China has closed down greater than 12,000 web cafes since 2020, the yr of the COVID-19 pandemic, based on a report by the China Enterprise Journal (CBJ). Over 3,600 web cafes had been deactivated by the federal government, and 9,250 had been closed willingly. CBJ additionally identified that China nonetheless has greater than 120,000 web cafes working within the nation.
The report gave two causes for the closures: the unfavorable financial affect of COVID-19 and the rise of cellular esports and esports viewing habits in society.
“On the one hand, the youthful era want to play cellular video games on smartphones, as a substitute of enjoying PC video games in web cafes,” CBJ commentator Chunwei Zhang wrote. “There are additionally quite a few esports fanatics who like to look at esports competitions somewhat than simply enjoying, so they’d buy esports-related initiatives, reminiscent of esports accommodations.”
Zhang additionally reported that China has greater than 8,000 esports-themed accommodations within the nation. With esports and cellular video games changing into extra mainstream in leisure, industries like property administration have proven curiosity in including esports components to their companies. In Shanghai, Chinese language esports group Edward Gaming (EDG)’s dad or mum firm SuperGen Group put over $1.5B USD in constructing its esports complicated park, together with a 6,000 seat esports venue, in addition to a “five-star” esports-themed lodge.