Video Gaming Market

Market Definition

The Video Gaming Market size was valued at USD 229.70 billion in 2023 and is predicted to reach USD 460.33 billion by 2030 with a CAGR of 10.5% from 2024-2030.

The video game industry is a growing entertainment sector encompassing the creation, distribution, and consumption of interactive digital games. It involves game development teams comprising designers, artists, and programmers who craft gameplay, storylines, and user experiences.

These games are distributed physically or digitally, with various monetization methods, including in-game purchases and subscriptions. The rise of online communities, streaming, and technological advancements further shape the industry's landscape, making it a dynamic and financially lucrative global field.

Video games are becoming increasingly popular among a wide range of people, including children, teenagers, adults, and even older individuals. As a result, the growing consumer base for these advanced entertainment features is driving the growth of the video gaming market.

Market Dynamics and Trends

Advancement in technology, such as high-definition graphics, virtual reality (VR), augmented reality (AR), and faster processing speeds, are fueling the demand for enhanced gaming experiences. In recent news, Assassin's Creed Nexus VR is a new virtual reality game that is available for Meta Quest devices, including Meta Quest 2, Meta Quest 3, and Meta Quest Pro. The game is developed by Ubisoft Red Storm, Ubisoft Düsseldorf, Ubisoft Reflections, Ubisoft Mumbai, Ubisoft Pune, Ubisoft Montreal, Ubisoft Belgrade, and Ubisoft Berlin. 

Also, the rise of esports and streaming games in the competitive gaming scene has allowed gamers to broadcast their gameplay to large audiences and advertisers through online platforms such as YouTube. These games often include social features that enable players to interact with friends and other gamers, which has helped to drive engagement and retention.

Moreover, cloud gaming is becoming more popular with services such as Google Stadia, Xbox Cloud Gaming, and NVIDIA GeForce NOW which makes high-quality gaming accessible on a wide range of devices even without powerful hardware.

As new monetization models including free-to-play, microtransactions, and subscription services with Xbox Game Pass and PlayStation Now changed the way games are monetized which further drives the market growth. However, the industry is flooded with a vast number of games, making it challenging for new releases to new releases to gain attention and traction which is restraining the growth of video gaming market.

On the contrary, Artificial Intelligence (AI) driven game design can create dynamic and personalized experiences for players. Creating games that are accessible to a wider range of players, including those with disabilities, is expected to create significant opportunity growth for the market.

For example, Auctoria is a platform that uses generative AI technology to create a range of different model types for video games. The platform's features include generating entire 3D game levels, converting uploaded images and textures of walls, floors, and columns into 3D equivalents of that artwork, and generating assets based on text prompts.

Market Segmentation and Scope of Study

The video gaming market is divided on the basis of game type, device type, end user and region. On the basis of game type, the market is categorized into shooter, action, sports, role playing, and others. On the basis of device type, the market is classified into PC, tablet, mobile phone, and TV & console. On the basis of platform type, the market is segmented into online and offline. On the basis of age group, the market is bifurcated into under 18 and above 18. On the basis of end users, the market is again divided into casual gamers and professional gamers. Regional breakdown and analysis of each of the aforesaid segments includes regions comprising of North America, Europe, Asia-Pacific, and Rest of World (RoW).

Geographical Analysis

Asia-Pacific held the dominating share of video game market at present and is expected to continue its dominance throughout the forecast period. This is attributed to factors such as growing number of gamers including solo and multiplayer gamers in countries such as India and China. Tencent unveiled over 30 video game updates and new projects at its annual Spark conference marks the overall growth of video games among the players. The company introduced updates on 15 previously announced titles and revealed 20 new projects in the pipeline. The new projects and updates are aimed at the China market and further increases competition in China.

Also, the presence of key players which are continuously expanding their gaming market in countries such as Philippines and Singapore is driving the video gaming market growth. Recently, the Philippine Department of Trade and Industry-Export Marketing Bureau (DTI-EMB) foresees that the Philippines to become a gaming powerhouse in the Asia-Pacific region within a few years. To achieve this goal, the DTI is working with key partners to help Filipino companies succeed, develop local talent, create more jobs, and boost economic growth.

