The New Trend of Cultural ’Going Global‘ -How Chinese Games are Breaking into Southeast Asia

Background and Significance of the Project

The rapid development and innovation of electronic games since the late 20th century have attracted numerous young generations to become loyal audiences. As a new form of "cultural expression" driven by technology, games are replicating and reshaping our imagination and experiences of the world. After more than 20 years of development, the domestic game market in China has become saturated, and the competition has become increasingly fierce. In the first half of 2022, the revenue of the Chinese game market decreased by 1.8% compared to the previous year, reaching 147.8 billion yuan, marking the first decline in recent years. The number of game users also decreased by 0.13%. In contrast, although overseas market revenue also slowed down, it still maintained a growth rate of over 6%. As early as 2016, there were calls in China for "going global or being left out." Since 2018, with the tightening of domestic game approvals, increasing regulatory scrutiny of game content, and the saturation of the domestic market, Tencent has noticeably accelerated its overseas expansion in recent years. According to the "2021 China Game Industry Report," since 2019, the growth rate of China's self-developed games' overseas revenue has consistently exceeded that of the domestic market. In 2021, the growth rates of domestic and overseas revenue were 6.51% and 16.59%, respectively.

In recent years, Southeast Asia has witnessed rapid development in various forms of digital entertainment, such as short videos, mobile games, and live streaming. This market has attracted an increasing number of Chinese game companies. In the third quarter of this year, among the top 30 free games in Southeast Asia (including Indonesia, Malaysia, the Philippines, Thailand, Vietnam, and Singapore), 11 were distributed by Chinese companies. Among the top 30 best-selling games, 14 were self-developed by Chinese companies, and two were from Chinese companies but distributed by local Southeast Asian publishers. China has become the largest source of mobile games in the Southeast Asian market, securing a significant portion of the market share.

Games inherently carry the cultural genes of their creative environment, and game consumption itself involves the demand for symbolic consumption of other cultures. This makes games an important vehicle for cultural exchange and communication. The essence of "going global with games" lies in "cultural going global," where games must be empowered by culture. Therefore, "going global with games" promotes cultural exchanges between countries, attracts young people from all over the world, and becomes a "new global language" that transcends geographical and language barriers. It holds significant importance for promoting Chinese culture internationally and constructing a community with a shared future for humanity.

Based on the research foundation of the School of Media and Communication at Shanghai Jiao Tong University, this study aims to explore the reasons behind the successful "going global" of Chinese games in Southeast Asia. It investigates whether Chinese games' global expansion truly possesses the ability to export culture, and examines whether the "going global with games" can become an important path influencing the favorable perception and acceptance of Chinese culture in Southeast Asian countries. The study provides theoretical references for the overall layout of promoting Chinese culture internationally and the future industrial layout of Chinese companies in Southeast Asia, offering both academic and practical value.

Project Objectives

This project aims to fully draw on and absorb relevant research findings from domestic and international sources, focusing closely on the issue of "Chinese game 'going global'". It will conduct a comprehensive study using research methods such as interviews, questionnaire surveys, and observations. The main research objectives of this project are as follows:

Conduct an assessment of the gaming market in selected Southeast Asian countries: Evaluate the gaming market conditions in Southeast Asian regions, summarize the characteristics and evolving trends of the gaming market in this area, explore the challenges that Chinese games face in different countries, and reassess the current opportunities and challenges.

Analyze the localization strategies of Chinese games in the Southeast Asian market: Examine the process of successful international expansion by Chinese games, particularly in the Southeast Asian market. Summarize the experiences and strategies that have contributed to their success.

Propose practical solutions aligned with the current development of Chinese digital technology and the characteristics of the Southeast Asian market: Based on the present situation of digital technology in China and the unique characteristics of the Southeast Asian market, develop practical solutions that are in line with China's national conditions and possess distinctive Chinese features.

Foster the values of an esports community for the common destiny of humanity: Accelerate the development of the esports industry, promote the establishment of China as a powerhouse in digital sports, and facilitate the international dissemination of Chinese culture. Through gaming and esports exchanges and collaborations, promote cross-cultural communication and understanding, and contribute to the establishment of a community with a shared future for mankind.

This project aims to conduct comprehensive research on the "Chinese game 'going global'" phenomenon, leveraging existing domestic and international research, and employing research methods such as interviews, questionnaire surveys, and observations. The primary research objectives are to assess the gaming market in selected Southeast Asian countries, analyze the localization strategies of Chinese games in the region, propose practical solutions based on China's digital technology and the Southeast Asian market, and contribute to the establishment of an esports community and the international dissemination of Chinese culture.