Core Insights - The domestic gaming market in China achieved a record sales revenue of 168 billion yuan in the first half of 2025, marking a year-on-year growth of 14.08% [3] - The number of gaming users reached 679 million, also a historical high, with a year-on-year increase of 0.72% [3] Group 1: Market Performance - The gaming sector is experiencing strong growth, driven by the successful launch of new games and the steady performance of established titles [3] - The rise in e-sports and mini-program games is contributing significantly to market expansion [3] - The overall improvement in industry sentiment and accelerated technological advancements are providing robust support for the gaming sector [3] Group 2: Regulatory Environment - The National Press and Publication Administration continues to issue gaming licenses, with 134 licenses granted in July 2025, including 127 domestic and 7 imported games [4] - A total of 884 domestic gaming licenses were issued from January to July 2025, reflecting a year-on-year increase of 20.60% compared to the same period in 2024 [4] - The regular issuance of gaming licenses indicates ongoing regulatory support for the gaming industry [5] Group 3: Investment Opportunities - The current market conditions and the positive outlook for the gaming sector present attractive investment opportunities, particularly in gaming ETFs [5]

Investment Rating - Industry rating: Recommended [4] Core Views & Investment Suggestions - The third round of China-US trade negotiations will be held in Sweden, and the market should closely monitor the progress of these talks. The negotiations aim to postpone the scheduled tariff increase deadline of August 12, reflecting a pragmatic willingness from both sides to manage differences. The advancement of core tariff issues is a key support for current market sentiment, and a cautiously optimistic outlook is maintained for the prospects of a phased agreement [2][24]. - In July, 134 game licenses were issued, including 127 domestic games and 7 imported games, such as NetEase's "Diablo IV." The normalization of license issuance continues to support the healthy development of the industry, with major companies introducing significant IPs alongside original high-quality products, optimizing the supply structure and further releasing market vitality [2][24]. Summary by Sections Market Overview - In the week of July 21-25, 2025, the Shanghai Composite Index rose by 1.67%, the CSI 300 Index increased by 1.69%, and the ChiNext Index surged by 2.76%. The Hang Seng Index rose by 1.86%, and the Hang Seng Internet Index increased by 2.27%, outperforming the Hang Seng Index by 0.41 percentage points. The SW Media Index rose by 2.15%, lagging behind the ChiNext Index by 0.61 percentage points, ranking 18th among 31 industries [1][11]. Sub-industry Data Film Industry - The top three films by box office for the week were "The Lychee of Chang'an" with a box office of 170.914 million yuan (25.6% market share), "Nanjing Photo Studio" with 152.25 million yuan (22.8%), and "The Legend of Lu Xiaobei 2" with 94.343 million yuan (14.2%) [27][28]. Gaming Industry - The top three iOS games by sales were "Honor of Kings," "Peacekeeper Elite," and "Love and Deep Space." The top three Android games by popularity were "Heart Town," "My Leisure Time," and "Staff Sword Legend" [30][31]. TV Series Industry - The top three TV series by broadcast index were "Drug Storm," "Morning Snow," and "Cherry Amber," with indices of 83.5, 82.9, and 80.8 respectively [33][34]. Variety Shows and Animation - The top variety show was "Running Man Season 9," followed by "Comedy King Stand-up Season 2" and "Talk Show and His Friends Season 2." The top three animated shows by viewership index were "Cang Yuan Tu," "Happy Hammer," and "Cloud Deep Not Knowing Dream" [34][36].

Core Insights - The article highlights a significant recovery in the gaming industry, with the issuance of 147 domestic and 11 imported game licenses in June, marking a new high for 2025. This reflects a positive trend in both quantity and quality of game releases [1][2]. Game License Issuance - In June, a total of 147 domestic and 11 imported game licenses were issued, the highest number this year. This issuance includes major titles from key gaming companies such as Tencent and NetEase. The total number of domestic game licenses issued in the first half of 2025 reached 757, indicating a consistent release pace [2][3]. - The approval process for imported games has accelerated from a bi-monthly to a monthly basis, suggesting a potential return to the active levels seen before 2019. The total number of game licenses issued in 2024 was 1,416, and the total for 2025 is expected to exceed this figure [2]. New Game Releases and Market Performance - A series of new games are set to launch, with several entering testing phases from late June to July. Notable titles include Tencent's "Under the Human" and Perfect World's "The Other Side," which are expected to support industry performance in the second half of the year [3]. - The total revenue of the Chinese gaming market in May reached 28.051 billion yuan, reflecting a year-on-year growth of 9.86%. The esports segment showed particularly strong performance, with sales revenue of 14.523 billion yuan, a year-on-year increase of 28.22% [3]. - The overseas revenue from self-developed games reached 1.577 billion yuan, marking three consecutive months of growth. The improvement in the esports ecosystem and the iteration of overseas products are driving structural growth in the industry [3].