Core Viewpoint - The legal dispute between Zulong Entertainment and Paper Games highlights issues of trademark infringement and unfair competition in the gaming industry, particularly regarding the use of popular keywords for advertising purposes [3][4][6]. Group 1: Legal Dispute Overview - Zulong Entertainment was found to have infringed on Paper Games' trademark by using their registered game titles as keywords in WeChat advertisements, leading to user confusion [3][4]. - The court ruled in favor of Paper Games, ordering Zulong Entertainment to pay 150,000 yuan in damages for trademark infringement and unfair competition [6]. - Zulong Entertainment's defense claimed that the keyword settings were managed by an outsourced advertising company, but evidence showed that they had added the keywords themselves [5][6]. Group 2: Financial Impact - Following the launch of its game "In the Name of Shine," Zulong Entertainment reported significant revenue growth, achieving 634 million yuan in revenue for the first half of 2025, a 44.4% increase compared to the same period in 2024 [7]. - The success of "In the Name of Shine" contributed to Zulong Entertainment's overall financial performance, alongside other game releases [7]. Group 3: Industry Context - The case reflects a broader trend in the gaming industry where companies may engage in competitive advertising practices that can lead to legal disputes over intellectual property rights [8][9]. - Legal experts suggest that companies should proactively protect their trademarks and avoid using similar names or branding to prevent confusion and potential legal issues [9][10].

Core Viewpoint - The legal dispute between Suzhou Paper Games Technology Co., Ltd. and Zulong (Tianjin) Technology Co., Ltd. regarding trademark infringement and unfair competition has concluded, with the court ruling in favor of Paper Games, ordering Zulong to pay 150,000 yuan in damages [1][4]. Group 1: Background of the Dispute - The conflict originated in January 2024 when Paper Games discovered that Zulong was using its registered trademarks as search keywords in WeChat advertisements for its game "In the Name of the Shining" [2]. - This action led to user confusion, as searches for Paper Games' trademarks resulted in Zulong's ads being displayed first, prompting Paper Games to file a lawsuit in March 2024 [2]. Group 2: Court Proceedings - During the trial, Zulong claimed that the keyword settings were managed by an outsourced advertising company and that there was no intent to infringe [3]. - However, this defense was refuted by Tencent, the operator of the WeChat advertising platform, which confirmed that Zulong had actively added the keywords without any platform intervention [3]. - The court ruled that Zulong's actions constituted trademark infringement and unfair competition, leading to a judgment in March 2025 that required Zulong to compensate Paper Games 150,000 yuan [3]. Group 3: Final Ruling and Implications - In August 2025, the Jiangsu Provincial Intermediate People's Court upheld the initial ruling, confirming Zulong's liability for trademark infringement and unfair competition, with the compensation amount remaining unchanged [4]. - Following the ruling, Zulong failed to fulfill the compensation obligation, prompting Paper Games to initiate enforcement proceedings [4]. - Zulong also withdrew its counterclaim for unfair competition in September 2025, marking the end of the legal dispute and highlighting the increasing awareness of intellectual property rights among Chinese gaming companies [4].