Asia-Pacific | Game Industry Library

Cover of Games, Esports, and Mobile Trends to Watch in 2021

Newzoo · 2021

Games, Esports, and Mobile Trends to Watch in 2021

The global games market is projected to generate $189.3 billion in 2021, supported by 2.8 billion gamers worldwide. While the industry experienced an unprecedented engagement spike during the COVID-19 pandemic, the primary thesis is that these habits have become entrenched, ensuring that revenue and engagement levels will remain elevated even as pandemic-related restrictions subside. Growth is expected to be driven by emerging markets in Southeast Asia and the Middle East, alongside the continued maturation of cloud gaming and mobile-first AAA experiences. Key industry trends for 2021 include a shift toward "gaming-as-a-platform," where virtual spaces host non-gaming events like concerts and social gatherings, effectively expanding the addressable market. Cloud gaming is set to surpass $1 billion in annual revenue as it proves its utility in providing high-fidelity experiences without requiring expensive hardware. Simultaneously, the esports sector is diversifying beyond traditional sports models, with mobile titles like PUBG Mobile and Garena Free Fire challenging PC-dominated viewership metrics. Furthermore, the industry is increasingly prioritizing diversity, inclusion, and the reduction of toxicity in response to both player demand and internal organizational shifts. The mobile segment faces significant disruption due to the removal of Apple’s Identifier for Advertisers (IDFA), which is forcing publishers to rethink user acquisition and invest more heavily in first-time user experiences. Despite these challenges, the rollout of 5G infrastructure and the success of cross-platform titles like Genshin Impact are catalyzing a new era of AAA-quality mobile gaming. Distribution models are also evolving as major publishers increasingly challenge the revenue-share structures of traditional app stores, signaling a broader shift toward platform agnosticism and the expansion of gaming intellectual property into wider entertainment sectors.