The global video game market will return to growth in 2023 on the back of strong sales of consoles such as Sony’s PlayStation 5, according to gaming market research firm Newzoo.
Newzoo expects industry revenue to rise 2.6% to $187.7 billion in 2023, driven by a 7.4% increase in console sales during the year. Gaming revenue fell 5% in 2022, according to research firm data.
Newzoo analyst Tom Wegman said: “Several highly anticipated late games have been released in 2023, more are scheduled for release in the second half, and supply of new consoles has finally caught up with demand,” according to Reuters.
And “Sony” expected, in July, to sell 25 million units of “PlayStation 5” consoles this year, which is a record for any of the previous “PlayStation” devices, amid the resolution of the supply chain crisis.
Market research firm Circana sees US consumer spending on video game consoles rising 23% in the first half of 2023. But spending on video game content has remained flat over the period, as gamers stick to traditional games like Call of Duty. Duty” of Activision Blizzard.
Newzoo expects mobile games to account for nearly 50% of global gaming revenue in 2023 even as Apple and Google try to hamper corporate revenue by strengthening privacy policies.
The company also said that cloud gaming, which allows players to stream live to devices, has the capacity to accommodate 43.1 million users by the end of the year.