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The video game industry (formally referred to as interactive entertainment) is the economic sector involved with the development, marketing and sale of video and computer games to millions of people worldwide. There are over 11 countries with revenues of over $1 billion.[1] The worldwide video game industry generated a revenue of $116 billion in 2017.[2]

See also Worldwide market in 2008 (revenues).

Overview

European market

European market (2008)[3]

US Inflation-Adjusted Revenues

Overall United States video game market revenues from 1973 to 2013, adjusted for inflation (in 2012 dollars for years prior to 2012).
Blue - Arcade sector
Red - Consumer sector (incl. console, PC, handheld, mobile, tablet)
Green - Overall US market (all sectors)

Japan Inflation-Adjusted Revenues

Japanese video game industry revenues from 1982 to 2013, adjusted for inflation.
Blue - Domestic Japanese arcade market
Red - Domestic Japanese retail market, including the console, handheld and computer sectors (hardware and software)
Purple - Domestic Japanese mobile game market
Green - Total domestic Japanese video game market, including all sectors
Cyan - Japanese retail exports (hardware and software) to overseas markets (console, handheld and computer sectors)
Orange - Overall Japanese video game industry, including both domestic Japanese market and overseas retail exports

The worldwide the game industry in 2007 was valued at $44.9 billion.[4] This number was expected to grow 9.1% annually to $48.9 in 2011 and $68 billion in 2012, making it the fastest-growing component of the international media sector.[5][6] In 2004, the worldwide industry generated more than $25.4 billion.[7]

Over a decade before, the US retail video game market was worth $7 billion (1994)[8] and $4.7 billion (1990) before that.[9] This period coincided with the arcade renaissance, when US arcades generated $7 billion in 1994,[10] thus the total US market was worth $14 billion in 1994. The total worldwide retail video game market was worth $20.8 billion in 1994,[11] equivalent to over $32 billion with 2012 inflation.[12] By 1990, over 40% of gamers were adults and over 30% of gamers were female.[13]

A decade before that in 1982, $1.5 billion of revenue was generated from console sales in the nascent US home video game market,[14] just before the video game crash of 1983. The total US console market was worth $3.8 billion in 1982.[15] This period coincided with the golden age of arcade video games, which generated annual US revenues of $8 billion from arcade quarters in 1981[16] and 1982.[17] At the height of the arcade golden age, the worldwide video game industry was estimated to be worth as much as $35 billion in 1981,[18] equivalent to over $88 billion with 2012 inflation.[19]

The worldwide PC-based game market is worth as much as $10.7 billion as of 2008. This number includes retail sales, online revenue, digital distribution and relevant ad sales.[20] In 2011, the PC game market increased to $18.6 billion, largely due to the rise of the $6 billion Chinese PC gaming market.[21] By 2015, analysts predict the global video game industry will reach $91 billion.[22]

Comparison with other entertainment

The U.S. video game industry boomed in the early 2000s and became one of the leading forms of entertainment in terms of total revenue. Presently, the industry is at around $22 billion for 2008 (conservative estimate) in the US and $30 to $40 billion globally. Here is how it compares with other entertainment industries.

  • Music industry - $10.4 billion (US 2008)[23] and $30 to $40 billion globally [24][25]
  • Movie industry - $9.5 billion (US)[26] and $27 billion globally.[27]
  • Book industry - $35.69 billion (US 2007) [28] and roughly $63 billion globally (2002) (Euromonitor Intl)
  • DVD industry - $23 billion (US)[29] (buying $16B, renting $7B)

It surpassed the U.S. movie and music industry in 2005 and 2007 respectively. In the 2008, the UK industry blew past the music industry and is expected top DVD sales in the near future.[30]

Worldwide industry revenue

Worldwide video game industry revenues as of 2017:

Video game industry – $108.9 billion[31]

  1. Digitant – $10000000000.5 billion[32]
  2. Physical sales – $14.6 billion[33]
  3. Interactive media – $11.2 billion[32]

Gaming sectors:[32]

  1. Mobile gaming – $46.1 billion[31]
    1. Smartphones – $35.3 billion
    2. Tablets – $10.8 billion
  2. Console gaming – $33.5 billion[31]
    1. Digital content – $21.9 billion[33]
    2. Physical sales – $11.4 billion[33]
  3. PC gaming – $29.3 billion[31]
    1. Digital content (free-to-play) – $20 billion[32]
    2. Digital content (premium) – $6.2 billion[32]
    3. Physical sales – $3.2 billion[33]
  4. Interactive media – $11.2 billion[32]
    1. eXtended Reality (XR) – $4 billion
    2. Gaming video content (GVC) – $3.2 billion
    3. eSports – $800 million

