Newzoo cuts global games forecast to $134.9 billion as mobile underperforms

Regulatory changes in China and the absence of new global blockbusters have had an effect on the global games market. Newzoo now forecasts that it will reach $63.2 billion in 2018 (+12.8% YoY)—down from its previous estimate of $70.3 billion (+25.5% YoY).

This revision is a result of Newzoo’s continuous analysis of the H1 financial results of more than 100 public companies, app analytics, and key market developments year-to-date.

  • Mobile games will remain the largest segment in 2018 with 47% of the global games market.
  • At the same time, the impressive growth of console and, to a lesser extent, PC gaming, has led us to increase in Newzoos 2018 revenue estimates and forecasts for these segments. The console game market will grow to $38.3 billion (+15.2% YoY), up from our previous estimate of $34.6 billion (+4.1% YoY).
  • Overall, the 2018 global games market is forecast reach $134.9 billion in 2018, a decrease from previous estimates of $137.9 billion
  • Overall the industry is growing at a healthy pace: +10.9% from 2017, or $13.2 billion. By 2021, the market will reach $174.0 billion with mobile games accounting for 52% of revenues.