Video Game Market to Surpass $593B by 2031
A new report from Mordor Intelligence projects the global video game market will exceed $593 billion by 2031. The growth is expected to be driven by a 26% compound annual growth rate in cloud gaming. Other key factors cited include mobile-first adoption and the increasing use of AI in content development.
- For comparison, the global games market is expected to generate $187.7 billion in revenue in 2024, with the number of players worldwide reaching 3.42 billion. - Major tech companies are competing in the cloud gaming space, including Microsoft's Xbox Cloud Gaming, Sony's PlayStation Now, and NVIDIA's GeForce Now. - A recent study found that 90% of game developers already use generative AI in their workflows, with 47% using it to speed up playtesting and 45% for localization and translation. - The "free-to-play" model, which relies on in-app purchases and advertising, has become the dominant monetization strategy in mobile gaming, attracting a wide and diverse player base. - The global esports market, a significant adjacent industry, was valued at approximately $2.13 billion in 2024 and is projected to grow to $7.46 billion by 2030. - The mobile gaming segment is projected to have 2.4 billion players by 2029, with hyper-casual games that feature simple mechanics and ad-based monetization being a major trend. - Merger and acquisition activity in the gaming industry remains robust, with 665 closed deals valued at a total of $23.2 billion in 2024. - The Asia-Pacific region currently holds the largest share of the cloud gaming market, accounting for over 47% in 2024, driven by widespread smartphone use and high-speed internet adoption.
