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Esports Gains Traction In China At Record Pace Amid Gov. Regulations

Videogames are under a "harsh spotlight by government regulators in China these days," but esports is still "growing despite the glare," according to Shan Li of the WALL STREET JOURNAL. Nearly 135 million people now "watch esports in China," more than "double the number" from '15. At least a dozen cities in China have "built or are building dedicated esports venues," which local governments see as a "way to stimulate growth and development as China’s economy slows." But the ruling Communist Party has "become increasingly concerned about violent game content and the amount of time young people play videogames." Chinese regulators "haven’t approved the sale of new titles since March," but the "clampdown hasn’t hit popular esports games such as 'League of Legends' or 'Dota 2.'" Meanwhile, data from game research firm NewZoo shows that the "huge Chinese fan base for esports is putting revenue on track to reach" an expected $169M this year in China, from $43.2M in '15. Corporations such as Intel and P&G's Gillette have "sponsored esports tournaments or teams in China" to promote to younger customers. Tencent is also "rolling out a city-based franchise system for both 'League of Legends' and its blockbuster mobile game 'Honor of Kings'" (WALL STREET JOURNAL, 11/5).

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