Game Market Explosion Post-Covid

Welcome to the Topic “Game Market Explosion Post-Covid”

The Boom of the Gaming Industry 

The video game industry has seen significant growth in the wake of the COVID-19 pandemic. Many people have turned to video games as a way to stay entertained and connected with others while spending more time at home due to lockdowns and social distancing measures. This has led to an increase in demand for video games and gaming hardware, resulting in a surge in sales and revenue for the industry.

According to market research firm NPD Group, total spending on video games in the United States reached a record high of $43.4 billion in 2020, an increase of 20% over the previous year. This growth has been driven by a surge in sales of console and PC games, as well as an increase in digital downloads and in-game spending.

The COVID-19 pandemic has also led to an increase in the use of gaming platforms for socialization and online events, such as video game tournaments and streaming. This has contributed to the growth of the industry, as well as the rise of new gaming-related businesses, such as game streaming and esports.

Overall, the COVID-19 pandemic has had a significant impact on the video game industry, leading to a market explosion as more people turn to gaming as a way to stay entertained and connected during these challenging times.

Despite the corona virus’s massive economic damage, the worldwide video game industry is booming. Gaming offers a compelling diversion for people at home looking for social engagement because the practice of social distancing reduces consumer and company activity to a minimum. Initial data reveals a significant increase in playing time and sales since the lockdowns started.

More people were gaming and watching gaming content online, which attracted new players and reactivated lapsed ones. The enthusiasm surrounding new releases and the introduction of next-generation consoles helped to fuel the interest boom, which hastened some changes—such as the growing popularity of mobile gaming. This tremendous growth required quick adjustments from gaming corporations, and its repercussions will probably be felt for years.

An Addition to New Gaming Users 

A record number of people adopted gaming worldwide, especially on their mobile devices, as a result of COVID-19’s safety directives and safety concerns, which had a huge impact on the gaming business in 2020. For instance, the number of gamers in the U.S. has increased to 28 million since March 2020, with mobile gaming seeing a 28 percent increase, and the number of gamers in the U.K. has risen to 8.6 million, with mobile gaming seeing a 50 percent increase.

This inflow does not seem to pass: More than half of the new mobile gamers surveyed said they intended to keep playing in July 2020, months after the pandemic started.

Game Market Explosion Post-Covid
Game Market Explosion Post-Covid

Beyond the Walls of Bedroom

The function of gaming has changed over the epidemic and is not just in the realm of entertainment. Gaming, previously thought to be restricted to people’s bedrooms, is now beginning to demonstrate its value in other spheres of life, including the classroom.

According to a poll, we performed earlier this year, 91 percent of teachers in the U.K. and the U.S. have used gaming to try to keep their pupils interested during times of virtual learning. Due to the surge in educational gaming, we collaborated with academics to develop our teacher-training program, which we call G2A Academy. Since its launch in February, G2A Academy has drawn over 7,800 players.

Despite the misconception that video games are an impediment to education, some well-known games have been developed to facilitate learning. Many video games have already begun to add instructional features to aid players in gaining a deeper understanding of the environments they inhabit. For instance, the discovery mode in Assassin’s Creed Origins allows players to explore Egypt during Cleopatra’s rule. Video games can be a fantastic way to demonstrate knowledge, as Mr. Higinbotham found in 1958.

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Fair Pricing Attracts New Users 

As we move forward, it’s essential to remember that people who play video games are fueling this industry’s expansion. The cost of video games has been steadily increasing over the past few years, and we are currently on the cusp of seeing $70 video games become the norm. This is inappropriate and damaging to the development of the industry at a time when many are facing financial difficulties.

The significance of gaming is too great to be limited to the wealthy, developed world, as it can establish community bonds, educate, and inspire. However, the findings of our study suggest that a large portion of those who keep the gaming business humming are abandoning it owing to current and future price rises. This may be one reason why new customers are attracted to the game marketplace model and its lower prices. In 2020, we observed a 19.8% increase in new or returning purchasers on G2A compared to the previous year.

Game Market Explosion Post-Covid
Game Market Explosion Post-Covid

The Surge of Steam Users during Lockdown 

In 2020, Steam provided users with a record 25.2 exabytes of data. That was brought on by the pandemic and the release of a significant game in December.

As a result of one of the year’s most significant debuts, Cyberpunk 2077, the Steam blog reports that “we hit a record for download traffic of 52 Tbps – 26 Tbps only for the preload time alone,” which quadrupled our previous peak. Despite the lockdowns, we were nevertheless able to upgrade one of our network sites (Chicago), add three additional sites (Frankfurt, Dallas, and Buenos Aires), and they planned to add at least another two to four locations in the first half of 2021.

Because of Valve’s heavy traffic, discussions regarding bandwidth usage with governments worldwide included it.

Regarding Steam in 2021, Valve mentioned a few future initiatives, such as the introduction of Steam China. On that, Valve is collaborating with the Chinese corporation Perfect World. But the business is also putting a lot of effort into enhancing the Steam experience this year and rolling out new Steam Labs services.

The Long-Term Effects

Long-term analysis reveals several lessons from the recent surge in gaming that point to future changes in the sector.

The increase in gaming popularity could hasten a move toward game delivery via mobile and cloud-based platforms that are currently taking place. Even blockbuster movies are increasingly being made available on mobile devices. In contrast, cloud gaming lets users stream games across several devices frequently without needing pricey gear.

This distribution mechanism has potential presently, according to the industry. A big part of Activision Blizzard’s earnings report, centered on the mobile version of their well-known Call of Duty game, was 50 percent over analyst estimates. Google recently eliminated the $130 sign-up cost for Stadia, its cloud gaming service, hoping its value will persuade users to stick around for the long run. There are still issues, notably with bandwidth, but there is a lot of potentials.

The pandemic has at the very least served as a reminder to media firms and brands that a market of highly engaged people can still reach. Recent changes are probably moving esports closer to the mainstream. The state of Nevada, which permitted wagering on competitive gambling just two weeks into U.S. imprisonment policies, is the earliest example.

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It is difficult to predict the exact impact of the COVID-19 pandemic on the game market, as the situation is still evolving and there are many factors at play. However, it is possible that the game market may experience significant growth in the aftermath of the pandemic.

The COVID-19 pandemic has forced many people to stay at home, leading to an increase in the use of digital entertainment, including video games. As a result, the game market has seen record-breaking sales and revenue in recent months, with many game developers reporting strong sales and player engagement. This trend may continue in the post-pandemic period, as more and more people become familiar with and accustomed to using digital entertainment to pass the time.

Additionally, the pandemic has spurred the development and adoption of new technologies and platforms, such as cloud gaming and 5G networks, which may drive further growth in the game market. These technologies make it easier and more convenient for people to access and play games, which could attract more players and increase the demand for games.

In conclusion, it is likely that the game market will continue to grow and expand in the aftermath of the COVID-19 pandemic, driven by the increasing popularity of digital entertainment and the emergence of new technologies and platforms. However, the exact impact of the pandemic on the game market will depend on many factors and is difficult to predict with certainty.

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Game Market Explosion Post-Covid

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