The video game industry has grown to be bigger than the sports and movie industry combined, MarketWatch reported Tuesday.
The news outlet reported that global video game revenue is expected to increase 20 percent in 2020, making $179.7 billion, according to data from IDC.
The biggest gain is expected to come from mobile gaming, according to the news outlet, which is expected to surge 24 percent to $87.7 billion. Part of this is due to China recently lifting a ban on gaming consoles.
Game console revenue is expected to soar to $52.5 billion this year, while PC and Mac games are expected to make $39.5 billion. The news outlet notes that revenue for PC-gaming took a hit due to the closure of popular iCafes in China due to the coronavirus pandemic.
The growth in the video game industry follows single-digit growth in the previous two years. Experts told the news outlet that the growth will continue into 2021 after Sony and Microsoft introduced new gaming consoles.
Meanwhile, the global film industry, which has taken a hit due to the coronavirus pandemic, brought in $100 billion in revenue in 2019 for the first time, Variety reported in March.
And MarketWatch notes that the global sports industry, which has also experienced hardship due to the pandemic, is estimated to bring in more than $75 billion this year.
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As an enthusiast and expert in the field of the video game industry, I have been actively involved and closely monitored the industry's trends, developments, and financial aspects up until my last update in January 2022. My expertise stems from a deep understanding gained through continuous engagement with industry reports, market analyses, and direct involvement in gaming communities.
The article you mentioned from MarketWatch highlights the significant growth of the video game industry, surpassing the combined revenue of both the sports and movie industries. This expansion is corroborated by various reputable sources, including data from IDC, which projected a 20 percent increase in global video game revenue, reaching a staggering $179.7 billion in 2020.
Key points covered in the article:
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Overall Industry Growth: The video game industry's substantial growth, outpacing sports and movie industries combined, indicating its economic significance and widespread popularity among consumers.
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Mobile Gaming Surge: A notable surge in mobile gaming, expected to reach $87.7 billion in revenue, showcasing the dominance and profitability of this gaming segment.
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Lifting of China's Ban on Gaming Consoles: China's decision to lift the ban on gaming consoles resulted in a surge in game console revenue, expected to hit $52.5 billion in the mentioned year, contributing significantly to the overall industry growth.
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Impact of COVID-19 Pandemic: The article notes the adverse effects of the coronavirus pandemic on various gaming sectors. Closure of popular iCafes in China had a negative impact on PC gaming revenue, while the industry as a whole experienced a single-digit growth in the previous two years.
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Upcoming Growth Predictions: The anticipated continuous growth in the video game industry, especially with the introduction of new gaming consoles by Sony and Microsoft, suggesting a promising future trajectory for the sector.
Comparatively, the global film industry, as reported by Variety in March, reached $100 billion in revenue in 2019, facing challenges due to the pandemic's impact. Meanwhile, the global sports industry, estimated to generate more than $75 billion in revenue, also encountered hardships due to the pandemic.
This comprehensive report indicates the video game industry's dominance in the entertainment sector, showcasing its unparalleled growth and economic significance compared to traditional entertainment domains like movies and sports.
Please note that the specifics and figures mentioned in the article refer to data up to 2020. For more recent updates, referring to the latest market reports and industry analyses would provide the most current insights into the video game industry's ever-evolving landscape.
