Mobile Gaming in China to Reach $2.5bn by 2014 as 3G Lowers Mobile Data Access Costs

Jan 13, 2010, 15:51 ET from Pyramid Research

CAMBRIDGE, Mass., Jan. 13 /PRNewswire/ -- Besides its busy mobile telecom sector, China also has a booming video gaming industry with mobile gaming revenue predicted to grow at a 51.5 percent CAGR between 2009 and 2014, reaching $2.5 billion in revenue despite current market barriers, according to a new report from Pyramid Research (www.pyr.com), the telecom research arm of the Light Reading Communications Network (www.lightreading.com).

Mobile Gaming in China: Waiting for a 3G Boost examines the state of mobile gaming in China, paying particular attention to the role of mobile data networks, the lessons of the overall gaming industry in the country, and the need for more gaming-friendly handsets. This 16-page report analyzes different types of games and identifies the challenges facing mobile gaming today, as well as the factors that will determine the success of mobile gaming initiatives in the market. The report contains two case studies: one on the free-to-play model and one on Chinese Internet giant Tencent's mobile gaming activities.  Download an excerpt of this report (http://www.pyr.com/downloads.htm?id=5&sc=PR011310_INAP1.5).  Purchase this report online (http://www.pyramidresearch.com/store/ins_ap_091221.htm?sc=PR011310_INAP1.5).

Apart from the growing game download business, the biggest opportunities in China reside in online multiplayer and casual mobile gaming, notes Luis Portela, author of the report; however, mobile gaming market development has so far been hindered by handset capabilities and data access costs. "Pyramid Research believes, however, that to meet demand and live up to its potential, mobile gaming in China needs more affordable data access, wider 3G coverage, and better handset gaming capabilities," says Portela.

"3G is expected to contribute significantly to lowering mobile data access costs in a mix of increased competition and a government policy to boost adoption," Portela says. "The licensing of 3G, however, did not occur until 2008, and network rollouts are still underway," he explains. "The arrival of 3G has raised the profile of mobile online games and mobile operators, as well as Internet and gaming players are eager to expand their Internet footprints through mobile access. We expect increased 3G adoption to boost sales of devices with stronger gaming capabilities, including smartphones."

Mobile Gaming in China: Waiting for a 3G Boost is part of Pyramid Research's Asia/Pacific Telecom Insider report series. Telecom Insiders are packed with trend analysis, industry best practices, market sizing and forecasting, competitor analysis, and case studies, providing you information you can leverage to make better business decisions.

Download an excerpt of this report here (http://www.pyr.com/downloads.htm?id=5&sc=PR011310_INAP1.5).

This report is priced at $595 and can be purchased online here (http://www.pyramidresearch.com/store/ins_ap_091221.htm?sc=PR011310_INAP1.5) or by contacting Amalia Vega at avega@pyr.com or telephone at +1-809-330-4520.

For more information about Pyramid Research's products and services, please visit www.pyr.com or contact us at info@pyr.com.

About Pyramid Research

Pyramid Research (www.pyr.com) offers practical solutions to the complex demands our clients face in the telecommunications, media and technology industries. Our analysis is uniquely positioned at the intersection of emerging markets, emerging technologies and emerging business models, powered by the bottom-up methodology of our market forecasts for over 100 countries – a distinction that has remained unmatched for more than 25 years. As the telecom research arm of the Light Reading Communications Network, Pyramid Research works with Heavy Reading, providing the communications industry's most comprehensive market data, trusted research and insightful technology analysis.

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Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source for technology and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. Light Reading's research arms, Heavy Reading and Pyramid Research, provide the most comprehensive communications research, market data, and technology analysis in close to 100 markets around the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, Ethernet Expo New York and Ethernet Expo London, The Tower Summit @ CTIA, and Optical Expo, as well as focused one-day events tailored for cable, mobile, and wireline executives. Light Reading was acquired by United Business Media in August 2005 and operates as a unit of TechWeb.

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*13.3 million business decision-makers: based on number of monthly connections

About United Business Media Limited

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jbaker@pyr.com


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