In a market that continues to experience exponential growth overall, mobile gaming is again mounting a competitive run for the PC/console dominated subscription gaming industry.
On Wednesday Research and Markets released its newest report on the gaming industry, “Global Subscription-based Gaming Market to 2030: Players Include Blacknut, Nvidia, Electronic Arts, Apple and Humble Bundle,” which included some interesting insights into where the gaming industry is headed over the next decade.
Related: Live Streaming Industry Set For Explosive Growth In 2023?
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Among the datasets provided, here are a few of the highlights of the reports:
- The subscription gaming industry is expected to grow to $24 billion by 2030
- Advancements in AI and virtual reality are expected to contribute to growth significantly (the report specifically mentions Oculus’ improved resolution as an example)
- Mobile gaming accounted for $126 billion of $222 billion in annual gaming revenue
- The pandemic resulted in up to a 20% increase in gaming online
- The first weeks of the pandemic saw a 75% increase in online traffic
- The use of VPNs increased 34%
- The PC subscription gaming vertical still controls 55% of all gaming traffic
What’s surprising, however, is the amount of money consumers in the US spend on mobile gaming.
Why is mobile gaming so popular?
Mobile gaming has exploded in growth because it is available on virtually every mobile device and is a convenient and accessible way for players to engage on the go. Since the rise of smartphones, it’s easy for gamers to access their favorite titles anytime (or anywhere) without the need to tow a gaming PC or console with them.
Mobile gaming has also made incredible strides in the compatibility department with live streaming services. For example, where an expensive gaming PC and rig were once required to participate in the live streaming profession, today anyone can hop on Twitch with an Amazon Fire Stick and a Luna subscription or a mobile device and a Twitch account.
Because of the industry’s growth, there are also now more options. Mobile gaming has become more sophisticated and immersive, with high-quality titles now at the touch of your thumb that offer engaging narratives and fun gameplay; as an example, anyone can suit up for a round of Call of Duty now on any mobile device – and a Twitch account gives them the ability to share their gameplay too.
Check out Chuck Wynn’s COD Mobile test run on an iPhone SE streaming directly to Twitch (thanks for letting us share Chuck):
Many mobile games also incorporate traces of social networking, giving players the ability to connect with friends and other gamers around the world.
The rush to get into the game has also propelled the mobile gaming industry forward. Not only does Amazon offer it’s Luna gaming service for free for any Prime member, Netflix has put in the work to offer their customers a respectable online gaming selection as well (though their delivery is very different).
The fact that so many companies are rushing to build up their product offerings has also led to innovation among developers. Today, gaming designers build games for any number of devices and platforms, catering to a wide range of interests, skill sets, and abilities. This push has led to a very diverse selection of games and ways to play.
Lastly, mobile gaming often comes as a free-to-play experience with in-app purchases. This pricing model, while controversial and seen as deceptive by some, has provided game designers an environment where they can build games that are offered with no upfront cost; leaving retention to the quality of the game rather than buyer’s remorse and dedication to finishing a bad game “just because the money was spent.”
This freemium model makes entry into new games accessible to players who are apprehensive about spending money on products that have not been tested against a non-biased audience, as well.
Ultimately, mobile gaming has become popular for many reasons, though namely, because of its convenience, accessibility, and diverse selection of games that are no-to-low cost to try. In addition, because mobile gaming has received so much support in the live streaming arena, the market has been white hot with new live streamers hoping to go viral.
The question really is: is there anything that can slow mobile gaming down?
Factors that can slow mobile gaming down
Honestly, there are only a few things that could cool the mobile gaming industry. First, social media’s investment in live streaming and interactive content has the potential to move audiences over to a more accessible platform like Instagram. Not as though it is difficult to set up a Twitch account to enjoy another streamer’s channel, but learning the ins-and-outs of the industry is still a bit more complicated for most consumers than opening up Instagram or Facebook and hopping on someone’s Instagram Live.
Because options like Twitter, Discord, Kick, Caffeine, etc. have the potential to capture the attention of gamers during their leisure time, there’s a chance that the everyday user spends more of their free time browsing social media or interacting with another, newer, form of technology (some social media platforms are more addicting than gaming, cigarettes, and alcohol, in fact).
There’s also a chance that the government takes notice of how the country’s youth are spending their time and begin to take action. Many politicians and medical professionals have expressed their concerns about the addictive nature of mobile gaming, specifically among children, and have suggested that legislation or enforcement action be taken (for example, restricting participation by age, the number of hours a day someone can play, etc.). And while this may sound ridiculous in the US, in places like China, users under the age of 18 are already restricted to one hour of social media a day.
Lastly, mobile gaming could suffer from market saturation. Just as we’ve seen in the video streaming industry, where overnight platforms sprung up and are now reporting huge losses, subscription and mobile gaming could become so crowded that users power off. At some point, the mechanics and originality of games could hit a tipping point with existing technology and gamers could lose interest.
Final words
At the end of the day, the chances of mobile gaming hitting its peak in the next decade are incredibly slim. The entertainment industry as a whole has changed dramatically in a very short period and, despite the fragmentation, is likely to be more similar to its current state in the next few years than it was in decades before; as is the mobile gaming industry.