China's eSports market is expected to exceed 88 billion yuan (about 13 billion U.S. dollars) in 2018 and increase another 35 billion yuan in the next two years, according to a report released Tuesday.

The report by analyst CNG showed that the number of China's eSports players has been growing at an annual average of more than 20 percent over the last three years, and will exceed 430 million in 2018.

The eSports market revenue is mainly generated by gaming competitions while live broadcasts of people playing video games contributed less, according to the report.

In 2017, the eSports market reached 77 billion yuan. It is estimated that more than 500 gaming competitions were held in China in 2017, the report said.

CNG is entrusted by Shanghai municipal press and publication bureau to release the report.