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Wednesday, September 12, 2007
 
Online Games Revenue Set To Grab A Third Of The Action
6:00 AM | Cord Kruse | 1 comment

A recent research paper published by Strategy Analytics suggests that the growing MMO and digital distribution markets are on track to account for 30% of all game industry revenue by the year 2011. The report also notes that total game revenues will see continued growth in the next five years.

In terms of revenue, the online games category is currently the largest category out of the three main online entertainment markets (music, games and video). Strategy Analytics estimates that the global online games market generated $3.8 billion in 2006 and projects that the market will grow with a compound annual growth rate (CAGR) of 25.2% in the 2007–2011 forecast period to reach $US 11.8 billion and represent approximately one third of the total games software market by 2011.

“The rapid growth of the addressable market for digital distribution of both PC and Console games will help clear the way for distribution of mainstream hit titles which has up to now been restricted to the physical retail channel,” comments Martin Olausson, Director of Digital Media Research at Strategy Analytics.

“The main driver for sustained growth in the online games market will be the continued uptake of broadband services around the world”, adds David Mercer, Principal Analyst at Strategy Analytics. “Additionally, the very lucrative revenue opportunity in both the massively multiplayer segment and the electronic sell through market will continue to attract new entrants into the online games market.”
Click on the links below to read more.

Worthplaying: Online Games Revenues In 2011
Strategy Analytics: Online Games Global Market Forecast


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