Video Games Europe

The 2025 European Key Facts report provides a comprehensive analysis of the video game sector across 16 European countries, including the UK, France, Germany, and Italy. Produced by Video Games Europe and the European Games Developer Federation, the publication serves as a definitive overview of the industry’s economic performance, employment landscape, and player demographics. The data is synthesized from GameTrack Ipsos research, Games Sales Data, and internal industry member contributions, utilizing a 95% confidence interval for population extrapolations to ensure statistical robustness.

The industry demonstrates significant scale, generating €29.7 billion in revenue with a clear shift toward digital distribution, which now accounts for 91% of total earnings. The European market supports 8,700 studios and provides employment for 123,000 individuals, 24% of whom are women. The player base remains broad and diverse, encompassing 199 million individuals aged 6 to 75, representing 51% of the total population in the surveyed regions. The average player is 34 years old, and women comprise 46% of the total gaming population.

Engagement remains consistent, with players averaging nine hours of gameplay per week. Mobile devices dominate the landscape, with 82% of players utilizing smartphones or tablets, followed by consoles at 47% and PC at 34%. In terms of revenue contribution by platform, smartphones and tablets lead with 49%, followed by consoles at 30% and PC at 12%. These findings underscore the continued maturity and digital-first nature of the European gaming market, highlighting its role as a major contributor to the regional economy and a central pillar of modern digital entertainment.

The European gaming market experienced a notable contraction in 2025, marking the first significant revenue decline in eight years. Across the five largest European markets (EU5), revenue fell 4% year-over-year to 25.7 billion euros, a downturn largely attributed to a sharp collapse in the console segment, which saw its revenue share drop from 38% to 30% in a single year. While the broader sixteen-country (EU16) analysis reported total earnings of 29.7 billion euros, the shift in market scope makes direct year-over-year comparisons challenging. Digital distribution remains the dominant revenue driver, accounting for 91% of total sales.

The industry landscape is characterized by a massive, diverse audience of 199 million players across the EU16, representing 51% of the population aged 6 to 75. The average European gamer is 34 years old, with women comprising 46% of the total player base. Despite this reach, gaming continues to trail other media in terms of weekly engagement, with the average player spending 8.9 hours per week on games compared to significantly higher figures for social media and television. Employment within the sector also saw a decline, with 123,000 professionals currently working across 8,700 studios.

Methodologically, the findings rely on a comprehensive dataset including GameTrack surveys of 39,371 respondents, actual GSD sales data, and industry reports from the European Games Developer Federation. A significant regulatory shift is underway with the introduction of the most extensive PEGI reform since 2003. Effective June 2026, the system will classify games based on functionality—such as in-game purchases, random items, and engagement-based mechanics—rather than just content. These new standards, which carry strict penalties for non-compliance, will apply to both new releases and existing titles, signaling a major transition in how European developers must approach monetization and game design.

Video Games Europe has formally submitted a series of proposed amendments to the European Union’s Digital Omnibus, a legislative framework aimed at streamlining data protection and digital governance. The primary objective of these suggestions is to clarify and refine regulatory requirements for the video game industry, specifically concerning the intersection of artificial intelligence development, data privacy, and administrative compliance. By advocating for these adjustments, the organization seeks to ensure that the evolving digital landscape remains conducive to innovation while maintaining robust protections for European consumers.

The proposed amendments focus on several critical areas of the General Data Protection Regulation (GDPR) and related digital policies. Key areas of concern include the parameters for scientific research, the handling of special categories of personal data during the development and operation of AI systems, and the practical limitations regarding data subject access requests. Furthermore, the submission addresses technical operational requirements, such as data breach notification protocols, data protection impact assessments, and the integration of cookie regulations into broader data protection frameworks.

The scope of these recommendations is pan-European, reflecting the industry's need for a harmonized regulatory environment across the continent. By targeting specific articles—such as Article 33 regarding data breaches and Article 88a concerning cookie rules—the industry body aims to reduce legal ambiguity for developers and publishers. These suggestions represent a strategic effort to align legislative mandates with the technical realities of modern game development, ensuring that data management practices remain both compliant and operationally feasible within the European digital market.

