking Forward: Industry Implications
This case likely influences how e-commerce platforms approach gaming-related promotions. Companies will need to invest more heavily in verification processes and legal compliance to avoid similar costly penalties.
The victory also empowers other gaming companies to take stronger action against unauthorized use of their intellectual property, potentially leading to a cleaner, more trustworthy promotional landscape.
Stay updated with the latest gaming industry legal developments at TechnoSports. For official Genshin Impact news, visit HoYoverse.
Frequently Asked Questions
Q: How much compensation did MiHoYo receive from the Temu lawsuit?
A: MiHoYo received over $130,000 (¥1,000,000) in compensation from the higher court ruling, plus an additional ¥350,000 from the initial trial court decision. Temu was also required to publish a public apology and immediately halt the fraudulent advertising campaign.
Q: What was the fake collaboration that Temu promoted?
A: Temu promoted a fraudulent “Genshin Impact quest” offering 10,000 Primogems for ¥1. When users clicked the promotional link, it automatically downloaded the Temu app instead of providing the promised rewards, with no actual collaboration existing between the companies.
