GamesBeat

Is the game market generating $100B per year in revenues?

Recent estimates value the global games business somewhere in the range of $50 billion. But if you factor in the booming online gaming sector and look at the total market caps for all public companies, the global games industry is actually worth about double that, according to investment banker Paul Heydon of Avista Partners.

During a talk at Edinburgh Interactive, Heydon outlined the video game sector as he sees it. He noted that the total market cap of all public games companies globally had reached $105 billion and that online games (MMO, social/casual games, etc.) are now worth around 71% of the non-Nintendo PC/console sector.

Heydon breaks down the global games market as follows:

  • Nintendo – $34.96 billion
  • Other PC/console (without Nintendo) – $33.22 billion
  • Online – $23.46 billion
  • Mobile – $8.26 billion
  • Retail – $3.11 billion
  • Payment Services – $1.37 billion
  • Distribution/Accessories – $311 million
  • Outsourcing – $255 million

See Industry Gamers for more. Incidentally, $100 billion is how much the U.S. military wants to cut in spending over the next five years.


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