DFC Intelligence: There won’t be room for three consoles in the gaming industry
The company predicts serious competition in the next console cycle between PlayStation & Xbox.
The company predicts growth in the gaming industry, but not for everyone. According to DFC Intelligence, one of the three gaming consoles will face significant challenges.
Analysts believe that user spending on PC/console games will increase from $72 billion in 2024 to $83 billion in 2028. Meanwhile, spending on gaming hardware will grow from $82 billion in 2024 to just over $120 billion in 2028. As a result, the total PC and console market will reach $203 billion in 2028.
❗️DFC Intelligence’s estimate of the overall games software market generally correlates with data from Newzoo and Aldora. However, their estimate of gaming hardware sales differs from Aldora’s data by more than double (DFC Intelligence’s figures are higher).
A bright future is predicted for the Nintendo Switch 2, with initial sales expected to surpass its predecessor. However, PlayStation and Xbox will face serious competition for their place in the market.
When considering the structure of payments in PC and console games, DFC Intelligence believes that people will buy more in-game items and subscriptions. Regarding the latter, individual subscriptions (like in WoW) are expected to grow faster than subscription services like Game Pass.
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The number of gamers worldwide will exceed 4 billion by 2027. Most of them will spend little on games. The top 10% of the most valuable players will generate 65% of all revenue.