More traditional media and entertainment companies are expected to enter China’s mobile phone game industry in 2011, attracted by the growing market and the revenue potential.
Mobile-phone game user numbers in China are expected to top 45.732 million in 2010, after surging 122.4% year-on-year to 19.685 million in 2009, according to market research firm Zero2IPO.
As a result, revenues of China’s mobile-phone game operators in 2010 are expected to exceed RMB4.51 billion (US$682.5 million).
Zhang Yanan, an analyst for Zero2IPO, said the integration of traditional media and entertainment companies with mobile-phone game operators would become a trend.
Smart Grid TMCnet reports that traditional media and entertainment companies have the advantage in getting the resources of content and copyright. But since profit margins of traditional distribution channels are limited, mobile-phone games could provide a good alternative.