The global technology research and advisory company Technavio shared its latest market study, stating that the gaming market size is forecast to increase by USD 102.13 billion from 2022 to 2027, progressing at a CAGR of 9.12%.
The growing adoption of AR and VR games is a major factor driving the gaming market share. AR/VR gaming is the integration of gaming visual and audio content with a user’s environment in real time. With the rising awareness of AR gaming, the adoption of AR/VR devices is likely to increase during the forecast period. Therefore, game developers prefer AR and VR devices to traditional gaming devices. Companies such as Sony and Microsoft are developing gaming platforms using cutting-edge three-dimensional (3D) technologies. In addition, developers have started developing AR games for HoloLens, a product of Microsoft. For instance, in January 2022, Microsoft HoloLens 2 was launched in India, which includes sensors that enable head and eye tracking and is designed to allow users to interact with holograms.
The increasing emergence of cloud gaming is an ongoing trend in the gaming market share. Cloud gaming can be accessed through Internet-connected devices for free or through paid subscriptions. Cloud gaming technology enables users to stream video games from the web. The increasing popularity of social media and mobile gaming is supporting the growth of cloud gaming. Cloud gaming services have the potential to reach non-core gamers who play games on social media and mobile devices because of the cost-effective price structure of cloud gaming.
The casual gaming segment was valued at USD 83.44 billion in 2017 and continued to grow until 2021. The casual gaming segment has become increasingly popular, driven by a number of factors such as its accessibility, where the games are easy to pick up and play, and they can be played on a variety of devices, including smartphones, tablets, and PCs. This makes them accessible to a wide range of players, and another such drive can be its social Interaction model, where many casual games are designed to be played with friends or family members, either locally or online. This social element adds an extra layer of fun and engagement to the gaming experience, which can drive the casual gaming segment in the forecast period.
The full report can be accessed on Technavio’s website.