It’s no big secret that the games industry is becoming something of a cash cow. More free-to-play games laden with microtransactions are emerging every day, and over time, the cost of investing in a console and an array of games is rising. That’s inflation for you, but for all their complaining, gamers are keeping up with the flow.
It was recently estimated that, as a result of these trends, the global gaming industry’s revenue will reach epic proportions soon, hitting more than $300 billion by 2027.
Money, Money, Money
In a financial forecast published by Bain & Company, it was suggested that the global gaming revenue will secure a CAGR of 9% between now and 2027. This will take the revenue cap from $199 billion in 2022 to a whopping $307 billion by 2027. The report highlighted that young gamers aged 13 – 17, a very impressionable market, now spend 40% more time playing games than engaging with other media, such as television shows.
With landmark investments and acquisitions taking place – such as Microsoft’s acquisition of Activision – more money is floating around than ever before. Every vertical, from esports to mobile gaming, is undergoing growth at the moment. These analysts have also been studying the rise of streamers and ‘gaming influencers’. Over time, they’re becoming multimedia superstars, pulling in millions of viewers and netting insane revenue simply for broadcasting video games online.
There’s a lot of money out there, and the CAGR is nuts. Before long, gaming will be more valuable and powerful than the movie, music, or television industries. As technology is only becoming more advanced, it’s only a matter of time. It helps that there are games on the horizon – like GTA 6 – that will pull in billions of dollars by themselves.
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If the gaming industry is so healthy, why are there mass layoffs?
But they just had to lay off thousands of gen Xers because their daisies were too high…er I mean, the economy…um…
Dasies…salaries… sorry autocorrect.
It was millennials
The generation will be over by then gaming is dead