Good News on Listing | Frost & Sullivan Assists Home Travel Holdings Limited to Successfully Go Public in the US (NASDAQ: GMHS)

HomeGame Holdings Inc. (hereinafter referred to as 'HomeGame') successfully listed on the NASDAQ in the United States on January 27, 2025, through a SPAC (Special Purpose Acquisition Company).

During the process of listing in the US, Frost & Sullivan mainly undertook the following tasks: helping the issuer accurately and objectively understand its positioning in the target market, using objective market data to discover, support, and highlight the issuer's competitive advantages, assisting the issuer, investment banks, and other intermediaries in completing the writing of relevant parts of the prospectus (such as the overview, competitive advantages and strategy, industry overview, business, and other important sections), helping the issuer communicate with the SEC and investors, assisting investors in quickly understanding the market ecosystem and competitive landscape, and assisting the issuer in completing feedback from regulatory authorities on various industry issues.

• The company has released about 110 mobile games, with a cumulative download volume exceeding 200 million times;

   

• As a global market-oriented game publisher, the company promotes mobile games created by its partners to gaming markets around the world, including countries such as the United States, United Kingdom, Australia, Germany, France, Canada, Brazil, Japan, and India. More than 75% of its revenue comes from European and North American markets.

   

• The company provides services covering all aspects of the game lifecycle, including game development, pre-release testing for game selection and distribution, user acquisition, and profitability.

According to a report by Frost & Sullivan:

• For the fiscal year ended December 31, 2022, ranked first in terms of revenue among global mobile game distribution platforms (excluding those developing their own games) dedicated to serving the overseas distribution of Chinese casual and moderate games, with a market share of 8.4%;

   

• For the fiscal year ended December 31, 2022, in terms of revenue, the company ranked tenth among global mobile game distribution platforms (excluding self-developed game platforms) dedicated to serving small and medium-sized game developers in the global casual and moderate game market, with a market share of 1.7%;

   

• For the fiscal year ended December 31, 2022, ranked sixth in Asia's mobile game distribution platforms (excluding self-developed game platforms) by revenue, which focus on serving small and medium-sized game developers in the global casual and moderate game market.

Mobile games refer to electronic games specifically designed and developed for mobile devices such as smartphones and tablets, covering a variety of types including casual games, puzzle games, strategy games, role-playing games (RPG), action games, and multiplayer games. In particular, mobile games can be subdivided based on game type, including ultra casual games, casual games, moderate games, and heavy games.

The global mobile game market grew from $68.3 billion in 2017 to $111.5 billion in 2022, with an average annual compound growth rate (CAGR) of 10.3%. This growth was mainly driven by the increasing smartphone penetration rate, the growing popularity of mobile games among various demographics, and technological advancements.

Despite a slight decline in the market in 2022, with total revenue down 6.5% compared to the previous year, the industry still maintained a growth momentum. In 2022, heavy games accounted for the largest market share, reaching 40.2%, followed by medium games at 34.7%. It is expected that the global mobile game market will grow at an average annual compound rate of 3.3% between 2022 and 2027, reaching $131 billion by 2027, mainly driven by technological progress and the development of digital distribution platforms.

Players' demand for convenient and attractive gaming experiences, coupled with the creativity and innovation of small and medium-sized developers, has driven the rise of casual and moderate games in the global mobile gaming market. It is expected that casual games will grow at an average annual compound rate of 3.5% between 2022 and 2027, exceeding the growth rate of the overall mobile gaming market. Moderate games are also expected to grow at an average annual compound rate of 3.3% during the same period.

Global mobile game market size, by revenue and by game type, 2017-2027 (forecast)

A mobile game distribution platform refers to a platform that provides full-process services for mobile game developers, helping them publish their mobile games. Such platform services typically cover aspects such as financial support, marketing, data analysis, and distribution. Generally speaking, global mobile game distribution platforms can be divided into distribution platforms, development and distribution platforms (only publishing self-developed games), and development and distribution platforms (publishing self-developed games and games developed by other companies).

The market size of global mobile game distribution platforms (focusing on small and medium-sized game developers) grew from $22.7 billion in 2017 to $34.7 billion in 2022, with an average annual compound growth rate (CAGR) of 8.9%. As AIGC technology significantly enhances the capabilities of small and medium-sized game developers, it is expected that the number of such developers will grow rapidly, further driving the development of future distribution platforms. Therefore, it is estimated that the market size of global mobile game distribution platforms (focusing on small and medium-sized game developers) will reach $438 billion in 2027, with an average annual compound growth rate of 4.8%.

Global Mobile Game Distribution Platforms (Focusing on Small and Medium-Sized Game Developers) Market Size, by Platform Type, 2017-2027 (Forecast)

●The penetration rate of professional game distribution platforms has increased.

Game distribution services are crucial in the mobile gaming industry, especially for casual and moderate mobile games that tend to be homogenized in terms of content or gameplay. With the increase in the number of small and medium-sized mobile game developers, the penetration rate of professional game distribution platforms is expected to rise. These small and medium-sized developers tend to choose integrated distribution solutions to maximize their total game revenue and enable them to focus more on content creation and game innovation.

●The application of advanced technologies in distribution platforms

Mobile game distribution platforms will apply more emerging technologies to improve their ability and efficiency in distributing games. Artificial intelligence (AI) technology will be used for daily revenue forecasting, automatic bidding system management, and other aspects to enhance distribution efficiency. Big data technology will be used for data analysis, allowing distribution platforms to better evaluate and adjust game advertisements and daily operations, thereby reducing game distribution costs and maximizing total revenue over the game's lifecycle.