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Is the future of games Instant? (Lars Doucet, Emily Greer)
The rise of instant games—titles accessible via browsers or social media without significant download barriers—represents a strategic effort to bypass traditional app store gatekeepers and capture broader, non-traditional gaming audiences.
- Instant games serve as a strategic tool to bypass app store gatekeepers and reach non-traditional audiences by removing significant download barriers.
- The current distribution landscape is dominated by restrictive platform ecosystems that prioritize short-term rent-seeking over long-term developer sustainability.
- Unlike the decentralized Flash era, modern developers face high levels of platform lock-in, which limits their leverage over their own work and audience relationships.
The Future of App Monetisation: An Industry Outlook
The mobile gaming industry is currently navigating a period of significant disruption and opportunity, driven by evolving privacy regulations and shifting consumer behaviors.
- Mobile game in-app ad revenue is projected to exceed $53 billion by 2024, with a forecasted compound annual growth rate of 17%.
- Developers are shifting toward hybrid monetization models that integrate both in-app purchases and in-app advertising to mitigate the impact of privacy regulations like Apple’s iOS 14.5.
- In-app ad revenue for games saw a 21.3% increase in 2021, significantly outpacing the growth of non-gaming applications.
Panel: The Game Business Post-vaccine - A New Path to 'Normality'
The global gaming industry demonstrated remarkable resilience throughout the pandemic, maintaining high productivity levels and consistent hiring despite widespread operational disruptions.
- Approximately 25 percent of the gaming industry workforce would resign if mandated to return to full-time office attendance, necessitating a permanent shift toward hybrid and remote work models.
- Studios are adopting hybrid work strategies to reduce overhead costs and access a more diverse, global talent pool while maintaining productivity.
- The industry is prioritizing HR strategies focused on employee well-being and inclusivity to sustain company culture within distributed, remote environments.
Panel: Will 2021 See Another Boom in Game Investments?
The gaming industry has successfully transitioned from a volatile, hit-driven niche into a mainstream, resilient asset class.
- The gaming industry has transitioned from a volatile, hit-driven market into a resilient asset class, primarily due to the adoption of games-as-a-service models that provide sustainable, iterative revenue.
- Institutional capital is increasingly flowing into the sector as developers use data transparency and community integration to mitigate production risks and stabilize income streams.
- Geographic expansion into India, Southeast Asia, and Eastern Europe is a primary growth driver, fueled by high smartphone penetration and the utilization of these regions as lower-cost development hubs.
Libro Blanco del Desarrollo Español de Videojuegos 2021
The Spanish video game industry demonstrated notable resilience and growth in 2021, reaching a total revenue of 1,105 million euros, a 20% increase over the previous year.
- The Spanish video game industry advocates for a tax incentive for video game production, similar to that for the audiovisual industry, to attract international projects and investment. This measure is common in other European countries like France, Italy, Belgium, and the UK.
- The primary funding sources for Spanish studios are their own resources (74%) and self-financing (71%). Funding from publishers increased from 18% to 28%, while bank financing decreased from 16% to 7%.
- Over half (52%) of the Spanish video game industry workforce is under 30 years old, with only 5% over 45. The majority of workers (43%) have 3-6 years of experience.
Mobile Market Forecast: 2021-2025
The global mobile application market is entering a period of sustained expansion, with total consumer spending projected to reach $270 billion and annual downloads expected to hit 230 billion by 2025.
- The global mobile application market is projected to reach $270 billion in consumer spending and 230 billion annual downloads by 2025.
- Non-game applications are rapidly gaining market share and are expected to account for nearly 50% of total spending by 2025.
- Non-game revenue is projected to surpass gaming revenue on the Apple App Store as early as 2024.
Go Global Mobile Game: New Insights
During the first half of 2021, China-headquartered publishers ascended to the global leadership position in the mobile gaming market, capturing 23% of overseas consumer spend.
- China-headquartered publishers captured 23% of overseas mobile gaming consumer spend in H1 2021, achieving $8 billion in revenue and 47% year-over-year growth.
- Developers are increasingly adopting a hybridization strategy, integrating casual mechanics into core genres to broaden audience appeal and improve user engagement.
- The 4X March-Battle subgenre remains the leading driver of consumer spend in major markets like the United States and the United Kingdom.
The State of Mobile Gaming 2021
The global mobile gaming industry experienced unprecedented expansion through early 2021, catalyzed by a pandemic-induced surge that drove quarterly revenue to a record $22.2 billion.
- The mobile gaming industry reached a record $22.2 billion in quarterly revenue in early 2021, marking a 33% year-over-year increase.
- The industry is projected to reach $117 billion in annual revenue by 2023, maintaining a compound annual growth rate of 13.5%.
- The freemium model now dominates the market, accounting for 99% of App Store revenue through in-app purchases, subscriptions, and advertising.
Beyond 2021: Where Does Gaming Go Next?
The global games market experienced unprecedented acceleration between February 2020 and May 2021, driven by the unique social and economic conditions of the COVID-19 pandemic.
- The global games market reached $175.8 billion in 2021 and is projected to exceed $218 billion by 2024, representing a compound annual growth rate of 8.7%.
- Mobile gaming remains the dominant sector, accounting for 52% of total industry revenue.
- The pandemic-driven surge added 173 million new or returning players, 53% of whom are female, bringing the global player base to nearly 3 billion.
Next-Gen Mobile Games: The Arrival of Cross-Platform and Evolution of High-Fidelity Mobile Games
Mobile gaming has emerged as the dominant force in the global games industry, projected to generate $90.7 billion in 2021 and represent over half of all global gaming revenue.
- Mobile gaming is the industry's dominant force, generating $90.7 billion in 2021 and accounting for over half of total global gaming revenue.
- The global mobile player base is projected to grow from 2.8 billion in 2021 to 3.2 billion by 2023.
- High-fidelity games with AAA-quality production now account for nearly 70% of the top-grossing iOS titles in China, signaling a shift away from casual-only dominance.
Global Games Market Report 2021: The VR & Metaverse Edition
The global games market is projected to generate $175.8 billion in 2021, representing a marginal 1.1% year-on-year decline.
- The global games market is projected to reach $175.8 billion in 2021, a 1.1% year-on-year decline caused by hardware shortages and AAA game delays.
- Mobile gaming remains the industry's largest segment, generating $90.7 billion and accounting for 51% of total market revenue despite privacy-related marketing hurdles.
- The industry is forecast to reach $218 billion in total revenue by 2024, driven by the long-term growth of the metaverse and social gaming hubs.
PS5 and Next Gen Consoles | Unchained Report
The transition to next-generation gaming hardware, specifically the PlayStation 5 and Xbox Series X, centers on a shift toward technical performance and seamless user experiences.
- The success of the PS5 and Xbox Series X depends less on raw technical specifications and more on the ability of developers to create high-performance software that justifies consumer investment.
- Hardware performance for the new generation is defined by custom AMD RDNA 2 architecture, enabling native 4K resolution at 60 frames per second and the use of high-speed solid-state drives to eliminate load times.
- Microsoft and Sony are pursuing divergent ecosystem strategies, with Microsoft prioritizing a subscription-based model via Game Pass and Sony focusing on high-quality, exclusive first-party titles.