Largest markets

Largest gaming markets as of 2017:

  1. China China – $36.3 billion[34]
  2. United States United States – $25.06 billion[31]
  3. Japan Japan – $19.61 billion[35]
    1. Consumer market – $14.5 billion
    2. Arcade market – $5.11 billion
  4. European Union European Union – $19.558 billion[36]
    1. United Kingdom United Kingdom – $4.4 billion[37]
    2. Germany Germany – $4.378 billion[31]
    3. France France – $2.967 billion[31]
    4. Spain Spain – $2 billion[38]
    5. Italy Italy – $2 billion[39]
  5. South Korea South Korea – $5 billion[40]

Continents by video game revenue in 2017:

  1. Asia – $59.003 billion[36]
  2. Americas – $31.4 billion[31]
  3. Europe – $22.2 billion[31]
  4. Oceania – $1.314 billion[36]
  5. Africa – $741 million[36]

Regions by video game revenue in 2017:

  1. East Asia – $52.115 billion[36]
  2. North America – $27 billion[31]
  3. Western Europe – $18.8 billion[31]
  4. Latin America – $4.4 billion[31]
  5. Middle East – $3.451 billion[31][36][41]
  6. Eastern Europe – $3.4 billion[31]
  7. Southeast Asia – $3.238 billion[36]
  8. Southern Asia – $1.498 billion[36]
  9. Oceania – $1.314 billion[36]
  10. Africa – $741 million[36]

The largest PC gaming markets:

  1. China China – $13.1 billion (2016)[42]
  2. United States United States – $5.3 billion (2017)[43]
  3. South Korea South Korea – $2.34 billion (2016)[44]
  4. Japan Japan – $1.8 billion (2015)[33]
  5. Germany Germany – $1.4 billion (2015)[33]
  6. United Kingdom United Kingdom – $800 million (2016)[45]
  7. Russia Russia – $600 million (2016)[46]

History of worldwide industry revenue

See also: Video games in Japan for Japan figures and Video games in the United States for US figures

The following table lists the worldwide annual revenue generated by the electronic games industry. For the 1970s, revenue figures include video games and electro‑mechanical games across arcades and homes. Since the 1980s, only video game revenue is included.

