Global Mobile Games Market Size & Growth (2020 – 2024)
The global mobile games market is expected to record a CAGR of 14% during the forecast period 2020-2025, with a number of active mobile players reaching 3.1 billion in 2020. Mobile games have skyrocketed in last few years with the increasing penetration of smartphones and the availability of internet data at affordable prices.
Innovative technologies like the VR and AR are foreseen to become crucial in the global mobile gaming market in future. Games like Niantic Lab’s Pokemon Go and Harry Potter: Wizards Unite are location-based games that are based on augmented reality and use Google Maps to augment a mythical world into the reality. Players search for hidden characters on their mobile screen, and in the real world they end up walking several kilometers, which is reflected in their Google Fit app, which helps players track distance and steps. This development is known to create immense growth potential for the development of the target market.
- November 2018 – Rovio Entertainment Corp. acquired PlayRaven Oy. This acquisition strengthens Rovio’s expansion in mobile strategy games.
- November 2018: Jam City announced a multi-year mobile game development partnership with Disney. Jam City with this deal obtains the right to create new games that are based on iconic characters from Pixar and Walt Disney Animation Studios. The first game the companies plan to implement are based on Disney’s animation movie Frozen.
Impact of Covid-19 on Mobile Games Market:
As a result, one of the engines of growth this year is increased interest in gaming due to COVID-19 related blocking measures. However, the launch of next-generation consoles towards the end of the year is also a key factor.
Coronavirus blocking measures are anticipated to result in a hike in the consumer spending on gaming, especially mobile. All gaming segments have seen an increase in engagement and revenue following COVID-19 measures, but mobile games have seen the largest increase. Overall, mobile gaming will generate revenue of $ 77.2 billion in 2020, up 13.3% year-over-year.
Market growth and trends:
- Free-to-play is the pricing model preferred by most mobile game developers due to its unlimited potential and can be downloaded free of charge. This allows players to try out a game before deciding whether they want to spend time or money, and they tend to generate higher income.
- Games like Pokémon GO follow a free game model and, according to Bank of America, in the United States in 2016, 27 million users played it, and it is estimated that it will exceed 67 million by 2020. And In the region of Asia and the Pacific, the number of players is expected to increase from 84 million to 311 million in the same time period. Therefore, the growing number of users must have a positive view of the market.
- Additionally, Hyper Casual games are primarily monetized through advertising and captured over half of all game app downloads for 2017. Focusing on the future of these games, Zynga purchased Gram Games for around $ 250 million in 2018, and in the same period, Goldman Sachs invested over $ 200 million in Voodoo.
- In addition, this model should evolve with the development of technologies such as augmented reality and 5G. With the rollout of 5G, coupled with faster download speeds, advertising videos are hoping for increased quality and engagement.
- For example, in April 2019, Hatch, along with Samsung, launched 5G cloud games in the United States with the launch of the Hatch app for Samsung. With Samsung’s first 5G flagship phone, the Galaxy S10 5G, customers were able to play popular games like Hitman GO, Monument Valley, and Arkanoid Rising instantly via streaming.
Therefore, due to the factors mentioned above, the free pricing model is expected to play a pivotal role in the mobile gaming market in the future.
Drivers and Market Restraints:
The global mobile games market is expected to experience substantial growth during the forecast period due to the expected change of players from pre-installed consoles and computer games to games on smartphones and tablets. The increasing popularity of online games on mobile platforms is expected to gain importance at the expense of online computer games. While there is a short-term improvement this year due to blocking measures, next-gen consoles and related content are essential to start a new phase of growth in this segment.
However, the mobile gaming market is seasonal in nature, which means that the popularity of games is fading with the days; therefore, the demand for new games is difficult to predict, which helps to boost market growth.
The global mobile games market can be segmented mainly based on the devices and operating system. Depending on the device, the market can be branched off into smartphones and tablets. Android, iOS and Windows are the three main operating system platforms on which mobile games are developed. Although the Android operating system accounts for a significant volume of game downloads, iOS segment is expected to generate higher revenues due to the paid nature of apps and games.
The United States, Brazil and Mexico in the Americas region are foreseen to become lucrative markets for online and mobile games in terms of growth and monetization potential. The Asia-Pacific regional market is supposed to witness an increase in the number of players during the outlook period. The regional markets of Europe and the Middle East are also estimated to show high growth potential.
In addition, China is home to many mobile game publishers, such as Tencent Holdings Ltd. Tencent Holdings is one of the largest games companies in the world and is primarily active in the mobile gaming arena. In March 2019, the company invited developers to create games on its social media and messaging app WeChat.
Key market players:
Major players in the global mobile games market include Tencent Holdings, Electronic Arts, Activision Blizzard, Nintendo, Ubisoft, Zynga, and TakeTwo Interactive.
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Mobile Games Market, By Device
6.1.3 Market Size Estimations & Forecasts (2019-2024)
6.1.4 Y-o-Y Growth Rate Analysis
6.1.5 Market Attractiveness Index
6.2 Mobile Games Market, By Operating System
6.2.4 Market Size Estimations & Forecasts (2019-2024)
6.2.5 Y-o-Y Growth Rate Analysis
6.2.6 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America – Market Analysis (2018 – 2024)
7.2.1 By Country
7.2.2 By Device
7.2.3 By Operating System
7.3.1 By Country
126.96.36.199 Rest of Europe
7.3.2 By Device
7.3.3 By Operating System
7.4 Asia Pacific
7.4.1 By Country
188.8.131.52 South Korea
184.108.40.206 South East Asia
220.127.116.11 Australia & NZ
18.104.22.168 Rest of Asia-Pacific
7.4.2 By Device
7.4.3 By Operating System
7.5 Latin America
7.5.1 By Country
22.214.171.124 Rest of Latin America
7.5.2 By Device
7.5.3 By Operating System
7.6 Middle East and Africa
7.6.1 By Country
126.96.36.199 Middle East
7.6.2 By Device
7.6.3 By Operating System
8. Key Player Analysis
8.1 Tencent Holdings
8.1.1 Business Description
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.2 Electronic Arts
8.3 Activision Blizzard
8.7 TakeTwo Interactive
9. Market Outlook & Investment Opportunities
List of Tables
List of Figures