The global subscription-based gaming market was estimated to be valued at USD 7. 82 billion in 2021, and it is expected to reach USD 14. 71 billion by 2027, registering a CAGR of 10. 68% over the forecast period 2022 – 2027.
New York, April 22, 2022 (GLOBE NEWSWIRE) — Reportlinker.com announces the release of the report "Global Subscription-based Gaming Market – Growth, Trends, COVID-19 Impact, and Forecasts (2022 – 2027)" – https://www.reportlinker.com/p06271922/?utm_source=GNW
Key Highlights
Continuous technological advancements in the gaming industry are propelling the industry’s growth. Subscription services, which charge a regular fee for access to a game library, are significantly contributing to the market.
The release of 5G and the emergence of unlimited data plans are also expected to be key factors aiding the success of subscription-based cloud gaming across the world, as most gamers today prefer playing games on their mobile devices. In addition, the increasing services and investments into 5G infrastructure are vital toward this success. According to Ericsson, the number of 5G mobile subscriptions in the Asia-Pacific region is anticipated to reach around 1,545 million by 2025.
5G evolution has also encouraged market providers to ideate subscription-based cloud gaming solutions. For instance, in November 2021, Microsoft launched the beta version of Xbox Cloud Gaming for Xbox Series X/S, and the services are set to be rolled out for tablets, PCs, and Smartphones. Further, the company plans to announce its plans for Xbox Cloud Gaming’s integration of TV and streaming sticks such as Roku.
The Increasing number of service providers operating in markets is increasing at a rapid rate, thus creating a competitive space where vendors are forced to offer benefits to consumers at a loss that may not be sustainable over a long period. Also, once the service provider switches the business plan to turn toward profitability by increasing the prices of the services offered, the consumers may switch to newer players who are offering similar services at competitive prices. Such scenarios are challenging the growth of the service providers.
With the outbreak of COVID-19, the market is witnessing positive growth and the increasing popularity of online multiplayer games, as people stay at home for a maximum time due to lockdowns being imposed by the government. According to the Broadcast Audience Research Council India (BARC) report, the average time spent by gaming users per week in India increased by 44% during the pandemic. The time increased to 3 Hours 38 minutes per week during the COVID-19 pandemic from 2 hours 31 minutes pre-pandemic.
Key Market Trends
Mobile gaming to Drive the Market Growth
Mobile gaming has recently surpassed console and PC gaming as the most popular form of gaming worldwide. One of several factors for the growth of mobile gaming is its availability; almost everyone has a smartphone with games installed on it. Moreover, the increasing demand for mobile games results from various technological advancements and improvements such as AR, VR, cloud gaming, and 5G. This trend is not unexpected, considering the mobile game industry mainly relies on new technology. Other trends in the market include the rise of the hyper-casual game genre.
AR is becoming perfect for mobile gaming owing to its immersive and interactive technology. Moreover, mobile games are the most famous AR category in app stores. Apart from previously released AR mobile games, which are still famous, such as Pokémon Go and Ingress, many new additions to the genre are being made by vendors in the global market, such as Minecraft Earth and Harry Potter: Wizards Unite.
Over the course of 2020 and 2021, many changes occurred in the mobile game development sector. Consequently, game brands have spent more on advertising investment to attract more users and corner sufficient market share. However, one effective way to reduce the cost of the development process is to conduct an early CTR (click-through rate) test. This is especially true if one is in the hyper-casual game sector of the mobile game industry.
Moreover, large companies that develop games for consoles and PCs also publish their games in the Mobile version due to the mobile games market. The most played mobile game of the year 2020 was PUBG Mobile. The franchise’s transition into mobile gaming was seamless, and the results were also quite good. Although the game faced backlash in India because of its Chinese roots, it rebranded itself to be readily accepted in the Indian market.
