Gaming Market Size, Share & Trends Analysis Report By Device (Console, Mobile, Computer), By Type (Online, Offline), By Region (North America, Europe, APAC, LATAM, MEA), And Segment Forecasts, 2018 - 2025

Industry Insights

The global gaming market size was valued at USD 97.80 billion in 2016 and is expected to witness remarkable growth over the next eight years. Technological proliferation and innovation in both hardware and software are expected to be key factors driving the market. Growing penetration of Internet services across the globe, coupled with easy availability and access of games on the Internet, are also expected to keep growth prospects upbeat over the coming years.

Rising inclination to shift from physical games to online games has led industry participants to focus on hardware compatibility and efficiency. Free2Play (F2P), massively multiplayer online (MMO), and multiplayer games have progressively gained popularity, a trend that is anticipated to continue over the next eight years.

The trend of social media gaming is expected to have a positive impact on market growth. For instance, a substantial percentage of the global population uses social networking sites such as Facebook and Reddit to play games. Availability of games across different genres such as action, role play, simulation, and strategy are also influential in attracting customers.

Copyright and piracy issues are expected to negatively impact market growth. Concerns relating to fraud during gaming transactions are expected to hamper market growth. A steep rise in video game-related health issues and problems is further expected to restrain the market growth.

Device Insights

On the basis of device, the gaming market has been segmented into console, computer, and mobile devices. The console device segment dominated the market in 2016 and was valued at USD 36.65 billion. Advantages such as availability of high-end displays and sound systems that provide improved and rich experience to customers are anticipated to drive segment growth over the forecast period.

The mobile device segment is expected to gain momentum owing to increasing smartphone penetration across the globe. Tablets are estimated to drive the growth of the mobile device segment owing to advantages such as larger displays and better viewing experience.

Type Insights

The online gaming segment is expected to gain traction over the forecast period. Increasing demand for multiplayer games is driving the demand for online games as they facilitate in-game communication and improve overall experience. Social networking sites are influential in providing online games a virtual platform for expansion.

Market players involved in the development of gaming consoles are laying emphasis on capitalizing opportunities offered through online games. For instance, Xbox Live by Microsoft Corporation and PlayStation Network by Sony Corporation have gained much prominence through the online platform.

Regional Insights

The Asia Pacific region dominated the global market in 2016 and accounted for more than 45% of the revenue. This can be attributed to emergence of China as the ‘global gaming capital’ after it overtook U.S. in 2016. Ever-increasing smartphone penetration and rising demand for entertainment in China is a key factor driving regional growth.

Tencent Holdings Limited, headquartered in China, has emerged as the biggest player in the global market owing to its inorganic growth strategies, such as the acquisition of Riot Games and Supercell Oy, developers of popular games such as League of Legends and Clash of Clans. The company’s growth is a significant factor driving overall growth in China.

South Korea is expected to contribute significantly to regional growth owing to its increased focus on e-sports and massively multiplayer online games. The South Korean market size was valued at USD 4.20 billion in 2016. Massively multiplayer online role-playing games have gained immense popularity in South Korea.

Gaming Market Share Insights

Key players operating in the market include Microsoft Corporation; Nintendo Co., Ltd.; Rovio Entertainment Corporation; NVIDIA Corporation; Valve Corporation.; PlayJam Ltd.; Bluestack Systems, Inc.; and Sony Corporation. These companies are largely focusing on development of engaging gaming content and next-generation gaming consoles.

Popular gaming consoles developed by these players include PlayStation 4 by Sony Corporation, Xbox One by Microsoft Corporation, and Wii U by Nintendo Co., Ltd. Market players are largely focusing on offering product differentiation and innovation with a view to increasing their market share.

Market players are laying significant emphasis on improving customer experience by offering products equipped with multi-utility features that enable users to play games and browse the Internet at the same time. These multi-utility gaming consoles are anticipated to drive market growth over the forecast period.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of industry trends in each of the sub-segments from 2017 to 2025. For the purpose of this study, Grand View Research has segmented the global gaming market report on the basis of device, type, and region.

• Device Outlook (Revenue, USD Billion, 2014 - 2025)

  • Console

  • Mobile

  • Computer

• Type Outlook (Revenue, USD Billion, 2014 - 2025)

  • Online

  • Offline

• Regional Outlook (Revenue, USD Billion, 2014 - 2025)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • Japan

    • South Korea

  • Latin America

    • Brazil

  • Middle East & Africa (MEA)