Chongqing - China’s gaming industry continued its steady growth in 2024, with market revenue reaching 325.783 billion yuan (approx. 45.44 billion USD), up 7.53% year-on-year, according to the latest industry report. Among various segments, the indie game market showed strong momentum and continued expansion.

The team members at Aerolite work on game art and scene design in their offices. (Photo/Luo Huxin)

Indie games refer to video games developed by individuals or small independent teams. Li Pengkun, General Manager of indie game studio Aerolite in Chongqing's Liangjiang New Area, noted that while the indie game scene in Europe and North America has reached a mature stage, China is still in the early—but rapidly evolving—phase of development.

Liao Qiuyue, General Manager of GSQ Games, added that prior to 2018 or 2019, indie games in China remained a niche category. However, the sector has since entered a period of accelerated growth.

According to a research report by Zhang Enqi and Ye Zitao on the development of China’s indie game industry, around 1,100 new Chinese titles were released on Steam in 2023—a nearly 60 percent increase compared to the previous year.

The rise of investor interest and the success of breakout titles suggest that China's indie game industry is now entering a phase of rapid expansion. Li noted that major capital players, including Tencent, are increasingly shifting attention toward the indie sector. Liao shared that GSQ Games previously received a significant investment from Tencent, which helped lay a stable foundation for ongoing development, though the exact figure was not disclosed.

Li also pointed to the success of high-profile titles such as Black Myth: Wukong as a sign of growing production capabilities within China’s indie scene, further fueling public interest in the sector..

Black Myth: Wukong, an action RPG adapted from the classic Chinese legend Journey to the West, ignited a "China fever" across the global gaming industry in 2024. (Photo/Game Science)

However, China’s indie game still faces various challenges. Li acknowledged that despite rapid development, the overall scale of the industry remains relatively small. Beyond a lack of accumulated development experience, indie games also lag behind Chinese commercial titles—particularly mini-games—in revenue generation, making investors more cautious. As a result, many indie studios struggle to secure sufficient funding for research and development.

Unlike commercial games, indie games emphasize creative gameplay and artistic expression over monetization. Liao emphasized that a key benchmark for identifying indie games is whether the development team retains full creative control rather than being directed by external investors. Li added that indie games should steer clear of common commercial mechanisms such as in-game bundles, pay-to-win features, or forced monetization loops.

On the contrary, mini-games have become more attractive to investors because they are lightweight, easy-to-play titles that require no downloads. They have rapidly risen in China’s game market thanks to the country’s advanced social media platforms. Li exemplified that a single 5-million-yuan investment that might previously have funded one indie title could now support 10 mini games, offering higher and faster returns, leading to a more cautious approach to indie game funding and reduced investment amounts.

Developers also face challenges in distribution and platform access. Liao noted that most indie teams are unfamiliar with anything beyond designing games itself. GSQ Games only gained access to industry resources and platform support after participating in a Tencent-sponsored competition, which helped them move their project forward.

The awards received by GSQ Games and its title Amazing Cultivation Simulator are displayed in the office. (Photo/Luo Huxin)

As Chinese indie game developers expand globally, their choice of cultural themes varies widely. Studios like Aerolite incorporate Western elements to lower barriers to recognition, while GSQ Games’ Amazing Cultivation Simulator draws deeply from traditional Chinese culture—posing certain challenges around cultural translation and resonance.

Liao noted that these challenges are manageable. Southeast Asian audiences are already familiar with Chinese traditions, while Western acceptance is growing through comics and media. Most importantly, compelling gameplay draws core players—who often become curious to explore Chinese culture through the game itself.

Meanwhile, AI technology is reshaping how indie games are developed and structured. Li noted that AI has already replaced several traditional roles, greatly improving efficiency. As an art director, he and his UI designer can now complete graphic tasks in minutes using AI tools. Design documents are generated from AI drafts with minimal edits—delivering results on par with mid-level designers. AI is also used in 3D modeling and animation, cutting down the need for large teams.

Li predicted that within a few years, as AI continues to mature, even a single developer could create a full game independently. While this lower barrier to entry may lead to a surge of new titles in China’s indie scene, it will also intensify competition and complicate the market landscape.

One concern arising from this shift is aesthetic homogenization. As more AI-assisted games flood the market, Li observed that while many indie artists use AI to support their creative visions, commercial developers increasingly rely on AI to mass-produce art assets—resulting in a growing sameness in visual style. This, he warned, could make it harder for players—especially those with limited gaming experience—to distinguish innovative art design from generic visuals.