Report: Chinese mobile gaming market worth $2.5bn by 2014

Pyramid Research sees 3G as the key for market growth.

Pyramid Research's latest report predicts that the Chinese mobile gaming market will be worth $2.5 billion in 2014.

However, the company has identified several hurdles that need to be surmounted in order to achieve what would be a 51.5% compound annual growth rate between now and then.

"To meet demand and live up to its potential, mobile gaming in China needs more affordable data access, wider 3G coverage, and better handset gaming capabilities," says the report's author Luis Portela.

"The arrival of 3G has raised the profile of mobile online games and mobile operators, as well as Internet and gaming players are eager to expand their Internet footprints through mobile access. We expect increased 3G adoption to boost sales of devices with stronger gaming capabilities, including smartphones."

Chinese operator China Unicom recently launched the iPhone, running on its new 3G network, which may provide a boost.