The Video Game Industry Revenue This Year Eclipsed Film and Sports Combined
The video game industry has grown exponentially into one of the most lucrative entertainment sectors worldwide; It generated 31.44 billion dollars in 1990, to 65.9 billion dollars in 2010. Since their popular inception in the 1980s, video games have firmly placed themselves within all facets of culture. This year, they’ll generate the most money they have ever done.
World-wide video game industry revenues will increase by 20%, and will generate 179.7 billion dollars by the end of this year. Comparatively, the film industry reached 100 billion dollars for the first time ever this year. Sports should hit 75 billion.
For the first time, video games have made more revenue than the combined totals of both of these industries. Of course, the COVID-19 virus has had a large part to play. Both the movie and sports industries have struggled to keep a steady revenue flow due to the pandemic’s social restrictions; the film industry lost 32 billion due to the virus, while it’s estimated 2.2 billion dollars of national TV revenue will be lost as a result of the crisis.
Triumphant regardless of the virus
Even without the virus, video games have become a far more accessible, multifaceted, and ultimately more lucrative industry in recent times. Subscription services such as Xbox Live and PlayStation plus were re-vamped during last generation’s series of consoles, offering more features but a higher price tag. Microsoft’s current model of ‘games as a service’ has also served them very well; their Game Pass subscription service now has 10 million subscribers worldwide. (Check out some great Game Pass deal here and here)
Nintendo announced their first paid online service in 2018 with Nintendo Switch Online. The company saw a 33.3% increase in profit in March this year; online services and digital distribution were considered a substantial factor in their success. Both Microsoft and Sony’s new consoles also launched in November to acclaim, packing an incredible punch in the graphics department. The capabilities of both systems compared impressively to the best AMD and Nvidia graphics cards, and at an unbeatable price. (Be sure to keep an eye out for the Amazon listings for the PS5 here and XBOX SERIES X/S here if you haven’t bought one yet)
PC as a platform, of course, still irrevocably offers the ultimate in performance. Benchmarks for Nvidia’s flagship 3090 GPU and AMD’s RX 6900 XT showcased the aforementioned unequivocally. Valve continue to enjoy exponentially increasing revenue every year with Steam, while their Index VR headset is growing more than any other headset. Moreover, VR as a platform has seen greater adoption than ever before. Oculus’s portable Quest headsets are bringing affordable VR to the masses for the first time. ( Get the Oculus Quest 2 here)
The mobile games industry has similarly seen one of the largest profit increases of all, especially during the pandemic. The platform reached 63 billion dollars this year when statistics came out in October, with the free to play model in particular being incredibly popular over recent years. It shows no sign of slowing down – a sentiment which emanates from all facets of the industry.