Page 8 - The South China Business Journal
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of licenses awarded in China was already on the loopholes in administering the market. According
decline before the latest halt. to Xu Jin, delegate of the CPPCC, “Many children
are purchasing gaming accounts or the personal
In 2017, Chinese officials approved 9,369 titles, information of adults online to get around the
compared to barely over 2,000 in 2018 and just 755 playtime limitations.” The purpose of China’s
in 2021. The pattern suggests that authorities will regulations is to foster a social prioritization of
award fewer licenses each year, implying that moral norms and extend such control to the
the number of games that may be produced in younger and most impressionable generations.
mainland China is likely to decrease. Those who move with the flow and grasp the
prudent restrictions will be able to weather the storm.
According to AppsFlyer, an Israeli mobile marketing
analytics company, Chinese game advertisers Investors who respond to these policies will gain in
are eager to enter the Japanese market, which the long run, despite the short-term unfavorable
is mature and composed of high-value users. conditions. Over the last decade, China’s gaming
For example, NetEase’s adventure game ‘Knives sector saw a more than six-fold increase, passing
Out’ generated 97 percent of its sales last year from the RMB 296 billion mark in 2021. Such solid data
Japan alone, by incorporating localized design and demonstrate that China’s gaming business has
promotional events on Japanese online video sites. continued to grow – despite the pandemic and
tech crackdown. And, like most industries, the
Chinese companies also pay close attention to gaming industry will be affected by the conditions
Latin American countries, in particular Mexico influencing the participation of foreign investors
and Brazil, being two of the fastest growing and competitors in the market.
economies globally.
A good practice is to keep an eye on the Chinese
• LOOKING AHEAD government’s activities and stay informed about
the latest regulations. In this way, investors can
Even though 13.2 percent of Chinese minors plan ahead, irrespective of whether more favorable
average more than two hours daily playing video or unfavorable conditions emerge that impact the
games, the CCP continues to be concerned about business scope and access of foreign companies.
5 AMCHAM SOUTH CHINA
of licenses awarded in China was already on the loopholes in administering the market. According
decline before the latest halt. to Xu Jin, delegate of the CPPCC, “Many children
are purchasing gaming accounts or the personal
In 2017, Chinese officials approved 9,369 titles, information of adults online to get around the
compared to barely over 2,000 in 2018 and just 755 playtime limitations.” The purpose of China’s
in 2021. The pattern suggests that authorities will regulations is to foster a social prioritization of
award fewer licenses each year, implying that moral norms and extend such control to the
the number of games that may be produced in younger and most impressionable generations.
mainland China is likely to decrease. Those who move with the flow and grasp the
prudent restrictions will be able to weather the storm.
According to AppsFlyer, an Israeli mobile marketing
analytics company, Chinese game advertisers Investors who respond to these policies will gain in
are eager to enter the Japanese market, which the long run, despite the short-term unfavorable
is mature and composed of high-value users. conditions. Over the last decade, China’s gaming
For example, NetEase’s adventure game ‘Knives sector saw a more than six-fold increase, passing
Out’ generated 97 percent of its sales last year from the RMB 296 billion mark in 2021. Such solid data
Japan alone, by incorporating localized design and demonstrate that China’s gaming business has
promotional events on Japanese online video sites. continued to grow – despite the pandemic and
tech crackdown. And, like most industries, the
Chinese companies also pay close attention to gaming industry will be affected by the conditions
Latin American countries, in particular Mexico influencing the participation of foreign investors
and Brazil, being two of the fastest growing and competitors in the market.
economies globally.
A good practice is to keep an eye on the Chinese
• LOOKING AHEAD government’s activities and stay informed about
the latest regulations. In this way, investors can
Even though 13.2 percent of Chinese minors plan ahead, irrespective of whether more favorable
average more than two hours daily playing video or unfavorable conditions emerge that impact the
games, the CCP continues to be concerned about business scope and access of foreign companies.
5 AMCHAM SOUTH CHINA