The most crucial thing that mobile game creators should do is adapt to the new changes and improve their user acquisition approaches. Apple’s new IDFA (Identifier for Advertisers) strategy will continue to have a significant influence on mobile game advertising. Targeted advertising has become much tougher, which has a direct impact on user acquisition and monetization. In 2022, marketing creatives will become more important than ever before. This is what mobile game publishers should invest in and figure out how to make their ads stand out.
Asia Pacific to Account for Highest Market Growth
The Asia Pacific region consists of China, Japan, India, South Korea, and so on, which have strong consumer bases, thereby contributing to the market. China is one of Asia’s most important economies, with increasing technological usage. Significant gaming drivers include rising exports and ongoing innovation in new games and consoles. China is one of the countries in the Asia Pacific region that has seen a major Covid-related surge in its gaming businesses. The gaming business had a fundamental change, and companies started providing a consistent level of pleasure using cloud-based and offline games. Hundreds of millions of people, particularly in rising nations like China, will tend to be attracted to on-the-go entertainment.
Moreover, regulation played a crucial part in developing China’s mobile gaming business before it reached its current state. A bill issued by the Chinese State Council restricted video game content published in China and set limitations on internet cafés and arcades across the country. However, this bill also prohibits the manufacture, import, and sale of most video games and arcade devices in mainland China. Also, in August 2021, the Chinese government-imposed regulations on the maximum time minors can play video games. Under these new regulations, Children and Teenagers are permitted 1 hour of gaming per day on weekends and holidays and are completely banned from online gaming on school days.
The country also witnessed mergers and acquisitions in the market. For instance, in July 2021, Tencent acquired a majority stake in British video game developer Sumo Group. With this acquisition, the company intends to develop expertise and increase resources in the Sumo Group to accelerate the growth of the company in the region of the United Kingdom and across the world.
Further, in December 2021, Tencent acquired Turtle Rock Studios, the developer of Left 4 Dead and Back 4 Blood games, and its parent company Slamfire Inc. This acquisition expands the global reach and deep knowledge of the game development of Tencent Games to be incorporated into Turtle Rock Studios to develop new games.
Competitive Landscape
The Global Subscription-based Gaming Market is considerably competitive, with few major vendors occupying a major market share, and various companies are competing on a regional scale to gain market share. Vendors in the market are expected to compete intensely for gaining large-scale projects, but in local space, smaller vendors are expected to hold prominence over the market.? Major vendors that offer bundled subscriptions are expected to command a higher share of the adoption for their services and the ability to mitigate the risk.
March 2022- Xbox (Game Pass) (Microsoft Corporation) enabled Xbox Game Pass titles to be streamed on Valve’s portable gaming platform. Microsoft has partnered with Valve to make the titles available via Cloud Gaming on the Steam Deck.
March 2022- PlayStation Now (Sony Corporation) announced Shadow Warrior 3, Crysis Remastered, Relicta, and Chicken Police – Paint It Red! will all be available on PlayNow for subscribers.
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Read the full report: https://www.reportlinker.com/p06271922/?utm_source=GNW
About Reportlinker
ReportLinker is an award-winning market research solution. Reportlinker finds and organizes the latest industry data so you get all the market research you need – instantly, in one place.
__________________________
The company's better-than-expected results couldn't counter management's cautious forecast.
Just about every industry has had to take special action to address road bumps in their supply chain. Because of this, two of the sector's titans, Nvidia (NASDAQ: NVDA) and Advanced Micro Devices (NASDAQ: AMD), are getting some extra attention right now from several Wall Street research analysts. Let's dig into what Wall Street is saying about these two stocks.
In this article, we discuss 10 tech stocks that analysts are increasing the price targets of. If you want to see some more tech stocks that were favored by market experts recently, click Analysts Are Increasing Prices Targets of These 5 Tech Stocks. The COVID-19 pandemic propelled the technology sector into overdrive, in terms of […]
Yahoo Finance’s Jared Blikre breaks down how markets opened on Friday.
