Niko Partners releases East Asia Gamer Behavior & Market Insights Reports
From the massive success of Monster Hunter Wilds and Stellar Blade to the most-watched VTuber debut in history, gaming in Japan and Korea is more of a cultural cornerstone than ever. As the third and fourth largest games markets by revenue in the world, both countries present their own opportunities and challenges for companies hoping to tap into this culture.
Our latest East Asia Gamer Behavior & Market Insights Reports, which includes a survey of 1,090 gamers, provide key insights on player demographics, behavior, and engagement. Download the key takeaways here.
Read to GI.biz article on the reports→
Meet Niko Partners at ChinaJoy
China's largest annual gaming event is back this weekend. ChinaJoy 2025 will take place from Aug 1 to 4 at the Shanghai New International Expo Centre. Niko's Vice President Xiaofeng Zeng will be there and happy to connect with fellow attendees. Come and say hi to Xiaofeng if you're going too!
Sony acquires 2.5% share of Bandai Namco as the pair form strategic partnership
Sony has acquired a 2.5% share (16 million shares) of Bandai Namco for JPY 68 billion ($463.43 million), with both companies also entering into a new strategic partnership. The two indicate that their partnership seeks to maximize the value of their respective IPs worldwide, with an emphasis on its anime and manga productions "where rapid market growth is anticipated".
Why this matters: The companies have a long history of cooperation across fields, including games. While the partnership is mainly focused on anime and manga, they also suggest technical collaborations which could encompass games. Per Niko Partners' revenue analysis, Sony is the highest earning company in Japan by games segment revenue, while Bandai Namco is the third highest by its games segment revenue, in the 2024 fiscal year period.
Link to original article (Japanese) →
Indonesian Uma Musume fans boost the popularity of Indonesia Derby 2025
Indonesian fans of Cygames’ anime-style horseracing game Uma Musume Pretty Derby were reported to have flocked to the country’s biggest horseracing event, Indonesia Derby 2025, which was held on July 27. The event’s livestream on YouTube was flooded with Uma Musume-based comments such as “Umazing” or the local version “Kudahsyat”. Furthermore, the 2025 livestream garnered 285,000 views, an increase from 2024’s 85,000. The global version of Uma Musume was released on June 26, 2025, with Indonesia being one of the top countries recorded for downloading the game.
Why this matters: Horseracing is not among the most popular sports in Indonesia, which traditionally have associated football and badminton as the most popular sports. Uma Musume’s popularity, however, was able to trickle down into real-world horseracing, bringing the gamers into watching the Indonesia Derby 2025. The derby’s organizer has been reported to comment positively about the game’s ability to bring new viewers to the sport. This showcases how a game’s popularity could go hand in hand with real sports and provide an avenue for collaboration.
Link to original article (Indonesian) →
Malaysian government exploring a strategic alignment with PlayStation Studios
According to Malaysian Digital Minister Gobind Singh Deo on July 23, the government is conducting a strategic alignment discussion to explore opportunities with PlayStation Studios. The Malaysian government is looking to help expanding the studio’s capacity as a regional AAA hub, while empowering local vendors and talent through government-backed incentives. The minister stated that through the PlayStation Studios x Government of Malaysia Strategic Alignment Discussion, there are current exploration of ways to deepen the synergy between the government and the studio, such as through the Digital Content Ecosystem (DICE) Roadmap, artificial intelligence (AI) and Malaysia Digital.
Why this matters: Positive effects from the collaboration could help both Malaysia’s domestic creative industry players as well as Sony’s presence in the country. Niko has seen government across Southeast Asia being more open toward supporting the game industry, with the Malaysian government notably consistent in having budgets and policies related to the industry for the past few years.
Saudi Mobile Studio Sandsoft downsizes Riyadh and Barcelona Offices
Mobile game developer Sandsoft has announced that it will downsize its Riyadh and Barcelona offices, with up to 21 staff being made redundant. The Saudi based company says it is pulling out of game development altogether and shifting their focus to publishing games from here on out. Sandsoft opened its Riyadh studio in 2022 and its Barcelona studio in 2023. Its studios in China and Finland are not impacted at this time.
Why this matters: Sandsoft was founded in 2019 with the goal of becoming a major player in the mobile games segment, investing in promising games and teams. The shift to publishing comes as more game developers are looking to enter the MENA market, with Sandsoft being one of the potential partners. Sandsoft has already signed agreements with developers in Latvia, Canada and Brazil to bring their games to market, with more in the pipeline.
Wuchang: Fallen Feathers receives mixed reviews at launch
Wuchang: Fallen Feathers released globally for PC, PS5 and Xbox Series X|S globally on July 24, 2025, priced at RMB 248 ($34) for the standard edition in China and RMB 298 ($41) for the deluxe edition. The game is also available at no extra cost to subscribers of Xbox Game Pass. We note the title does not have a license for an official release in China, but is accessible via Steam and grey market imports. The action RPG is developed by domestic game studio Leenzee Games and distributed by 505 Games globally.
