China Plans to Invest $1.8 Billion in Online Gaming

From GameDAILYbiz: Chinese Government Investing $1.8 Billion in Online Gaming

"Some struggling game developers in America or Europe might be wishing that their governments took a more hands-on role in business, after China announced recently a plan to spend $1.8 billion to help expedite the development of as many as 100 different kinds of online PC games over the next five years."

"The Shanghai Youth recently reported that the 15 billion Yuan would be spent to speed up video game development centers in the cities of Beijing, Shanghai and Guangzhou, as well as in the Sichaun province. Deputy Director with the Press and Publication Administration of China (PPAC) Yu Yongzhan believes this initiative will lead to 10-30 online game companies launching within the next three years."

"Explosive Gaming GrowthOf China's 1.3 billion citizens, over 500 million live in cities, which allows them cheap online access via Internet cafes. Of those 500 million, only an estimated 22.8 million played an MMOG (massively multiplayer online game) in 2004, indicating significant room for growth. Those 22.8 million spent over $500 million on online games that year, which indicates how incredibly large the market is likely to become, as more Chinese enter the online arena."

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