China's developers winning the game

Similarly, Genshin Impact, another popular game developed by Mihoyo, does not confine itself to domestic culture as an original Chinese game.

It blends open-world adventure with anime aesthetics to showcase Chinese elements, including incorporating traditional Chinese opera and ethnic instruments into the game's music and character design.

One example is the traditional Chinese opera-inspired character Yun Jin. Her aria The Divine Damsel of Devastation amassed over 150 million views globally, sparking curiosity about Peking Opera.

"A 'Chinese story' isn't just about traditional tales from ancient China. Rather, it's a story told by Chinese people, using their perspectives and values," said Feng in an interview on State broadcaster China Central Television last year.

As long as a story is created by Chinese people, it remains a "Chinese story", regardless of its themes, characters, or setting, writes Li Huichuan, a researcher of digital game culture from the Shanghai Academy of Social Sciences, in a published article, adding that "the essence of national culture lies in the cultural ideas and values conveyed, not just in the story's form or structure".

Despite the design of the game scenes in Mihoyo's other popular game Honkai: Star Rail that ranges from the natural environment, architectural style to daily life referring to foreign cultures, the story is still Chinese — using values passed on from ancient times such as "sacrificing minor interests for the greater good" and the principles of benevolent governance, such as "the people are more important than the ruler" and "putting people first".

The key to establishing the concept of Chinese games and stories does not lie in whether the game's content, style, plot, characters and story originate from China, but rather if they convey Chinese values through the structure and form of the game and story, Li writes.

China's success in mobile gaming — holding 73 percent of its domestic market and 40 percent of the global market — is credited to gaming developers' tactical focus on the mobile market.

By optimizing games for mobile devices, studios like Mihoyo and Tencent Games have successfully captured emerging markets in Southeast Asia and Latin America, where smartphone usage outpaces consoles. At the same time, releasing games across multiple platforms such as Steam, PlayStation, and Epic Games has further expanded their reach.