China's Gaming Industry Expected to Experience 5.2% Growth This Year

Niko Partners has updated its China Games Market 2023 Half-Year Update Report, predicting that China's gaming sector will not only experience growth this year but also surpass the losses incurred in 2022. According to Niko, China's gaming revenue is projected to reach $47.7 billion in 2023, representing a 5.2% year-over-year increase. This growth is attributed to a steady influx of gaming approvals from regulatory bodies, successful game launches, increased spending on established games, and the ongoing availability of PC and console games without approvals. Niko anticipates that China's gaming revenue will continue to rise, reaching $56.7 billion by 2027. The number of gamers in China is also expected to increase, albeit at a slower pace. For 2023, Niko predicts a 1.63% growth to over 710 million gamers, with a compound annual growth rate of 1% resulting in a 735 million player base by 2027. "The recovery of China's video game market brings optimism amidst the post-COVID economic slowdown," stated Niko CEO and President Lisa Hanson. "As the industry experiences more game launches, approvals, and esports growth, along with the expansion of Chinese game companies, China will remain a vital player in the global gaming industry."