Video Games Europe has publicly endorsed a joint statement that raises alarms about the Digital Networks Act’s potential impact on net neutrality. The organization argues that the DNA could undermine the principles of an open internet, particularly by imposing restrictive rules on IP interconnection that may disadvantage smaller content providers and game developers. The statement emphasizes the need for clear, balanced regulations that preserve competition while protecting consumer interests.

Key concerns highlighted include the risk of mandatory interconnection obligations creating a “one-size-fits-all” framework that fails to account for the diverse technical and economic realities of different network operators. Critics warn that such mandates could lead to increased costs, reduced innovation, and a stifling of new entrants in the gaming sector. The statement also calls for transparent oversight mechanisms and a collaborative approach to policy development, suggesting that industry stakeholders should be actively involved in shaping the DNA’s implementation.

The scope of the critique is European, focusing on the regulatory environment across EU member states during the DNA’s drafting and forthcoming enforcement period. The statement draws on industry experience, citing examples from recent network disputes and the evolving landscape of digital content delivery. Methodologically, it relies on expert testimony and sectoral data rather than a formal survey, underscoring the urgency of addressing net neutrality concerns before final legislation takes effect.

Video Games Europe has formally responded to the European Data Protection Board’s public consultation on its draft DPIA template, expressing apprehensions that the current wording could transform data protection impact assessments into overly prescriptive, technical, contractual or operational catalogues. The association argues that such a shift would exceed the scope mandated by Article 35 of the General Data Protection Regulation, which requires DPIAs to be proportionate and risk‑based rather than exhaustive procedural checklists. By highlighting this potential misalignment, Video Games Europe seeks to preserve the flexibility and practicality of DPIAs for industry stakeholders while ensuring compliance with GDPR principles. The response underscores a broader concern that overly detailed templates may stifle innovation and impose unnecessary administrative burdens on game developers, publishers and related service providers across Europe. The association’s position calls for a balanced approach that maintains the regulatory intent of DPIAs without converting them into rigid operational manuals.

Video Games Europe has formally joined a coalition of industry stakeholders to advocate for a strategic recalibration of consumer protection policies within the European Union. The primary objective of this initiative is to influence the development of the Digital Fairness Act by ensuring that future regulatory frameworks prioritize the principles of simplification and Better Regulation. By addressing European Commission leadership, the industry seeks to align legislative efforts with practical, efficient, and effective consumer protection standards that avoid unnecessary administrative burdens.

The initiative emphasizes the need for a balanced regulatory environment that protects digital users while fostering innovation and maintaining the competitiveness of the European video game sector. The industry position argues that existing and proposed consumer protection measures should be streamlined to provide clarity for both businesses and consumers. By promoting a more coherent regulatory trajectory, the signatories aim to prevent fragmented or overly complex rules that could hinder the digital economy.

This advocacy effort represents a coordinated response from the broader technology and gaming sectors to ongoing EU policy discussions. While the scope is focused on the European digital market, the underlying thesis is that effective regulation must be evidence-based and proportionate to the risks involved. By engaging directly with policymakers responsible for justice and consumer protection, the industry aims to ensure that the Digital Fairness Act serves as a functional tool for market integrity rather than an obstacle to industry growth and digital development.

Video Games Europe has formally submitted its recommendations to the European Commission regarding the Digital Fitness Check, an initiative aimed at evaluating the effectiveness and coherence of the current EU digital regulatory framework. The primary thesis of the submission is that the existing legislative landscape for digital businesses has become increasingly complex, necessitating a more rigorous assessment of regulatory burdens, legislative consistency, and the empirical justification for new restrictions.

The organization advocates for a comprehensive review that accounts for the cumulative compliance burden imposed by various frameworks, including the EU consumer law acquis and the AI Act. A central recommendation is that the Commission must evaluate not only existing laws but also the foreseeable impact of upcoming legislation to prevent regulatory overlap and operational friction. Furthermore, the submission emphasizes the need for a stronger evidence-based approach when proposing new regulatory measures, ensuring that interventions are grounded in clear, objective data rather than speculative requirements.

