Core Insights - The report by AppsFlyer indicates a significant increase in advertising spending on iOS and Android platforms for game apps in 2025, driven by AI content creation [1][3] - Global customer acquisition spending for game apps is projected to reach $25 billion in 2025, reflecting a modest growth of 3.8% year-over-year, indicating a stable growth trend in the industry [3] - AI technology is transforming the game marketing landscape, lowering the barriers for material production and leading to a 20% increase in ad display volume [3][4] Advertising Trends - The number of creative material versions produced by top game advertisers has increased to 2,400-2,600 per quarter, representing a year-over-year growth of 25%-30% [1][4] - Paid activation rates on iOS and Android have risen by 10% year-over-year, highlighting intensified competition among advertisers targeting the same player demographics [1] Market Dynamics - The adoption of probabilistic attribution has restored confidence in iOS marketing, encouraging advertisers to increase their budgets [3] - The benefits of AI in material production are polarized, favoring large advertisers (spending over $4 million quarterly) and small advertisers (spending under $500,000), while medium-sized advertisers see limited advantages [3][4] Competitive Landscape - The "Matthew Effect" in the material market is exacerbated by AI, where a few successful materials absorb the majority of budgets, making it challenging for smaller firms to compete [4] - Chinese advertisers account for 35% of global customer acquisition spending, with a year-over-year growth of 22%, significantly outpacing the global average [4][5] Future Outlook - The growth of Chinese firms in international markets is attributed to a decade of experience and understanding of global markets, positioning them for continued success [5] - The game industry is characterized by diversity and creativity, which favors smaller companies in terms of innovation and market entry [5] - Projections for 2026 suggest that Chinese game exports will continue to grow at a rate exceeding the global average, driven by advancements in AI and cross-platform marketing [5]