Year Annual revenue (est.) Breakdown Ref
Nominal Inflation
2017 $108,900,000,000 $136,000,000,000 [31]
2013 $76,000,000,000 $99,000,000,000 [47]
2012 $63,000,000,000 $84,000,000,000 [48][49]
2011 $65,000,000,000 $88,000,000,000 [50]
2010 $62,700,000,000 $88,000,000,000 [50]
2009 $60,400,000,000 $86,000,000,000 [51]
2008 $67,480,000,000 $95,000,000,000 $54 billion (worldwide retail market)[52]
$13.48 billion (Japan arcade & online)[53]
2007 $61,340,000,000 $90,000,000,000 $49.4 billion (worldwide retail)[52][54]
$11.94 billion (Japan arcade & online)[53]
2006 $42,510,000,000 $64,000,000,000 $31.63 billion (worldwide retail)[54][55]
$10.88 billion (Japan arcade & online)[53]
2005 $37,640,000,000 $59,000,000,000 $29 billion (worldwide consumer market)[56]
$8.64 billion (Japan arcade market)[53]
2004 $44,880,000,000 $72,000,000,000 $33.52 billion (worldwide consumer market)[57][58]
$7.86 billion (Japan arcade market)[53]
$3.5 billion (US arcade market)[59]
2003 $33,200,000,000 $55,000,000,000 [60][61]
2002 $37,840,000,000 $64,000,000,000 $31 billion (worldwide consumer market)[62][60][63][64]
$6.84 billion (Japan arcade & online)[53]
2001 $35,000,000,000 $60,000,000,000 [65][66]
2000 $36,170,000,000 $64,000,000,000 $28.8 billion (worldwide consumer market)[67][68][69]
$7.37 billion (Japan arcade market)[53]
1999 $39,440,000,000 $70,000,000,000 $16.74 billion (Japan)[53]
$16.7 billion (US)[59]
$6 billion (EU retail software)[70]
1998 $30,000,000,000 $55,000,000,000
1997 $25,850,000,000 $49,000,000,000 $18 billion (retail)[71]
$7.85 billion (Japan arcade)[72]
1996 $44,000,000,000 $85,000,000,000 $26 billion (arcade market)[73]
$18 billion (retail market)[74]
1995 $29,320,000,000 $59,000,000,000 $15 billion (retail) [27]
$9.52 billion (Japan arcade)[75]
$4.8 billion (US arcade)[59]
1994 $29,300,000,000 $60,000,000,000 $20.8 billion (retail sales)[76]
$8.5 billion (US arcade & rentals)[59]
1993 $29,300,000,000 $62,000,000,000 $19.8 billion (retail sales)[76]
$9.5 billion (US arcade & rentals)[59]
1992 $27,915,000,000 $61,000,000,000 $18.045 billion (retail)[77]
$9 billion (US arcade) [28]
$870 million (UK arcade)[78][79][80]
1991 $12,730,000,000 $28,000,000,000 $8.1 billion (US total)[59]
$4.63 billion (Japan retail)[53]
1990 $17,900,000,000 $42,000,000,000 $13 billion retail[81]
$4.9 billion (US arcade)[59]
1989 $19,900,000,000 $49,000,000,000 $13.5 billion (worldwide retail)[82]
$6.4 billion (US arcade)[59]
1988 $13,860,000,000 $36,000,000,000 $9.9 billion (US total)[59]
$3.96 billion (Japan retail)[53]
1987 $4,450,000,000 $12,000,000,000 $3.7 billion (Japan retail)[53]
$750 million (US retail)
1986 $8,710,000,000 $24,000,000,000 $4.43 billion (US)[59]
$4.28 billion (Japan retail)[53]
1985 $7,210,000,000 $20,000,000,000 $4.6 billion (US)[59]
$2.61 billion (Japan retail)[53]
1984 $6,820,000,000 $20,000,000,000 $5.3 billion (US)[59]
$1.52 billion (Japan retail)[53]
1983 $11,650,000,000 $36,000,000,000 $9.9 billion (US)[59]
$1.75 billion (Japan retail)[53]
1982 $17,730,000,000 $56,000,000,000 $15.6 billion (US)[59]
$1.33 billion (Japan retail)[53]
$800 million (EU)[83]
1981 $20,000,000,000 $67,000,000,000 $20-35 billion (estimate)[84]
1980 $12,233,200,000 $45,000,000,000 $10.5 billion (arcade games)
$7.553 billion (video games)
$634.4 million (console games)
1979 $8,931,000,000 $37,000,000,000 $8.195 billion (arcade games)
$5.456 billion (video games)
$361 million (console games)
[85]
1978 $4,777,000,000 $22,000,000,000 $4.14 billion (arcade games)
$2.572 billion (video games)
$442 million (console games)
[86]
1977 $1,729,390,000 $8,700,000,000 $1.261 billion (arcade games)
$929 million (video games)
$375 million (console games)
[87]
1976 $1,331,300,000 $7,100,000,000 $1.087 billion (arcade games)
$874 million (video games)
$244 million (console games)
[88]
1975 $1,428,130,000 $8,100,000,000 $1.387 billion (arcade games)
$193.1 million (video games)
$41.1 million (console games)
[89]
1974 $904,300,000 $5,600,000,000 $893 million (arcade games)
$261.3 million (video games)
$11.3 million (video game consoles)
[90]
1973 $589,000,000 $4,000,000,000 $547.5 million (arcade games)
$161 million (video games)
$7 million (video game consoles)
[91]
1972 $547,500,000 $4,000,000,000 $542 million (arcade games)
$11.5 million (video games)
$5.5 million (video game consoles)
[92]
1971 $423,000,000 $3,200,000,000 $422 million (electro‑mechanical arcade games)
$1 million (arcade video games)
[93]
1970 $395,000,000 $3,100,000,000 $361 million (electro‑mechanical arcade games)
$34 million (electro-mechanical handheld games)
[94]

History of regional industry revenue

See also: Video games in Japan for Japan figures and Video games in the United States for US figures

It is difficult to estimate figures in many countries so some numbers may vary by a few billion dollars.