To improve the regulatory environment, the industry body calls for enhanced coordination among national regulators. Specifically, it suggests that these authorities should be mandated to engage in formal consultation and cooperation processes to ensure a harmonized application of rules across the European Union. By focusing on these structural improvements, the industry seeks to foster a more predictable and sustainable environment for digital innovation and consumer protection within the European market.

Video Games Europe submits a policy position urging the European Commission to retain the existing exemption for electronically supplied non‑audiovisual copyright‑protected content within the Geo‑Blocking Regulation. The argument rests on preserving commercial freedom for right‑sholders, safeguarding investment in high‑cost creative production, and avoiding administrative burdens that could undermine the sector’s competitiveness across the EU.

Analysis of the Commission’s 2020 short‑term evaluation and subsequent 2024 staff documents indicates that cross‑border demand for video games is modest, with consumer surveys showing low interest in accessing titles from other Member States. Availability gaps are confined mainly to low‑demand or low‑rated games, while the prevailing licensing model is already largely non‑territorial and non‑exclusive. Modelling suggests that extending nondiscrimination rules could depress developer and publisher revenues, as any increase in consumption would likely be offset by price reductions, and could complicate national transparency requirements such as age‑rating systems.

The scope of the assessment covers the entire European Union, drawing on industry‑wide data that 54 % of the European population engages in gaming, a sector employing over 116 000 people and generating €26.8 billion in revenue. The position paper references the Commission’s own evidence base rather than conducting an independent survey, relying on publicly available evaluation reports and the association’s annual Key Facts statistics.

By maintaining the current exemption, the industry aims to ensure that creators retain control over digital distribution, thereby supporting continued investment in quality content and reinforcing Europe’s standing in the global video‑games market.

The European video‑games sector, generating €26.8 billion in revenue in 2024 and employing more than 116 000 people, is presented as a distinct hybrid of cultural and technological activity that warrants explicit inclusion in the General Block Exemption Regulation (GBER). By classifying video games as an “experimental development” field, the aim is to eliminate legal uncertainty, harmonise state‑aid rules across the Union and enable Member States to support the industry with greater certainty and efficiency.

Evidence from national programmes demonstrates that targeted aid already yields strong economic returns at modest fiscal cost. In France, a tax‑credit scheme raised the share of locally produced content from 63 % to 77 % and added €322 million of production value, while Germany’s support generated between €1.60 and €2.00 of additional project spending for each euro of aid and created 1 725 new jobs. These outcomes illustrate the sector’s capacity to stimulate investment, localisation and employment when supported by clear, predictable incentives.

The argument stresses that video games drive digital innovation, new business models and skills development, reaching 54 % of Europeans and contributing to broader research‑and‑development objectives. Aligning GBER provisions with existing Horizon Europe mechanisms and introducing a modernised “cultural test” would clarify eligibility for research, development and innovation (RDI) activities, fostering a more coherent policy environment.

Adopting a dedicated GBER category for video games would therefore support a rapidly growing industry, reinforce the EU’s cultural‑technological agenda and ensure that public funds are deployed effectively across all Member States.

The paper argues that the European Union’s expanding digital regulatory landscape is creating overlapping and burdensome compliance requirements for the video‑games sector, threatening its global competitiveness. It calls for a coordinated “Digital Omnibus” that streamlines rules while preserving consumer protection, emphasizing that simplification must translate into tangible reductions in administrative and legal costs for companies.

Key recommendations focus on six regulatory areas. First, greater legal certainty is needed for cross‑border data transfers, with clearer guidance on the use of Standard Contractual Clauses and the impact of their termination. Second, the rollout of the Data Act should include a grace period to accommodate long‑development cycles of consoles and to avoid data‑leak risks. Third, modest adjustments to the GDPR are urged to harmonise enforcement across Member States and to curb abusive data‑subject requests. Fourth, the ePrivacy framework should be modernised but retain the ability of game providers to process communications for safety, harassment prevention and cheating detection. Fifth, the Cyber Resilience Act requires precise definitions of “substantial modification” and practical guidance on CE marking for software distributed via app stores, with a shorter security‑update horizon for consoles. Sixth, the AI Act should be applied proportionately, recognising the low‑risk nature of most video‑games.

