IDATE, a digital research and consultancy firm has predicted that the video gaming market is all set to grow 11.1 percent every year till 2017 due to the increasing reach of online games and the release of latest generation consoles.
With the value of the market at $73.8 billion ($53.9 billion euros) this year is set to reach $115 billion (82.1 billion euros) by 2017 according to the Paris based company.
The Christmas season has seen the top players like Sony, Microsoft and Nintendo trying to compete by releasing their latest consoles. These new releases would boos the market till 2017, the report said.
Sony’s PlayStation and Microsoft’s Xboxwhich currently hold 31 percent of the market share is also will also reach 40 percent share by 2017. Handeld consoles would witness a decline in the market share of 13 percent by 2017 compared to the present 22 percent in 2013. The main cause is attributed to the competition of latest smartphones and tablets.
“Smartphone and tablets offer a radically different experience, and in terms of the budget, the tablet is a significant competitor for the consoles,” said Laurent Michaud, Head of Gaming Research at IDATE.
Growing popularity of online games has predicted a decline in offline computer games. Michaud mentioned that the online gaming industry is dominant in China and South Korea.
One of the popular online games like Candy Crush has 700 million sessions per day and rakes in $850,000 everyday.
Online games are predicted to grow at an average of 11.4 percent and mobile gaming would grow 12.2 percent every year during 2013 to 2017.
Game developers who are used to market their games haven’t shown much interest to exploit the virtual world. However by 2012, Facebook saw the entry of Electronic Arts, Ubisoft, Namco Bandai Games, Konami and Disney Interactive Studio. Idate also see the decreasing trend of games by popular game developers as they are more expensive to make.
Android market has not seen the entry of key developer’s games into the top list.