2024 In-Depth Analysis of China's Mobile Game Going Global: Status, Drivers, Challenges and Recommendations

Status Overview

In 2024, Chinese mobile game going global maintained steady growth, with overseas revenue estimated at US$16.2 billion (industry estimate), accounting for about 24% of the global mobile game market. Key markets include Southeast Asia (30%), North America (25%), Europe (20%), Japan and South Korea (15%), and others. Top products such as Genshin Impact, PUBG Mobile, and Call of Duty Mobile continue to contribute high revenue, but it is increasingly difficult for new games to break through.

Main Drivers

• Enhanced global publishing capabilities: Through self-publishing or partnering with overseas publishers, companies lower channel barriers.
• Premium strategy: High-investment, high-quality products (e.g., open-world, anime-style) attract core users, boosting ARPU.
• IP collaboration and localized operations: Collaborating with popular overseas IPs, combined with local cultural events (e.g., Ramadan, Christmas), enhance user retention.
• Emerging market dividends: Growing smartphone penetration and payment infrastructure in Latin America, Middle East, and Africa provide incremental opportunities.

Challenges

• Tighter policy regulation: Countries strengthen data security (e.g., GDPR, India's ban) and minor protection, raising compliance costs.
• Culture barriers: Differences in aesthetics and values between East and West lead to some products “not fitting in” due to insufficient localization.
• Rising user acquisition costs: Bidding competition intensifies, with iOS and Android CPA increasing 15%-20% year-on-year, pressuring ROI.
• Dominance by giants, hardship for long-tail: Top firms like miHoYo, Tencent, and NetEase capture over 60% of overseas revenue, squeezing smaller developers.

Recommendations

• Deepen localization: Fully adapt language, art, and operational events to local habits, hiring local teams.
• Embrace compliance: Build multi-jurisdictional legal and data security teams to pre-assess local policy risks.
• Explore emerging segments: Mini-games, hybrid-casual, and social casino genres still have blue ocean opportunities.
• Build own community: Cultivate user base through channels like Discord and TikTok to reduce reliance on paid acquisition.