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Japanese Gamers Spend the Most, making it the #3 Country Globally We forecast the console segment to grow to $39.0 billion in 2021 with a CAGR of +4.1%. Furthermore, live streaming and esports will be fully embraced by the console segment by 2021, further driving player engagement. We also see further room for growth in the console segment if publishers continue to improve in-game spending options while retaining the upfront price point.

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вЂњWhile we expect engagement with PC games to continue to grow, driven by competitive play and esports, this will only partially translate to higher revenuesвЂќ. The total PC gaming market will grow at a CAGR of +1.8% between 20 as the continued shift from browser PC to mobile games cuts revenues from the browser segment in half between 20. In addition, average prices for pay-to-play PC games have been declining in recent years, putting downward pressure on the segmentвЂ™s overall revenue growth.

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Most importantly, we believe that some of the most popular titles are already operating at close to their full monetization potential and, at the same time, are unlikely to be displaced by new games soon. While we expect engagement with PC games to continue to grow, driven by competitive play and esports, this will only partially translate to higher revenues for several reasons. The Future Also Looks Bright for PC and ConsoleДownloaded/boxed PC games will grow with a CAGR of +4.2% from 2017 to 2021, generating $32.3 billion in 2021.

PC gaming will generate $32.9 billion, making it is the smallest gaming segment with a 24% market share. This year, console will generate $34.6 billion and capture 25% of the market. вЂњIn the span of a decade, mobile gaming will have grown from the smallest segment in 2012 to a 100-billion-dollar industry in 2021вЂќ.Д«oth PC and console games have shown steady growth over the past few years. By then, smartphone and tablet games combined will generate 59% of revenues in the entire market. In the coming years, mobile game revenue growth will continue to outpace the overall games market, growing to $106.4 billion in 2021. Remarkably, the rise of mobile gaming has not significantly cannibalized revenues from PC or console gaming markets. In the span of a decade, mobile gaming will have grown from the smallest segment in 2012 to a 100-billion-dollar industry in 2021. Mobile Gaming to Be a 100-Billion-Dollar Market by 2021 Maintaining a double-digit growth rate for 10 years is truly remarkable it would be an accomplishment for a single company, let alone an industry that has been around for multiple decades. We expect that consumer spend on games will grow to $180.1 billion by 2021, a CAGR of +10.3% between 20.Д¬onsidering that global games market revenues were $70.6 billion in 2012, this puts the 10-year CAGR for theВ market (2012-2021) at +11.0%. In our latest update, we also present our forecasts for the global games market toward 2021. The Games Market Is on Track for a Decade of Double-Digit Growth Console gaming is the second-largest segment generating $34.6 billion in 2018, while PC games will bring in $32.9 billion. Smartphones will account for 80% of this, or $56.4 billion, with the remaining 20% coming from tablets. This means that for the first time, more than half of all game revenues will come from the mobile segment.

In total, mobile revenues will grow +25.5% year on year to reach $70.3 billion. Mobile gaming will continue to be the largest segment following 10 years of double-digit growth since the first iPhone was launched in 2007. Digital game revenues will take 91% of the global market with $125.3 billion. This represents an increase of +13.3% from the year before, or $16.2 billion.

We forecast that 2.3 billion gamers across the globe will spend $137.9 billion on games in 2018.

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Today, Newzoo released the latest quarterly update of its Global Games Market Report service. You can read about our 2019 games market estimates here.

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