Traffic Dividend Subsided, 5G Technology Plus Cloud Game Era Industry Chain Or Reconstruction

The traffic dividend and the number plate policy are the "former dishes", which is also an inevitable trend of industrial development. The coming 5G era will open up further space for cloud games, which will bring great changes to the game industry chain.

During the recent GameDaily Connect 2019 Global Game Developers Conference, Meng Fang CSO, Fang Hui, pointed out to the twenty-first Century economic report and other media that the coming of cloud games may greatly promote the transformation of the game industry. All future terminal screens can play games, and users with low mobile phones can play 3A class masterpieces. This will help the exquisite game to reach more users and use scenarios. The global head game R & D company will gain a larger market share and will also bring a big test to the Chinese game industry.

"Now China's players are becoming more mature, and the demand for game quality is higher and higher. In turn, the ability to upgrade the whole game industry is escalated. The three industry chain links of channels, distributors and R & D providers need to be changed. The change of user needs promotes the change of industrial status and interest sharing." Fang Hui said so.

Enter the intensive farming period

The game industry is on the road to recovery after last year's release.

According to Gamma data statistics, the market scale of the domestic mobile game market in the three quarter was the same as that of the +7.8%/-0.9%, which was slower than the +19.3%/+5.8% growth rate in the two quarter.

There are external factors behind this, but most of them are endogenous changes to key nodes.

Fang Hui pointed out that, objectively speaking, the slowdown in China's game market is due to the fact that over the past five to ten years, it is easy to make money in the era of industrial traffic dividends. Chinese game manufacturers still need to make up lessons in basic skills.

"Generally speaking, there is a big gap between Chinese game companies and the mature game markets in Europe and the United States in terms of gameplay innovation, R & D technology accumulation and so on. In the past, Chinese game industry practitioners did not pay enough attention to the integration of innovation and play, which led to insufficient accumulation of R & D talents, and the overall slowdown occurred. He said that this does not mean that players do not have the demand for games. The demand for opposing high quality game products is increasing, and it is also a phenomenon of consumption upgrading in the entertainment industry.

In essence, Chinese hand game players urgently need new play experience and theme stimulation. "Even if there is no page number restrictions, the 2018-2019 year hand travel industry in China will not reproduce the rapid growth in the past few years." Fang Hui said, for example, the younger generation of mobile games players demand very much for open world hand travel, but this is also part of the lack of supply in the Chinese market at present.

Overseas market is a hot topic in recent years, but it also tests the product itself.

According to Wang Xu, chief analyst of Gamma data, in the global mobile game market, China and overseas show a 37 point trend, so there is more room for overseas market development. "In 2019, China's independent research and development network games overseas market actual sales revenue remained high growth trend, mobile game products are the main driving force for growth."

Wang Xu pointed out that in 2019, the global mobile game market TOP100's total water consumption forecast, the domestic mobile game growth rate is higher than the overall, reflects the domestic game overseas competitiveness. But the growth of these overseas main markets is actually supported by a small number of products, so there is still a high competitive pressure on the overseas market itself.

After the industry has higher requirements for rival products, under the new technology and communication mode, the game industry chain itself is also quietly changing.

Fang Hui pointed out that the traditional shelf distribution channels are gradually declining, and the future value will be based on the distribution channels of game PGC and UGC content.

"Today, the way the game touches the players is diversified: traditional channels, game forums, new media, mass word of mouth and so on. High quality games need to be matched with a reasonable marketing strategy. He continued to say that in the past, game distribution operations had not been very demanding on team capabilities, but now players are becoming mature and demanding high quality products, and time is precipitated in super APP and head game products. New games need to reach players and be recognized, resulting in commercial value, and professional competence in operation and operation must be promoted.

The distribution team itself must understand the game products, have insight into the needs and pain points of the target users, and preheat and on-line marketing to be more sophisticated. Buying is also becoming the universal ability of game distribution and operation, so that users can be more precise and comprehensive in various media.

In general, the issue of operation needs to be more refined, which will bring new challenges from touch user strategy, data analysis and tracking, version tuning, long term customer service and commercialization.

Cloud game driven industry change

Under such circumstances, the three driving forces of game driving, namely, gameplay innovation, IP and content, technology, represented by cloud games, will bring tremendous strength.

Especially in the era of 5G, cloud games have become a topic for every game development company to consider. This will trigger changes from game developers to channels, operators and players.

Societe Generale Securities in the research report pointed out that cloud technology under the mobile phone game ARPU is expected to substantially improve, it is estimated that cloud gaming technology, the scale of mobile games market is expected to grow from the original 140 billion yuan to 356 billion 265 million -3638.71 billion.

The agency also believes that cloud games will restructure mobile terminal distribution channels, games or instant play, traditional mobile stores are shunted or even replaced, mobile phone manufacturers are expected to extend to the issuers, high-quality game research and development will get a higher proportion and voice, and cloud games help push games easier to be touched, which means that the traffic side bargaining power will decline or better.

Fang Hui pointed out to the twenty-first Century economic news reporter that the advent of the cloud game era means that players are increasingly exposed to games, and any screen can be one of the channels to play games. In addition, China's huge sinking market users can experience 3A level games with relatively low mobile phones.

"Therefore, the increment of China's game market will be very large, and there is still a lot of space for the output value of the game industry." He summed it up.

And cloud games mean that the computing power in the future will be more placed in the cloud. The transmission of terminal data stream can play large games, and the play itself will change. The head game company with the quality of game development will gain more benefits from it.

The three ends will make traditional hand games and PC players clustered in the same server. "Today's games are limited in size and have many limitations in content development. When people are in uniform, even if some players lose, the experience of remaining players is also good, and the game is relatively benign. Fang Hui said.

Of course, there are still a series of problems to be solved. Fang Hui, for example, is not only a problem of cloud computing capability, for example, the speed of signal uploading and downloading in infrastructure construction can not meet the requirements, which will also affect the instant experience of players. "This requires operators to work together to solve the problem, which takes at least three to five years."

As for the emerging AR/VR game, Fang Fang pointed out to reporters that the core problem is that users need lightweight and smooth high-quality content experience, but VR is not yet fully realized.

"Look at the next computing platform. The equipment that we used to do very well could really carry a lot of things, but so far no major changes have taken place. I don't think mobile terminals will disappear so quickly. " He said that this will be gradual change. The basic construction of 5G and 6G may be very fast, but the change of terminal needs to be driven by user's habit change. This is why the mainstream game manufacturers still feel that hand travel is king.