Ampere Analysis’ latest report regarding the future of the video games market doesn’t exactly promise a bright tomorrow for the industry. The analyst firm projects a decline for the rest of 2022 due to the global recession followed by a recovery period in the upcoming year.
The decline in 2022 doesn’t come as a shock, as the last two years have seen a major boost due to the Covid-19 pandemic. 2021 was the prime year for the game industry, for obvious reasons —people being stuck at home and spending most of their time playing video games be it mobile or on PC/consoles— but 2022 has already seen a measurable decline and this may continue for the foreseeable future. Just a week ago, Unity laid off 4% of staff and Niantic cut off 8% of its staff and more layoffs are expected in the near future.
Most data providers agree that despite all the setbacks, the video game industry will continue to grow, and even if it faces a drop-off revenue-wise by the year five the industry will become even larger. Our founder Batuhan Avucan also voiced his opinion about the possible recession and shared his insights about the future of hyper-casual in Turkey.
However, as you can see in the above graph, Ampere also expects the market to overcome the recession fast, mending the wounds and continue growing. Having said that, the growth rate won’t be as glorious as we’ve seen in the past couple of years, but again, that’s to be expected given how the growth between 2019-2021 happened due to unexpected circumstances.
