The video game industry has come a long way since its inception, with revenue and growth continuing to rise at an impressive rate. In this article, we will explore the size of the video game industry in 2016, using data and statistics to show just how big it truly is.
Global Revenue
According to a report by Newzoo, the global video game market was worth $89.3 billion in 2016. This represents a massive increase from just $50.7 billion in 2013, and it shows that the industry is growing at a rapid pace. The report also predicts that revenue will continue to rise, reaching $142.8 billion by 2020.
Growing Audience
The increasing popularity of video games is another factor contributing to the growth of the industry. According to a survey by Statista, there were 3.5 billion gamers worldwide in 2016. This represents a significant increase from just 2.4 billion gamers in 2013. This shows that video games are becoming more popular and accessible to a wider audience, which is driving revenue growth.
Platforms and Publishers
The video game industry is made up of many different platforms and publishers, each contributing their own share to the overall market. In 2016, the top-performing platform was mobile, with revenue of $43.7 billion. This represents a significant increase from just $29.5 billion in 2013. The success of mobile games has helped to drive growth in the industry as a whole.
In terms of publishers, EA, Activision Blizzard, and Ubisoft were the top three performers in 2016, with revenue of $8.7 billion, $7.9 billion, and $6.9 billion, respectively. These companies have been able to maintain their position in the market through a combination of successful game franchises and smart business strategies.
Growing Trends
The video game industry is also being driven by several growing trends, which are helping to fuel growth and innovation. One such trend is the rise of eSports, which has become increasingly popular in recent years. In 2016, revenue from eSports was estimated at $3.2 billion, up from just $1.5 billion in 2014. This shows that eSports is a growing area of opportunity for the industry.
Another trend is the rise of virtual reality (VR) and augmented reality (AR), which are becoming increasingly popular among gamers. In 2016, revenue from VR and AR was estimated at $1.8 billion, up from just $93 million in 2014. This shows that there is significant potential for growth in this area of the industry.
Case Study: Fortnite
Fortnite is a popular online multiplayer battle royale game that was released in 2017. The game has since become hugely successful, with millions of players worldwide. In just one month (September 2018), the game generated $65 million in revenue, making it one of the most successful games in history.
This success can be attributed to a number of factors, including its addictive gameplay, frequent updates and events, and smart business strategies such as partnering with popular brands and celebrities. Fortnite’s success shows just how much potential there is for new and innovative games in the industry.
Conclusion
In conclusion, the video game industry is growing at a rapid pace, with revenue reaching $89.3 billion in 2016.