In the present day and age, the transformation in the gaming industry has been at a fast pace, mainly due to the easy availability of internet access. Over the years, innovations in technologies have created a new pathway for the online gaming industry.
Further, the online gaming industry is estimated to be worth more than USD 230 billion by 2022, and mobile gaming is anticipated to be one of the major segments to drive market growth.
In online gaming, both free-to-play (F2P) and pay-to-play (P2P) massively multiplayer online games are dominating the market.
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The boom in the Online Gaming Industry
F2P MMO
The free-to-play (F2P) games, played by a large number of gamers simultaneously, over the internet, are very popular among gamers. As there is no fee to play, gamers enjoy engaging in these gaming activities for long hours.
The F2P MMO games have quickly grown in quality as developers recognized their ability to produce revenue. Their revenue sources are mainly advertisements or in-game sales. Moreover, as these are free-to-play games, they generate significantly more revenue than pay-to-play games. Additionally, video game producers are constantly working to optimize F2P games.
P2P MMO
The pay-to-play (P2P) games are played by a large number of gamers simultaneously, over the internet, where interested players pay to get access to playing games. The pay-to-play MMO games are for social networking platforms, exclusively. Gamers prefer pay-to-play options for various reasons, like extra features, challenges, and layers, compared to free-to-play games.
Social Gaming
Social networks are very popular platforms for online pay-to-play games. According to a report, the most played P2P games are “Final Fantasy”, “Farmville”, “World of Warcraft”, and “Bejeweled”. Facebook has been recorded to have the highest traffic for multiplayer P2P social gaming, and gamers spend anywhere between USD 10 to USD 50 to play games on social media.
Casino Gaming Technologies
In casino gaming technologies, the most common pay-to-play online gambling has been massively increasing in the past several years and is expected to continue. The casino gaming activities that are highly trending among gamers are Slots, Roulette, Blackjack, Baccarat, and Poker, among others. According to Statista, the online gambling market is expected to be worth USD 59.79 billion by 2020.
Most importantly, technologies, like the use of virtual reality in casino gaming provide a virtual experience to the gamer that makes him feel like he’s at a live casino; live casinos, where players can participate in the live online casino with live dealers, real-time video, and real casino equipment that gives a real gambling experience to the players, are increasing the demand for the pay-to-play online casino gaming market.
Moreover, gamification in casinos is also adding to the demand, as players are enjoying online casino games that offer storylines, narratives, avatars, unlockable content, etc. Additionally, the future seems even more interesting for online casino gaming, with the emergence of cryptocurrencies, along with blockchain technology, players can have a secure peer-to-peer casino gaming experience.
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Trending Devices among Gamers
Mobile Gaming
Since Pokemon Go took over the mobile gamers, in 2016, the mobile gaming industry has been skyrocketing and refuses to stop. Today, many more games are trending that mobile gamers enjoy playing, including Cash Royale, Final Fantasy Brave Exvius, Jellynauts, as well as candy crush.
According to Newzoo, Mobile gaming is expected to be a USD 100 billion market by 2021. The rise in mobile gaming is expected to lead others, like PC and console gaming markets, in the coming years. This is due to the increasing usage of smartphone and tablet devices, which are expected to generate 59% of revenues in the overall market.
Console Gaming
The console games played on a device specially designed to play video game consoles, are commonly referred to as video games. The console gaming industry has been booming ever since the games like, the PlayStation series by Sony, Xbox series by Microsoft, and Nintendo by Nintendo got popular among gamers a decade ago.
The future of consoles is bright with these games continuing to trend even today, along with the new and improved games being launched at a competitive price by other companies. Additionally, companies are making investments in consoles, focusing on fully embracing live streaming and esports in the coming years, providing a more engaging experience to gamers.
PC Gaming
The PC game, which is played on a personal computer, rather than on a console, has been the oldest form of online/video game and has specific computer software and hardware requirements. The games, like League of Legends, Counter-Strike, and Hearthstone: Heroes of Warcraft, among others, are some of the most popular and trending in the PC games segment.
The downloaded/boxed PC games are expected to register a compound annual growth rate (CAGR) of +4.2%, generating over USD 32 billion, by 2021. The growth is mainly driven by competitive play and esports, translating to higher revenues. However, since a majority of players are switching from PC gaming to mobile gaming, this shift is expected to cutting down the overall PC revenues, comparatively, in the coming years.
Considering the technological advances that are anticipated to define the future, the growth and improvements in the online gaming industry seem unstoppable.
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