China’s video game sector has surged to new heights, with domestic sales topping a staggering 303 billion yuan ($42.6 billion), marking a significant 13% increase. This resurgence comes after the industry felt the weight of an 8-month regulatory clampdown, which is now firmly in the past.
The industry’s vitality was highlighted at a Guangzhou conference by the CGIGC, noting a historic leap in revenue and a slight 0.61% uptick in the gaming populace, pushing the number of players to an unprecedented 668 million — surpassing the total population of North America.
Chinese-developed games have seen a robust 15% rise in annual revenue, reaching 256 billion yuan, underscoring the nation’s push for technological self-reliance. However, the landscape abroad has been less favorable, with international revenues experiencing a 5.65% decline to $16.3 billion amid increased global scrutiny.
Despite international challenges, ‘anime-style’ games, including the likes of miHoYo’s “Genshin Impact,” have seen a surge in popularity, with smartphone titles in this genre alone boasting a 31% growth.
The industry’s recovery is mirrored in the performance of Tencent, which has bounced back with growth after a previous year’s downturn. Similarly, NetEase’s shares soared by over 40%, propelled by successful titles such as “Egg Party.”