China’s Gaming Industry: Rising Amid Regulation and Cultural Revival Article

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Black Myth Wukong. Photo Credits: Zarmena Khan via Playstationlifestyle

China’s Gaming Industry: Rising Amid Regulation And Cultural Revival

Asia
Technology

From Tight Control to Renewed Growth
China’s gaming industry has witnessed remarkable growth over the decades, even in the face of strict government regulations. In 2022, authorities imposed measures limiting online gaming time for minors. Children under 18 were only allowed to play games once per day on Friday, Saturday, and Sunday, and not at all from Monday to Thursday. These rules were introduced to combat gaming addiction, protect youth health, and ensure focus on national priorities like military preparedness.

One major health concern was a 2018 report linking increased screen time to a rise in near-sightedness among Chinese youth.

Loosening Restrictions and Embracing Technology
However, recent policy shifts have relaxed some of these restrictions, leading to a revival in gaming activity and investment. With the widespread implementation of 5G, faster connectivity has enhanced online gaming experiences, making them more accessible to a broader audience, including youth.

By 2023, China had over 668 million internet users playing online games, and the industry was valued at US $42 billion.

Key Players in China’s Gaming Ecosystem
Several major companies are driving this growth: Tencent, NetEase, Perfect World Games, Yingpei Games, NetDragon, TA Games, Shanhai Artcoding, MiHoyo

Globally renowned titles like Fortnite and Minecraft continue to dominate, with strong player bases within China.

Black Myth: Wukong — A Cultural and Commercial Breakthrough
In 2024, China’s gaming industry saw a landmark moment with the launch of Black Myth: Wukong, an action role-playing game inspired by the classic Chinese novel Journey to the West. Developed over six years by Feng Ji, a former Tencent game designer, the game has sold over 10 million units by the end of August, making it the fastest-selling game of all time in China.

The game has drawn global acclaim for its storytelling, visuals, and culturally rooted design, proving that local mythology and global gameplay standards can coexist to deliver blockbuster success.

Cultural Alignment: A Winning Formula Amid Regulation
While Chinese regulations still require licensing of all commercial game titles and restrict minors to three hours of gaming per week, Wukong demonstrates that innovation rooted in cultural heritage can break through regulatory barriers and win over both domestic and international markets.

It is also a strong example that the future of China’s gaming industry lies not only in tech and market expansion, but also in creativity, cultural resonance, and strategic compliance with national policies.

Kenneth Njoroge
Kenneth Njoroge Financial Expert/Bsc. Commerce/CPA
SEPTEMBER 4, 2024 AT 3:40 PM

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