Video Game Market Redefining Performance with Technological Boost, says Market.us

The market will grow due to technological advancements and continual innovation in hardware and software that improve real-time rendering graphics. Market growth will be driven by the proliferation of smartphones and increasing internet penetration.

According to Market.us, “The Video Game Market is projected to reach a valuation of USD 641.01 billion by 2032 at a CAGR of 12.6%, from USD 195.65 billion in 2022.” 

With a revenue share exceeding 53%, the Asia Pacific market dominated the market in 2021. China’s rise as a major gaming center has allowed the region to dominate the global market. The growth of the market is being driven by the unabated rise in smartphone penetration in China.

Anurag Sharma, a senior research analyst at Market.us, said, “Key players have been introducing new gaming features that will drive the market’s growth in the next years.  Advanced computer graphics, voice recognition, and downloadable content features all enhance user experience and drive demand for the video gaming industry.” 

The global economy suffered greatly from the COVID-19 pandemic, but the video game industry showed remarkable growth. As part of efforts to stop the spread of coronavirus, various governments around the world placed restrictions and lockdowns on movement. This forced people to stay indoors and encouraged them to play online games. Many gaming companies offered their online games free of charge.

The popularity of online gaming has increased due to increasing preferences for it. Therefore, game developers are now focusing on the compatibility of hardware and its efficiency. The shifting consumer preferences and increasing disposable income are driving widespread adoption of sophisticated gaming consoles that have advanced features like record & share or cross-platform gameplay.

To attract new customers, game developers have started launching a range of games via social media. E-sports tournaments are gaining popularity and professional gamers are driving sales of accessories and video games. Gaming as an educational tool for cognitive learning is also being investigated. While the concept of “gaming for learning” is still in its infancy stages, it is slowly gaining ground.

However, rising sales of counterfeit goods, especially in China and Indonesia due to their lower prices, do not bode well. There are potential threats to market growth such as growing concerns about data security, piracy protection, and rising instances of fraud in gaming transactions. Over the forecast period, the market is expected to be restrained by an increase in disorders and health problems resulting from video game addiction.

Due to an increase in online gamers, multiplayer online games (MMO), as well as free-to-play games (F2P), are increasingly popular. This trend is expected to continue for several more years. Video game developers are putting greater emphasis on compatibility and efficiency. Shifting consumer preferences and higher levels of discretionary wealth around the globe are driving widespread adoption of sophisticated gaming consoles that have advanced features such as record-and-share and cross-platform gaming. These factors are driving the widespread adoption of gaming consoles with advanced features.

Game developers are realizing that people use social media to find the game they want. Game developers now launch a range of social media games in an effort to attract new customers. These include strategy and role-playing. Video games and other equipment are seeing an increase in sales due to the increasing number of professionals competing in them. Investigating the possibility of gaming being used to promote cognitive learning is another area that is being explored. While the idea of using video games for learning new material is still in its infancy stages, it is steadily gaining acceptance.

E-sports or, more commonly, sports games have made it possible to create a new trend in the video gaming industry. Due to rapid improvements in the processing power of gaming consoles, there has been a huge increase in demand for video games all over the globe.

Aside from this, computer graphics technology has made video games more immersive. These technological advances are so significant that experts believe gaming technology is not a limitation but an enabler of rapid global growth.