Why this matters: The souls-like game is the latest high profile AAA video game from an indie Chinese game developer, following the success of titles like Black Myth: Wukong. While the game peaked at 130,000 concurrent players on Steam in its first 24 hours, reviews for the game have been mixed with the title scoring 75/100 on Metacritic. User reviews on Steam were extremely negative with Simplified Chinese reviews accounting for 92% of the total and 80% of them being negative. The reviews primarily revolved around issues with optimization and performance, with Steam gamers saying the title ran poorly on their PC.
China launches national esports football team
The Chinese Football Association (CFA) has unveiled plans to form a national esports football team, marking a significant pivot toward digital competition following the men's national team's failure to qualify for the 2026 FIFA World Cup. The new initiative aims to position China in officially sanctioned FIFA and Asian Football Confederation (AFC) esports tournaments. As part of the rollout, the CFA is inviting cities across China to apply as host locations for the program, proposing "cooperation zones" that provide training infrastructure, logistics, and funding to support international competition.
Why this matters: China is the largest esports market in the world by revenue and players, with football esports already playing a notable role. Tencent's prior collaboration with the Premier League in 2021 brought the ePremier League to Chinese audiences, while the FC Online China Pro League continues to anchor EA Sports' football esports presence in the market. By leveraging existing digital football ecosystems and the country's vast esports infrastructure, the CFA may find more success virtually than on the pitch.
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Genshin Impact hits 300 million registered players and discloses demographic data
Genshin Impact now boasts over 300 million registered users globally, with an even split between domestic Chinese players (50%) and overseas markets (50%). The core user base skews young, with 70% of players aged 18 to 30, while the gender ratio remains 60% male and 40% female. Notably, 49% of users reside in first-tier cities or their international equivalents, indicating a concentration of players in high-income urban markets.
Why this matters: This data was disclosed during the 2025 Shanghai Top 10 Anime IP Selection Event and reinforces Genshin Impact’s leading position as a F2P live service title both in China and overseas. Genshin Impact was prominently featured at the event for its success as a globally recognized IP, with multiple awards. Its demographic reach and spending power provide valuable insights for publishers aiming to replicate miHoYo's success, particularly in combining high production values with a gacha-based live service model.
Savvy launches gaming and esports program with King Abdulaziz University
Savvy Games Group has partnered with higher education institution King Abdulaziz University (KAU). Savvy and KAU have signed a Memorandum of Understanding (MoU) to launch diplomas in games production and esports management. This program is specifically aiming to blend academic education with practical, industry-driven expertise and it will be kicked off in the next academic year.
Why this matters: Saudi backed Savvy previously collaborated Riyadh-based Princess Nourah bint Abdulrahman University for a similar program. These programs represent a key step in building local capabilities in game development and esports operations as part of broader ambitions for Saudi Arabia to become a global gaming and esports hub. The initiative is also part of the Savvy Academy Initiative. Ranging from school pupils to postgraduate students, the initiative provides a platform for people to pursue a career within gaming and esports.
Sony files lawsuit against Tencent for alleged Horizon clone
Sony Interactive Entertainment (SIE) has filed a copyright infringement lawsuit against Tencent, alleging that the Chinese tech giant’s upcoming open-world title Light of Motiram is a clone of its Horizon franchise. The suit, filed on July 25, accuses Tencent of replicating the “tone, feel, sound, and appearance” of Horizon Zero Dawn and Horizon Forbidden West, including the use of a red-haired female protagonist and similar visual aesthetics, combining post-apocalyptic wilderness, tribal motifs, and futuristic machines. Sony is now seeking a preliminary and permanent injunction to halt the promotion and future sale of Light of Motiram, as well as statutory damages up to $150,000 per infringed work.
Why this matters: While it’s not uncommon for video game companies to develop a prototype and pitch IP holders with the aim of achieving a licensing deal, the lawsuit makes it clear that Tencent continued to develop the game without making significant changes after failing to secure the Horizon license. The case is somewhat similar to when Square Enix licensed its Front Mission IP to Chinese developer Zlongame. While the licensing deal eventually fell through, Zlongame went on to release a tweaked version of the game under a new title. The case was eventually settled out of court with Square Enix dropping the lawsuit. Chinese game developers often look to build on globally successful genres and themes, sometimes leading to lawsuits like this one.
Link to original article (Chinese) →
Events
ChinaJoy
Shanghai, China
August 1-4, 2025
Attendee: Xiaofeng Zeng
New Global Sport Conference
Riyadh, Saudi Arabia
August 23-24, 2025
Speaker: Lisa Hanson