Gaming Industry Poised for Growth, Fueled by GTA 6 and Nintendo Switch 2
Table of Contents
- Gaming Industry Poised for Growth, Fueled by GTA 6 and Nintendo Switch 2
- Gaming Industry Poised for Growth: Your Burning Questions Answered
- What’s driving the growth of the gaming industry?
- How has the gaming industry performed in recent years?
- What are the expected growth rates for PC and console gaming?
- What factors are influencing PC gaming growth?
- What games are dominating player playtime currently?
- Has Fortnite’s popularity waned?
- How do new games fare against established games on consoles versus PCs?
- What are the key differences in game popularity between consoles and PCs?
- How will game prices affect industry growth?
The global gaming market is projected to reach $9.27 billion (USD) in growth by 2027, spurred by the anticipated releases of Grand Theft Auto 6 (GTA 6) and the next Nintendo console, possibly named the nintendo Switch 2.
According to a recent report by Newzoo, these two releases are expected to be major catalysts for growth in an industry that has seen stagnation since the pandemic. The gaming industry experienced a significant revenue increase from $70 billion (USD) in 2019 to $83 billion (USD) in 2020 due to increased at-home entertainment. However, growth has since leveled off. Newzoo projects a renewed upward trend,forecasting an increase from $78 billion (USD) in 2024 to $83 billion (USD) in 2025.
Console and PC Gaming Trends
Newzoo’s report anticipates different growth rates for the PC and console markets between 2024 and 2027. The PC gaming market is expected to grow by 2.6%, while the console market is predicted to surge by 7%. The console sector’s growth is largely attributed to the upcoming GTA 6 release and the new Nintendo console, which are expected to drive both hardware and software sales.
Growth in the PC market is expected to be driven by in-game purchases, especially within free-to-play and established titles. The report also notes that a lack of significant innovation in technology, content, and distribution has slowed the growth of the overall player base.
The Staying power of Established games
A significant portion of gamers’ time is still spent playing older, established titles. From January 2021 to december 2024,approximately 10 games consistently accounted for 50% of total cross-platform playtime.These include popular titles such as Fortnite, Roblox, Minecraft, Grand Theft Auto 5, Apex Legends, and various Call of Duty entries.
Fortnite, in particular, saw an increase in playtime, contributing 9.3% of total playtime in 2024, up from 9.1% the previous year. The return of classic map versions proved triumphant for Fortnite, a strategy that other games like PUBG and Call of Duty have also adopted.
New vs. Established Games on Consoles and pcs
New games tend to gain traction more quickly on consoles, particularly playstation, compared to PCs. However, annual franchises like EA Sports FC (formerly FIFA) and Call of Duty still command a significant share of playtime on consoles.
New PC games often face challenges in gaining playtime due to competition from established games with strong community bases. Gamers also increasingly focus on playing only a few titles, fostering loyalty to specific games. Steam users tend to play a wider variety of games due to the availability of numerous indie and AA titles.
On playstation, indie and AA games account for less than 12% of total playtime, due to the dominance of AAA titles. Xbox, through services like Game Pass, offers more visibility for indie and AA games, but players still gravitate towards familiar AAA titles.
Price Increases and Industry Growth
While the releases of the new Nintendo console and GTA 6 are expected to boost the gaming industry, Newzoo also points out that growth will be driven by increasing game prices. For example, a new Mario Kart title is expected to launch with the new Nintendo console at a price of approximately $80 (USD). While Nintendo has stated this is not necessarily a benchmark for future pricing, older titles released on the new console are also expected to be priced similarly.Rumors suggest that GTA 6 could be priced around $100 (USD).Therefore, while industry revenue is expected to increase, gamers should also anticipate higher costs.
Gaming Industry Poised for Growth: Your Burning Questions Answered
Welcome to a Q&A about teh booming gaming industry! This article draws on details from a Newzoo report, providing insights into current trends and future projections. Let’s dive in:
What’s driving the growth of the gaming industry?
The gaming market is predicted to grow, with an expected $9.27 billion (USD) increase by 2027. This expansion is largely fueled by highly anticipated releases:
Grand Theft Auto 6 (GTA 6)
The next Nintendo console (perhaps named Nintendo Switch 2)
These releases are expected to be major catalysts for growth,especially after the industry experienced some stagnation following the pandemic,as noted by Newzoo.
How has the gaming industry performed in recent years?
the gaming industry saw a significant revenue surge from $70 billion (USD) in 2019 to $83 billion (USD) in 2020. though, growth somewhat leveled off after this initial boost. Newzoo anticipates a renewed upward trend, predicting an increase from $78 billion (USD) in 2024 to $83 billion (USD) in 2025.
What are the expected growth rates for PC and console gaming?
While both PC and console gaming are expected to grow, Newzoo’s report points to different rates for 2024-2027:
PC Gaming: 2.6% growth
Console Gaming: 7% growth
The console market’s growth is largely attributed to the upcoming GTA 6 release and the new Nintendo console.
What factors are influencing PC gaming growth?
Growth in the PC market is predicted to be driven by in-game purchases, particularly within free-to-play and established titles. However, a lack of significant innovation in technology, content, and distribution has slowed overall player base growth. Many people want to know what the next big innovation will be.
What games are dominating player playtime currently?
A significant amount of gamers’ time is still spent playing established titles. From January 2021 to December 2024, approximately ten games consistently accounted for 50% of total cross-platform playtime.These include:
Fortnite
Roblox
Minecraft
Grand Theft Auto 5
Apex Legends
Various Call of Duty entries
Has Fortnite’s popularity waned?
Actually,Fortnite saw an increase in playtime,contributing 9.3% of total playtime in 2024, up from 9.1% the previous year. The return of classic map versions contributed to its success.
How do new games fare against established games on consoles versus PCs?
New games tend to gain traction more quickly on consoles, particularly PlayStation, compared to PCs. On the other hand, annual franchises and other popular games have strong communities and a loyal player base, and therefore have more playtime.
What are the key differences in game popularity between consoles and PCs?
| Feature | Consoles | PCs |
| :—————- | :———————————————————————————————————- | :————————————————————————————————————————— |
| New Games | Tend to gain traction faster, especially on PlayStation. | Often face challenges due to competition from established games. |
| Popular titles | Annual franchises like EA Sports FC (formerly FIFA) and Call of Duty maintain significant playtime.| Gamers tend to be loyal to a few titles, with a wider variety available through Steam’s indie and AA titles. |
| Indie Games | Indie and AA games account for less than 12% of playtime on PlayStation, due to AAA title dominance. | Steam offers more visibility and selection for indie and AA titles. |
| Distribution | Xbox Game Pass offers more visibility for indie and AA games,but players still lean towards familiar AAA titles. | In-game purchases from established titles and free-to-play games drive growth. |
How will game prices affect industry growth?
While the new Nintendo console and GTA 6 releases are anticipated to boost the gaming industry, growth will also be driven by increasing game prices.One example is a new Mario kart title that’s expected to launch with the new Nintendo console at roughly $80 (USD). Rumors suggest GTA 6 coudl be priced at around $100 (USD). Gamers should, therefore, expect higher costs alongside increased revenue projections.
