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A research report issued by China Securities Co., Ltd. highlights that the gaming industry has witnessed robust growth on both the supply and demand fronts this year. On the demand side, the domestic mobile game market expanded by 20% year-on-year from January to May. On the supply side, the number of domestic game licenses issued from January to June surged by 21% year-on-year, with June alone marking a new peak in license issuance since 2022. Game platform communities stand to benefit significantly from this trend. Firstly, an anticipated surge in user engagement is expected to bolster platform advertising revenue without increasing the ad load. Secondly, the consistent performance of established games coupled with the release of new titles is projected to boost game downloads and revenue, fueling overall platform performance growth.
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