Overseas revenue from Chinese video games increased by 13.4% in 2024, totaling US$18.6 billion, according to a survey of annual results from Chinese gaming companies.

This growth underscores the rising significance of international markets for China’s gaming sector amid slower domestic expansion.

Tencent Holdings, the largest video gaming company globally by revenue, reported a 68% profit increase to 194 billion yuan (US$26.8 billion) for 2024.

Revenue from its international gaming segment rose by 9% to 58 billion yuan (US$8 billion).

NetEase, another prominent Chinese gaming company, experienced a 2.5% rise in overall gaming revenue, reaching 83.6 billion yuan (US$11.53 billion) in 2024.

🔗 Source: South China Morning Post

🧠 Food for thought

1️⃣ China’s remarkable gaming evolution from aspirant to powerhouse

China’s gaming industry has undergone a dramatic transformation in less than a decade, from aspiring cultural exporter to global gaming leader.

In 2016, when Tencent acquired Finnish developer Supercell for $8.6 billion, analysts were just beginning to speculate that “video games may become China’s best cultural export” 1.

By 2024, this prediction has materialized dramatically with overseas sales of Chinese-developed games reaching $18.6 billion, a 13.4% year-over-year increase, confirming international markets as a critical growth driver 2.

The industry’s domestic foundation remains massive, with 668 million Chinese gamers in 2023 projected to reach 772 million by 2024, creating both a vast talent pool and test market for global expansion 3.

Chinese companies now capture 47% of global mobile gaming revenue, demonstrating how they’ve leveraged their domestic scale to achieve international success 4.

This transformation has been spearheaded by Tencent and NetEase, who have systematically expanded global operations through strategic acquisitions, partnerships, and original game development.

2️⃣ Mobile gaming dominance shapes global competitiveness

China’s overwhelming success in mobile gaming has become their primary competitive advantage in global markets.

Recent Tencent developments