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January 7th, 2009, 09:15 GMT · By

China's Online Games Industry Will Grow to 2.67 Billion Dollars

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Fueling the Chinese online games
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The big MMOs of our time, like World of Warcraft from Blizzard or Warhammer Online from Mythic, need to re-orient themselves to attract as much of the Chinese market as possible, otherwise they run the risk of becoming irrelevant.

A recent study from Interfax China, a business news organization and research group, says that the amount of money generated by the online gaming industry of the Communist state will reach 18.21 RMB or 2.67 billion dollars sometime in 2010. The report is called “China Online and Mobile Gaming 2008-2010” and paints a picture of around 120 companies registered as gaming operators that are running about 200 online games. They made 1.5 billion dollars in 2007 and are set to reach 1.86 billion in 2008.

The biggest operators are Shanda, Giant Interactive, NetEase and The9, the company which has the right to operate World of Warcraft in China. Casual and web games are almost as popular as high budget MMOs in the country and they seem to have the biggest potential for growth.

Interfax says that “In-game advertising is a hot spot for generating revenue, which is especially true for the free-to-play online gaming model that has gained popularity among many Chinese gamers.” The report also states that “The government is concerned over the content of the games enjoyed by large numbers of China's youth, which may contain violence, gambling and [mature content], and policy making decisions will likely focus around these issues.” Growth can only happen if the central Communist authorities are somewhat less strict in enforcing rules and regulations.

It seems that more women are now playing online games and more non-urban residents are playing using the Internet. This shift in the profile of players means that big budget games will also need to adapt to attract the new demographics.

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READER COMMENTS:


Comment #1 by: Dan on 08 Jan 2009, 07:13 UTC reply to this comment

This is no surprise to see that this much money will be in China on video games alone. If you look at the most popular game in the world, the World of Warcraft, a large industry of wow gold selling exists, and China is the primary source (like everything else in the world it seems these days....)


Comment #2 by: Bobby J. on 08 Jan 2009, 07:42 UTC reply to this comment

Great. Just exactly what we need. More wow gold farmers.

But I don't think that we should really be surprised about it. Given China's population and with the way that they are just starting to open up to western technologies and ideologies, these numbers should continue to increase in the future.


Comment #3 by: andrei.dumitrescu on 08 Jan 2009, 09:30 UTC reply to this comment

As far as I can tell the report only takes into account legitimate activities and gold farming is certainly not taken into account. Actually gold farming as such is a very Western activity. It just happens that the Chinese and South Asian gamers are much more better at it...


Comment #4 by: ben on 09 Jan 2009, 13:39 UTC reply to this comment

well.. what can I say, Chinese are the best wow gold farmers.


Comment #5 by: Ashton L on 13 Jan 2009, 12:57 UTC reply to this comment

Hmmm... I agree with Ben and Andrei's comments. I don't think World of Warcraft and WarHammer need to re-orient theirselves since Chinese people are their main problem for farming wow gold and creating bots :p

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