China's gaming industry has emerged as a major force on the global stage in recent years, built on the foundation of the domestic market and driven by technological innovation, cultural integration and globalization efforts.

China is already the world's largest gaming market, with domestic sales revenue surpassing 325 billion yuan ($46.8 billion) in 2024. By the first half of 2025, the number of domestic Chinese game users stood at around 679 million, and the actual sales revenue of Chinese self-developed games in overseas markets exceeded $9.5 billion, an increase of 11.07 percent year-on-year.

According to a report released on Monday by AppsFlyer, a mobile attribution and marketing analytics platform, Chinese gaming enterprises accounted for 35 percent of the amount of money spent worldwide on efforts to attract new users to gaming applications, up 22 percent year-on-year.

The report also pointed to other aspects of the mobile gaming market, such as rising artificial intelligence-enabled production and a sharp increase in advertising. Meanwhile, creative output scaled rapidly in 2025 across all spending tiers, with the top gaming advertisers producing between 2,400 and 2,600 creative variations per quarter, up 25-30 percent year-on-year.

Apart from increased spending on advertising, Chinese companies have significantly increased their investment in research and development, positioning themselves at the forefront of global technological advancements.

It is notable that the rapid application of artificial intelligence in China, not only in gaming, but also in e-commerce, social media, marketing and advertising, is not an isolated phenomenon, but rather a reflection of the country's accumulated progress in cutting-edge innovation. This focus on innovation has enabled Chinese game developers to create unique gaming experiences that appeal to a global audience.

Another recipe for China's gaming industry's success is that it has adeptly leveraged the growing interest in Chinese culture overseas. By integrating Chinese cultural elements the developers have created gaming experiences that resonate with diverse audiences. China is rich in cultural resources and talent, and AI has proved to be an efficient and enabling tool for tapping their potential.

Now Chinese games have entered the markets of more than 100 countries and regions, and games such as Honor of Kings have captivated millions of users worldwide, showcasing China's ability to produce world-class digital entertainment that is distinctly Chinese. This is also exemplified by Black Myth: Wukong, which draws on Chinese mythology to offer a rich narrative experience. By incorporating traditional Chinese culture into their games, Chinese developers not only give their products a distinct appeal, but also promote cross-cultural understanding.

Moreover, the integration of cutting-edge technologies such as AI and data analytics has enhanced the industry's ability to meet the demands of users. This technological edge, combined with commercialization models, has facilitated the export of Chinese games, contributing to a robust digital trade ecosystem.

The gaming industry's growth supports China's broader economic goals by contributing to digital trade and creating employment opportunities. The development of a comprehensive industry chain, supported by favorable policies that emphasize the importance of cultural industries and the need to build a strong public cultural service system, promotes the sector's sustainable growth.

Games have become a new global language, facilitating cultural exchange and understanding. The progress of China's gaming industry significantly enhances the country's soft power. As digital cultural carriers, Chinese games offer interactive experiences that engage players as interpreters of different cultures. By reaching a broad audience, these games contribute to a greater appreciation of Chinese cultural heritage and values.