Market Overview:
The mobile gaming market comprises video games played on mobile devices such as smartphones and tablets. These games can be downloaded from app stores and in-app purchases allow users to spend on in-game items, boosters, and other perks. Mobile games offer quick and convenient gaming experiences to users on the go. Key advantages include high portability, multiplayer functionality, and immersive graphics. Growing adoption of smartphones globally and high-speed internet penetration is fueling the demand for mobile games.
The mobile gaming market is estimated to be valued at US$ 91.08 Bn in 2023 and is expected to exhibit a CAGR of 10.39% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Emergence of AI and automation – Gaming companies are increasingly utilizing AI and automation to enhance gameplay experiences. For example, automation helps in simplifying repetitive tasks and learning player behavior to offer personalized content. AI also enables new formats like conversational games. Rising monetization of mobile games – In-app purchases, premium currencies, subscriptions, and advertisements are helping developers monetize their games. Growing popularity of esports on mobile – Established and amateur competitive mobile gaming events attract significant viewership. Leading titles hold mobile esports championships and tournaments with cash prizes. This is drawing more users and investments to the segment.
Porter’s Analysis
Threat of new entrants: The mobile gaming market requires high initial investments and established distribution channels which act as entry barriers for new companies.
Bargaining power of buyers: Individual gamers have high bargaining power due to availability of a large number of free and paid game options across different genres.
Bargaining power of suppliers: Leading game developers and publishers have significant bargaining power over platform providers and hardware manufacturers due to their strong portfolio of popular game titles.
Threat of new substitutes: Emergence of advanced technologies like augmented reality and virtual reality pose a threat of substitution to traditional mobile games over the long run.
Competitive rivalry: The mobile gaming market is highly competitive due to presence of many global and regional players.
Key Takeaways
The Global Mobile Gaming Market Size is expected to witness high growth, exhibiting CAGR of 10% over the forecast period, due to increasing proliferation of smartphones and high-speed internet connectivity.
The Asia Pacific region is expected to dominate the global mobile gaming market during the forecast period owing to high smartphone penetration, affordable internet tariffs, and increasing disposable income in major countries like China and India.
Key players operating in the mobile gaming market are Activision Blizzard, Inc., Electronic Arts, Inc., Gameloft SE, Niantic Inc., Glu Mobile, Inc., GungHo Online Entertainment, Inc., Kabam, Rovio Entertainment Corporation, Supercell Oy, The Walt Disney Company, and Zynga, Inc. Among these, Activision Blizzard, Inc., Electronic Arts Inc. and Tencent Holdings Ltd. collectively account for the major share of the market revenue. Leading game developers are focusing on free-to-play gaming model with in-app purchases and engagement-driven monetization strategies to attract more users and generate higher revenues.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
