China’s $7.1B mobile gaming market is tougher than ever for its small developers

No country spends more on mobile games than China, but even Chinese companies are struggling to get a piece of that money.

China has overtaken the United States and Japan as the top country for spending on mobile games at $7.1 billion in revenues, according to the latest report from intelligence firms Newzoo and TalkingData. This comes as the country’s smartphone-device and distribution market mature in a number of important ways that mean foreign developers, and even Chinese studios, will keep getting pushed out. This confluence of megaspending and regional complexities also means that a handful of Chinese entertainment companies are locking up the rights to nearly a fifth of the $36.9 billion worldwide mobile gaming industry through at least 2016.