The video game industry relies mainly on modern technology. It is one of the reasons why it’s such a booming industry today, one that will surpass many sub-sectors of the entertainment industry. It leverages digital technology more than anything, and this article will explore the technologies it frequently uses and how it has been making money throughout the years.
The video game industry is worth $70 billion last year, and it is one of the few industries that isn’t damaged by the pandemic. On the contrary, some experts suggest that the pandemic might have even made the industry stronger.
In terms of size, the video game industry is already worth more than Hollywood. It’s making more money than the sports and movie industry combined, but how is it exactly making that much money during the pandemic? Simple answer: digital tech.
Digital Sales Driving the Market
Digital sales have taken over the video game industry. It’s estimated that most sales made last year were digital, with a small fraction of sales attributed to physical video game copies. Many experts believe that this was inevitable and that the pandemic only helped rush this trend to happen. One of the main things that are driving digital sales is the websites of video game developers.
Developer Websites Are One of the Best
When we talk about what’s driving digital sales, we can’t ignore the existence of video game websites. Many experts believe that this is where most transactions happen today. Hands down, the design of these websites is some of the best in the world. Furthermore, millions of people visit these websites every day.
One of the main things driving people to these websites is the need to purchase and be updated by changes in the gaming world. Gamers who follow a certain video game have to visit these websites for patch notes. For some developers who offer a live service, gamers have to know the changes to their game in the next year.
Ultimately, these things drive organic traffic, and as we all know, organic traffic drives digital sales in digital marketing. So naturally, the video gaming market is driving sales without even trying, and we haven’t discussed technologies yet!
Technologies Driving Growth
New graphics engines are being developed every year, and interestingly enough, these graphic engines have their sources in various fields. Some are scientific in nature, such as facial scanners, while some can be found everywhere. So if you have a technology in mind, there is a chance that the video game industry is leveraging it somehow. But one of the leading technologies that are driving growth and investments in Virtual Reality.
Virtual Reality
Virtual reality (VR) is making serious money in the world of video games. In 2019, it was valued at $3 billion, but it’s expected to reach $55 billion by 2027 with a staggering compound annual growth rate of 44%, one of the biggest in any industry in the world.
VR and video gaming are a match made in heaven. VR can deliver an experience to gamers that no platform can offer. It can make gamers truly visualize themselves in the gaming world. They can be the character they’ve always wanted, taking down enemies one by one. They can be heroes of a fantasy land or action hero in this modern world.
The limits of VR are still yet to be seen, and when it comes to video gaming, it seems that there are no barriers to such a tech. This is why many developers are spending millions of dollars on this digital tech.
What’s in the Future
The future of video gaming looks great, and not many industries can say that after the pandemic. However, it will continue to drive sales without even trying, and its consumer base will grow even larger now that the younger generation is getting into video games.
More people will buy digital copies of video games, and VR technology will continue to be developed. Eventually, we can create fully optimized games in a virtual world. But, overall, the main shift will be towards digital and getting more consumers into the market. This means making video games accessible across all platforms.
Lastly, video games will be earning the most in the mobile sector as more people continue to have access to smartphones worldwide. But other platforms such as the new consoles will still perform greatly, especially in sales. Ultimately, the entire industry will propel forward and become a trillion-dollar industry in the future.
Video games will eventually become a staple in every household in the world. It will become the choice of entertainment of the future.
