The Chinese video game market experienced significant growth in August, with sales rising by over 15% compared to the previous year. This increase was mainly driven by the highly anticipated release of the AAA title Black Myth: Wukong, which has gained widespread attention from gamers both in China and internationally. The game, launched on August 20, contributed to a substantial revenue boost, with China’s gaming market generating 33.64 billion yuan (US$4.8 billion) in August—a 21% rise from the previous month.
Black Myth: Wukong, developed by the Hangzhou-based studio Game Science, is an action-role-playing game inspired by the Chinese novel Journey to the West. The game’s engaging storyline, high production quality, and immersive gameplay have earned it acclaim from both players and critics. It has sold over 20 million copies worldwide, with the majority of sales coming through the gaming platform Steam, generating an estimated US$961 million in gross revenue according to Video Game Insights.
This global success has had a notable impact on the export of Chinese-developed games, with overseas sales seeing a 25% year-on-year increase in August, reaching US$1.88 billion. This reflects a rise from US$1.5 billion during the same period in the previous year, showcasing the growing demand for Chinese games in international markets.
However, while Black Myth: Wukong soared, China’s domestic mobile game sales faced a slight decline, with mobile gaming revenue down 1.55% year-on-year, totaling 22.5 billion yuan in August. This downturn highlights ongoing challenges within China’s gaming industry, particularly amid a slowing economy and a regulatory crackdown that has affected game approvals.
Despite these challenges, China’s gaming market remains the second-largest in the world in terms of revenue, behind only the United States. The National Press and Publication Administration (NPPA), China’s gaming regulator, showed signs of loosening restrictions by approving 117 new video games in August—more than in any other month this year. The success of Black Myth: Wukong contributed to this increase in approvals, signaling potential growth ahead for the industry.
From January to August 2024, the NPPA approved licenses for 850 domestic video games, compared to 609 during the same period in 2023. This suggests a more favorable environment for game development and distribution within the country. Consultancy firm Newzoo forecasts that China’s gaming market will generate US$45 billion in revenue by the end of 2024, slightly trailing behind the US market’s estimated US$47 billion. Together, the two countries are projected to account for around half of global video game spending this year.
As the market continues to evolve, the success of Black Myth: Wukong highlights the growing potential of Chinese-developed games to make an impact both domestically and internationally.
Featured Image courtesy of www.gamereactor.eu
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