The scope covers the EU digital market in 2025, targeting video‑game developers, publishers and platform operators. The position draws on industry data—Europe’s video‑games market is valued at €26.8 billion, supports 116 000 jobs, and reaches 54 % of Europeans—and on an OECD study estimating that full data localisation would cut global GDP by 4.5 % and reduce exports by 8.5 %. No primary survey is cited; the analysis is based on sector observations and existing economic research. The overall thrust is to achieve regulatory coherence that safeguards users while enabling the European video‑games industry to thrive internationally.

The response to the public consultation on the Digital Fairness Act argues that the European Union’s existing consumer‑protection framework, together with the continent‑wide PEGI rating system and Germany’s USK scheme, already delivers the breadth, flexibility and enforcement capacity required to safeguard minors and ensure transparency for in‑game currencies and loot‑box‑type rewards. By emphasizing self‑ and co‑regulatory measures—clear real‑world cost calculations for virtual currencies, mandatory disclosure of reward probabilities, 48‑hour refunds for unused purchases and robust, default‑zero‑spend parental‑control settings—the industry contends that new, draconian legislation would jeopardise a sector that generated €26.4 billion in 2024.

Empirical evidence underpins the argument that current safeguards are effective: only about 18 % of children are permitted to buy in‑game items, 95 % of purchases are supervised, 79 % of parents recognise PEGI labels, and 80 % are familiar with USK age ratings. Survey data also show that parental‑control tools now allow consent to data processing, limit communication and content sharing, and are audited by self‑regulatory bodies such as USK. Multilingual awareness campaigns have been deployed across 16 EU countries, partnering with family and media‑literacy organisations to promote joint play and responsible spending.

The industry further maintains that the EU’s Consumer Rights Directive, Digital Content Directive, Data‑Protection Regulation, AI Act and Digital Services Act already cover “dark‑pattern” and vulnerability‑targeting practices. It calls for concrete, industry‑co‑created guidance rather than expanded definitions that could dilute legal certainty and impose disproportionate compliance costs, especially for subscription‑cancellation mechanisms. Reclassifying in‑game currencies as “digital representations of value” would strip existing protections and generate an impractical proliferation of contracts.

Overall, the position presented seeks to preserve the balance between consumer information, the right of withdrawal and market innovation, urging legislators to enforce and refine current rules while supporting the video‑games sector’s self‑regulatory governance structures that span the EU and address both economic and child‑protection concerns.

Video Games Europe submits a position in response to the European Commission’s call for evidence on an Action Plan against cyberbullying, arguing that the sector already implements a robust “safety‑by‑design” framework and that cyberbullying is comparatively rare within video‑game environments. The central thesis is that a harmonised EU approach should recognise the distinct risk profiles of digital services, rely on empirical data, and integrate self‑regulation, parental involvement and targeted awareness campaigns.

Empirical evidence underpins the argument. A market‑research study commissioned from Jigsaw surveyed 2,500 teenagers (aged 12‑15) and 2,500 adults across France, Germany, Italy, Spain and the United Kingdom. Only 12 % of teens and 3 % of adults identified video games as a source of recent online harm, versus 70 % and 63 % respectively for social media. Bullying was reported by 5 % of teens and 1 % of adults in gaming contexts, compared with 67 % and 69 % on social platforms. Parallel findings from an OFCOM‑commissioned UK survey (2,080 adults, 2,001 children, early 2022) showed 2‑3 % experiencing harms via gaming. The Insafe helpline’s Q1 2025 data corroborated these trends, attributing 8 % of reported issues to gaming platforms, against 68 % for social media and 20 % for messaging services.

The sector’s preventive architecture rests on five pillars: the PEGI age‑rating system with scientifically backed criteria; a contractually enforceable Code of Conduct that bans illegal or harmful content and mandates reporting mechanisms; community‑management tools such as automated toxicity detection, moderation and bans; parental‑control solutions supported by multilingual awareness campaigns in 14 countries; and independent consumer redress through a complaints board and enforcement committee. These mechanisms aim to keep online interaction safe for minors while preserving the openness of the market.

Policy recommendations stress that an EU‑wide anti‑cy