On the other hand, North America is considered fastest growing region in the video gaming industry owing to the focus towards free-to-play games among the players is further driving the video gaming market. For instance, in October 2022, Blizzard Entertainment released Overwatch 2, a free-to-play sequel to their critically acclaimed first-person shooter game. The game features new monetization features, but the gameplay itself is largely unchanged. In Overwatch 2, two teams of diverse heroes compete to achieve objectives by eliminating opponents and working together.

Furthermore, rising cloud gaming to integrate among the various players in the region is further propelling the market growth. For example, Amazon launched its Luna video game streaming service for the general public in the U.S. It allows players to access games directly online with no need for a console as part of the cloud gaming technology which is available on devices including Windows PC, Mac, and others.

Competitive Landscape

Various players in the video gaming market includes Sony Corporation, Microsoft Corporation, Ubisoft Entertainment, Nintendo, Electronic Arts Inc, Tencent, Blizzard Entertainment, Inc, Rockstar Games, Epic Games Inc, Bandai Namco Holdings, and others. These market players are opting various strategies such as collaboration to maintain their dominance in the global video gaming market.

For instance, in June 2023, Sony announced a multiple-year global partnership with Fnatic Ltd, a leading esports organization to collaborate on the development of gaming gear and content activations. The collaboration focuses on the co-creation of gaming gear that help the players achieve victory in highly competitive games. It aims to enhance the gaming experience for players by combining Sony's visual and audio technologies with Fnatic's expertise in professional gaming.

Moreover, in October 2022, Electronic Arts Inc (EA) and Marvel Entertainment announced a multi-title collaboration to develop at least three new action-adventure games that is available for consoles and PC. The game features an original narrative that taps into the rich history of the character and aims to produce exceptional experiences for players.

Key Benefits

• The report provides quantitative analysis and estimations of the video gaming market from 2024 to 2030, which assists in identifying the prevailing market opportunities.

• The study comprises a deep-dive analysis of the video gaming market including the current and future trends to depict prevalent investment pockets in the market.

• Information related to key drivers, restraints, and opportunities and their impact on the video gaming market is provided in the report.

• Competitive analysis of the players, along with their market share is provided in the report.

• SWOT analysis and Porters Five Forces model is elaborated in the study.

• Value chain analysis in the market study provides a clear picture of roles of stakeholders.

Key Market Segments

By Game Type

• Shooter

• Action

• Sports

• Role Playing

• Others

By Device Type

• PC

• Tablet

• Mobile Phone

• TV & Console

By Product Type

• Online

• Offline

By Age Group

• Under 18

• Above 18

By End User

• Casual Gamers

• Professional Gamers

By Region

• North America

  • The U.S.

  • Canada

  • Mexico

• Europe

  • The UK

  • Germany

  • France        

  • Italy        

  • Spain        

  • Denmark        

  • Netherlands        

  • Finland        

  • Sweden

  • Norway        

  • Russia        

  • Rest of Europe

• Asia Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

  • Indonesia

  • Singapore

  • Taiwan

  • Thailand

  • Rest of Asia Pacific

• RoW

  • Latin America

  • Middle East

  • Africa

REPORT SCOPE AND SEGMENTATION:

Parameters	Details
Market Size in 2023	USD 229.70 Billion
Revenue Forecast in 2030	USD 460.33 Billion
Growth Rate	CAGR of 10.5% from 2024 to 2030
Analysis Period	2023–2030
Base Year Considered	2023
Forecast Period	2024–2030
Market Size Estimation	Billion (USD)
Growth Factors	Growing technological advancement such as high-definition graphics virtual reality (VR), augmented reality (AR) in gaming industry.    Increasing esports and streaming games in competitive gaming scene. Rising integration of cloud gaming services such as Google Stadia, Xbox Cloud Gaming, and NVIDIA GeForce NOW.
Countries Covered	28
Companies Profiled	10
Market Share	Available for 10 companies
Customization Scope	Free customization (equivalent to up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.

KEY PLAYERS

• Sony Corporation

• Microsoft Corporation

• Ubisoft Entertainment

• Nintendo

• Electronic Arts Inc.

• Tencent

• Blizzard Entertainment Inc.

• Rockstar Games

• Epic Games Inc.

• Bandai Namco Holdings