In their most recent report, written by David Crawford (Leader of Bain’s Global Technology Practice), Bain & Company predicted that the game industry’s global revenue could grow by more than 50% over the next five years to $300 billion.
The industry growth is accelerating as a result of the heavy engagement of younger gamers (ages 13 to 17) who apparently spend about 40% more in video game environments than with any other form of media.
The report shows that consumer demand for games is growing as a result of three major factors: fast technological advances, increased metaverse-styled experiences/events, and new monetization models. Investors have caught on and have poured more than $240 billion into game investments since 2019.
Some of those highlighted investors include the likes of Netflix, Saudi Arabia, Embracer Group, Griffin Gaming Partners, Makers Fund, Galaxy Interactive, Tencent, Microsoft, Sony, Transcend Fund, Bitkraft, NetEase, Epic Games, and more.
You can download the full 92-page report from the Bain & Company website.