Revenues in the video game industry are expected to grow in 2023, partly due to the success of the PlayStation 5, as reported by market research firm Newzoo. This would be a positive development for the global gaming business, which experienced a 5% decline in revenues in 2022.
Quick Facts
- Global spending on games in 2023 is predicted to increase by 2.6% to $187.7 billion, with a 7.4% boost in console sales.
- More than $90 billion, or about 50% of the total global gaming revenue for 2023, is expected to come from the mobile game market.
- High-profile new releases in 2023 include Starfield, Assassin’s Creed Mirage, Spider-Man 2, and Forza Motorsport, as well as a 1 TB Xbox Series S.
Reuters states that the growth in worldwide game spending in 2023 can be attributed to an increase in console sales, driven by the easier availability of the PlayStation 5. Newzoo also cites the delay of several games from 2022 to 2023 as another factor contributing to the projected revenue growth.
Newzoo analyst Tom Wijman explains that many eagerly awaited delayed titles were launched in 2023, with more scheduled for release in the second half of the year. He adds that the supply of new consoles has finally caught up with demand.
The mobile game market is highlighted as a significant and lucrative sector, with more than $90 billion expected to be generated in 2023, accounting for about 50% of the total global gaming revenue.
Supply chain issues affected the availability of the PlayStation 5 in particular, but these challenges have largely been resolved, making the console easier to find. As a result, the PlayStation 5 has become the best-selling console in the US in 2023 so far, surpassing the Switch and Xbox.
It is important to note that Newzoo’s report is only a projection of what might happen in 2023, with final figures not available until the new year.
In addition to the upcoming high-profile game releases, new hardware such as the 1 TB Xbox Series S is also expected to launch in 2023.
