Set to be a US$272 billion industry by 2030, up from $98 billion in 2020, mobile gaming has become the dominant segment in the global video games sector. The industry will record a compound annual growth rate (CAGR) of 11% over the ten years, according to data and analytics company GlobalData.
With the upcoming 5G revolution around the corner, new processors and improved display technologies are making mobile platforms more game ready than before. Every games company must develop expertise in this area to stay relevant, GlobalData assured in its latest thematic report, “Thematic Research: Mobile Gaming”.
“Mobile gaming is already bigger than the console and PC gaming markets combined, contributing nearly 57% of global video games revenue in 2020. The growing maturity of streaming (supported by 5G), cloud gaming services and mobile e-sports – combined with the fact that mobile platforms are close to technical parity with PCs and consoles – means most gamers will embrace mobile gaming in the next few years. As a result, it will continue to account for the lion’s share of the global video games revenue over the next ten years,” said Rupantar Guha, Associate Project Manager for Thematic Research at GlobalData.
According to Guha, “mobile gaming expertise is a must-have for all games companies. Traditional console and PC game publishers such as Activision Blizzard and EA are increasingly focused on the popular mobile gaming and its lucrative revenue opportunities. They compete with companies such as Tencent, Sea and Perfect World, which primarily focus on mobile gaming. Social media companies (e.g., ByteDance) and online advertisers (e.g., AppLovin) are also moving into mobile games publishing”.
Lastly, Guha believes that 5G will drive the next wave of innovation in mobile gaming. “5G networks allow games to be downloaded faster than current 4G networks and aid the development of mobile-based cloud gaming services and augmented reality (AR) games. With the ability to support one million devices within a single square kilometer, 5G will drive more users towards mobile gaming, especially multiplayer titles. This, in turn, will boost the growth of mobile e-sports,” he concluded.
Mobile gaming is already bigger than the console and PC gaming markets combined, contributing nearly 57% of global video games revenue in 2020” Rupantar Guha Associate Project Manager for Thematic Research at GlobalData