The projected revenue in the Online Games market worldwide is expected to reach a projected market volume of US$32.56bn by 2027

As someone who grew up playing Pong on a black and white television, the transformation of the gaming world has been nothing short of mind-blowing! The sheer magnitude of the online games market, projected to reach an astonishing $32.56 billion by 2027, is a testament to how far we’ve come since those early days in the darkened bedrooms.

Big numbers, big business

There can be no disputing the fact that the numbers in the worldwide online games market are enormous.  With projected global reach expected to reach US$27.97 billion this year, no one can accuse online gaming of being ‘child’s play’.  The market seems to be growing at an unprecedented rate and is expected to reach a projected market volume of US$32.56 billion by 2027.

Despite these figures appearing substantial, they pale in comparison to the projected size of the global video game market for this year, estimated at around $282.30 billion. This market is expected to expand at an annual rate of approximately 8.76% from 2024 to 2027, reaching a staggering $363.20 billion by 2027. It’s worth noting that the primary driver behind this market growth is in-game advertising, expected to generate nearly $110 billion this year alone.

Back to the future

Step back about three decades, and the realm of gaming was almost exclusively for teenage boys huddled in dimly lit bedrooms. Mothers and fathers would tug at their hair, worried if their terse kids would ever learn to interact or find employment. Little did they know that these youngsters were pioneers, and by now, there are approximately 1.2 billion individuals worldwide who engage in online gaming.

In the 1990s, video games didn’t have much variety and there was no option to play them online. They were either PC or console games, so if you wanted to play with someone else, they had to visit your home and bring an extra controller. The visuals and gameplay were far behind what we have now, and developers could only envision simple scrolling platform games or inaccurate sports simulations.

Online gaming is sociable gaming

These days, internet-based games like Fortnite and World of Warcraft allow players from all over the world to connect and play together. The games provide an immersive and interactive experience within a virtual setting. Players can embark on quests, design their characters, fight adversaries, and even construct their own realms. Top-tier online games maintain compelling narratives that unfold continuously, with fresh content consistently introduced to keep gameplay engaging and thrilling.

From being a solo activity in the past, online games have transformed into platforms that foster new friendships and shared experiences among players. The boundaries between our physical and digital realms are becoming more indistinct. These online gaming communities even gather offline at events such as Game Con Canada, where they engage in traditional gaming sessions, eSports competitions, and the top cosplay contest in Canada.

iGaming fueling growth in the sector

A notable contributor to the expansion and income of online gaming is iGaming, which encompasses online casino games and sports betting. Approximately six out of every ten Canadians admit to participating in real money gambling within the past month. Although online gambling has been a topic of interest for some time, the widespread use of smartphones and enhanced internet connectivity have truly revolutionized the field.

Players in Canada can easily access top-tier gambling apps, allowing them to enjoy online slots and their preferred casino games at any time, anywhere. These apps effectively bring a virtual casino right into their pockets, offering a vast selection of game titles and playing styles. The sophistication of the market means that mobile gaming is just as enjoyable as desktop gaming, with many top Canadian online casinos being designed with a mobile-first approach.

The projected online gambling revenue in the Canadian market is no small feat, expected to hit approximately US$4.19 billion in 2024 and climb further to US$5.46 billion by 2028. Online gaming and iGaming are significant components of Canada’s overall gaming landscape, with growth also observed within and across social media platforms. In these games, virtual casino gambling can serve as a substantial means of rewarding players and helping them advance.

Gaming on the go

It’s worth noting that this trend isn’t exclusive to Canada, but focusing on a single market can provide valuable insights. With smartphones becoming ubiquitous worldwide, more activities such as gaming and iGaming are being done on-the-go. Mobile games cater to various tastes, from those seeking immersive storylines to sports enthusiasts and casual gamers who enjoy titles like Among Us or Roblox. Popular games like Fortnite: Battle Royale and PUBG continue to lead the market and influence online gaming trends.

The next big thing?

As a tech enthusiast, I’ve learned over the years that predicting the next big trend can be a tricky business. Recall the hype around the metaverse and gaming in the future? Or the song lyrics about living in 3000 AD underwater? Yet, there’s one potential trend for 2025 that I wouldn’t mind putting my money on, if you catch my drift.

The highly-anticipated Grand Theft Auto 6 is expected to make a big splash in the gaming world. It’s currently the most eagerly awaited game, having garnered numerous accolades that confirm its status. So far, Rockstar Games has only hinted at a fall release, which has created quite a stir among other publishers who are cautious about launching their own games alongside this certain hit. Yet, they don’t want to miss the opportunity if the release date gets delayed.

There’s a possibility that a standoff over game releases similar to a game of “chicken” might occur. If Rockstar launches their new title too soon, it may be overshadowed by rival games still eagerly anticipated like GTA 6. Conversely, releasing it too late could result in a self-inflicted setback. The latest offering from Rockstar has been under development for a decade and has experienced numerous alterations. When the first Grand Theft Auto games debuted, online gaming was not yet available. Given the long wait, there’s a potential that the release could be delayed until 2026.

Without a fortune teller, I’d advise you to exercise patience, but let me assure you, the momentum in online gaming is at an all-time high with no indications of it slowing down any time soon.

 

Featured Image by Szymon Jasiński from Pixabay

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2024-12-19 15:16