Approaching mid-year, we can see a clear shape developing for the markets in 2022, one based on increased volatility. The economy as a whole is facing challenges, in the form of inflation, a Fed policy shift, and continuing ripple effects from Russia’s Ukraine war and lingering COVID outbreaks, and investors are looking for pathways through it all. One clear path is to find the beaten-down stocks with potential for near- to mid-term outperformance. These are equities that have underperformed rec
As a result, SoFi shares have tanked 68% in the past six months and are trading near the company's 52-week low. As long-term investors, it's our responsibility to determine if companies like SoFi will be profitable in the future. In SoFi's case, profitability appears very feasible — the company is a participant in a multi-trillion dollar market and continues to report striking financials quarter after quarter.
This acronym, which is a bit dated due to company name changes, stands for five companies: Meta, Amazon (NASDAQ: AMZN), Apple, Netflix, and Alphabet. As we close in on the first half of 2022, Amazon looks poised to reward shareholders handsomely. Amazon Web Services (AWS), the company's cloud-computing service, has a dominant share of the market, with 32%.
Yahoo Finance Live's Julie Hyman and Brian Sozzi discuss first quarter earnings for oil services company Schlumberger.
Shares of AT&T (NYSE: T) jumped 4% on Thursday, following the release of the telecommunications titan's first-quarter earnings results. AT&T added 691,000 net postpaid phone customers, who subscribe to monthly bills and are typically the most profitable accounts for wireless service providers. The telecom giant also gained 113,000 prepaid phone customers.
Also, the case for bonds and dividend stocks, plus how to take advantage of negative market sentiment.
Tesla may have just confirmed that the biggest impediment to Rivian's growth isn't going away anytime soon.
Healthcare giant Johnson & Johnson got a number of price target bumps from sell-side fundamental analysts this week following its latest earnings report. With the shares trading near their highs, let's dig into the charts and indicators to see if the current price advance has staying power. The 12-day price momentum study shows lower highs from March into April even as prices made higher highs — this is a bearish divergence and tells us that the pace of the rise is slowing.
Cloud computing is one of the trendiest, most transformative technologies of the past two decades. Organizations can now provision infrastructure and software services through the internet, eliminating the need for costly on-site hardware. To that end, cloud computing has fundamentally changed the way many businesses operate, making them more agile and efficient.
Cleveland-Cliffs beat top- and bottom-line estimates. The company can thank contract vs. spot commodity pricing.
Shares of fuel cell and hydrogen producer Plug Power (NASDAQ: PLUG) had a roller coaster of a week. On Tuesday, when the company announced a big new deal with Walmart, the stock rose double digits. The early-week surge came after the supplier of hydrogen fuel cells announced a new agreement with existing customer Walmart.
Although there are a lot of ways to make money in the stock market, few investing strategies have delivered the same level of long-term success as buying dividend stocks. The report showed that dividend stocks averaged an annual return of 9.5%, which equates to investors doubling their money every 7.6 years. Meanwhile, the non-dividend stocks scraped their way to an average annual return of just 1.6% over 40 years.
If you’re relatively new to investing, and you think 2022 has been a year from hell, imagine being in the stock market for over 40 years. That would’ve put you through the Great Financial Crisis in 2008-2009, the dot-com crash in 2000, the crash of 1987, and the savings and loan debacle of the 1980s — besides the pandemic bear.
Wall Street is bullish on Palantir because it see catalysts for the company's long-term growth. But the software company's stock price has been cratering.
It is the biggest acquisition financing ever put forward for one person. Elon Musk is doing it his way. More than two-thirds of the $46.5 billion financing package that Musk unveiled on Thursday in support of his bid for Twitter Inc would come from his assets, with the remainder coming from bank loans secured against the social media platform's assets.
Ensemble Capital, an investment management firm, published its first-quarter 2022 investor letter – a copy of which can be seen here. While this recent quarter represents the fund’s largest degree of underperformance, so too did its 2020 results. In 2020 the Fund was up 30.89% vs the S&P 500 up 18.39% for 12.51% outperformance. It […]
