A publicity poster of Luo Bao Bei, a Chinese animation serial produced by Hangzhou MagicMall Animation Production Co Ltd. MagicMall has signed 10-to 15-year copyright agreements with many overseas broadcasters. [Photo provided to China Daily]

License deals for IP turn into big biz, riding demand for original ideas

Move over Tom, Jerry, Donald Duck, Mickey Mouse and the lot, Luo Bao Bei is here.

The cartoon character merchandising tide may be turning in China's favor after decades of Western dominance.

China's cartoon character Luo Bao Bei, a 7-year-old Beijing girl, is going global and raking in the moolah through intellectual property or IP deals worth billions of yuan.

Its producer Hangzhou MagicMall Animation Production Co Ltd has signed 10-to 15-year copyright agreements with many overseas broadcasters, including the Australian Broadcasting Corp, according to Tian Jia, its general manager.

Luo Bao Bei, the 52-episode animation serial from which the character is drawn, has already earned more than 1 billion yuan ($156.8 million) in gross income from overseas IP licensing deals.

Its IP license buyers are from countries such as France, Italy and the United States, Tian said.

That's a dramatic shift from the scene until recently.

For decades, Western comic characters and some from Japan, captured Chinese minds and hearts, spinning big bucks for those who held IP rights to them.

Back in the 2000s, companies such as Walt Disney, Warner Bros and Doraemon ruled the roost with their copyright-protected characters, according to a report from Dezan Shira and Associates, an Asia-focused investment adviser for businesses.

Huhu Studios, New Zealand's second-largest 3D animation producer, has recently sold copyrights of several old cartoon characters to Chinese companies, according to Trevor Yaxley, its CEO.