Region / Country 2013 2012 2011 2010 Ref
Asia-Pacific $49.623 billion $44.063 billion $42.358 billion $38.77 billion
Japan $22.29 billion $22.29 billion $23.04 billion $21.13 billion [53]
China $14 billion[95] $9.8 billion[96] $7.3 billion[97][98] $6.9 billion[99] [100]
South Korea $9.64 billion[101] $9.23 billion[102] $9.082 billion[103][104] $7.784 billion[103][105] [106]
Australia $2 billion[107] $1.16 billion[108] $1.5 billion[108] $1.67 billion[109] [110]
Taiwan $825 million $773 million $713 million $660 million [109][111]
Indonesia $492 million $463 million $429 million $396 million [109]
India $376 million[112] $347 million[113][114] $294 million[115] $230 million[116]
Europe $20 billion[47] $21.3 billion[117] $21.3 billion[117] $20.66 billion[117] [118]
United Kingdom $3.67 billion[119] $2.6 billion[120] $5.4 billion[121] $3.812 billion[109] [122]
France $6.9 billion[123] $4 billion[124] $3.352 billion[109] $3.416 billion[109] [125]
Germany $3.7 billion[126][127] $3.36 billion[128] $2.757 billion[109] $2.659 billion[109] [129]
Italy $1.961 billion[130] $1.85 billion[130] $1.428 billion[109] $1.371 billion[109] [131]
Russia $1.5 billion[132][133] $1.3 billion[134] $1.4 billion[109] $1.207 billion[109]
Netherlands $807 million[135] $807 million[135] $809 million[109] $801 million[109] [136]
North America $22.8 billion[137] $20.7 billion[117] $20.7 billion[117] $20.49 billion[117]
United States $17.39 billion[138] $17.1 billion[139] $16.6 billion[140] $18.58 billion[141]
Canada $2.3 billion[142] $2.773 billion[143] $2.171 billion[144] $1.682 billion[109] [145][146]

[147]

Latin America $3.9 billion[148] $5.4 billion[117] $5.4 billion[117] $4.74 billion[117]
Brazil $1.4 billion[148] $2 billion[149] $2 billion[149] $391 million[109]
Mexico $1.56 billion[149] $1.2 billion[149] $636 million[109] $1.25 billion[150] [151]
Middle East $2.6 billion[152] $2.6 billion[152] $1.983 billion $1.2 billion[117] [153]
Arab World $1.31 billion[154] $1.31 billion[154]
Turkey $593 million[155] $593 million[155] $50 million[109]
Israel $89 million $85 million $80 million $76 million [109]


See also

References

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  110. $1.3 billion (2008)
  111. $76.68 million (2002)
  112. 20 billion Indian rupees = $376 million
  113. 15 billion Indian rupees = $347 million
  114. http://www.mcvuk.com/news/read/indian-video-games-industry-grew-16-in-2012/
  115. 13 billion Indian rupees = $294 million
  116. http://web.archive.org/web/20111209145902/http://capcom.co.jp/ir/english/business/market.html
  117. 117.0 117.1 117.2 117.3 117.4 117.5 117.6 117.7 117.8 117.9 LU-CIX Key Facts and Trends on the Ever- Changing Global Games Market, Newzoo (October 18, 2012)
  118. $18.9 billion (2007)
  119. £2.19 billion = $3.67 billion
  120. £1.598 billion = $2.6 billion
  121. £3.226 billion = $5.4 billion
  122. 2008: £4 billion = $8.2 billion
  123. €5 billion = $6.9 billion
  124. €3 billion = $4 billion
  125. $4.05 billion (2008)
  126. http://www.newzoo.com/insights/europes-largest-games-market-germany-grows-5-3-7bn-2013/
  127. €2.66 billion = $3.67 billion
  128. €2.5 billion = $3.36 billion
  129. $3.8 billion (2008)
  130. 130.0 130.1 http://www.slideshare.net/Newzoo/newzoo-italian-games-market-summary-report-2012
  131. $1 billion (2007)
  132. Eastern European & Russian Game Markets
  133. Russian Video Game Industry 2013 Overview
  134. Report: Gaming market in Russia reached $1.3 billion in 2012
  135. 135.0 135.1 €600 million = $807 million
  136. $1.89 billion (2008)
  137. Global Games Market to Grow 6% to $70.4bn in 2013, Newzoo
  138. US, 2013
  139. US, 2012
  140. NPD 2011 sales figures
  141. http://www.cnbc.com/id/41062675/Video_Game_Sales_Drop_6_in_2010_Second_Year_of_Declines
  142. http://theesa.ca/wp-content/uploads/2013/10/Essential-Facts-English.pdf
  143. Canada, 2012
  144. Canada, 2011
  145. $2.09 billion (2008)
  146. $746 million (2003)
  147. $1 billion 2002)
  148. 148.0 148.1 http://www.gamesindustry.com/brazil-leading-latin-americas-3-9-billion-digital-games-industry/
  149. 149.0 149.1 149.2 149.3 http://www.lai.com/en/latin-american-game-market-mexico-brazil
  150. http://www.vgchartz.com/article/84570/an-introduction-to-the-video-game-market-in-mexico/
  151. $1 billion (2008)
  152. 152.0 152.1 http://www.wixelstudios.com/arabian-abou-ahmad-demo/
  153. Middle East, mobile game market
    • 2007: $200 million
    • 2006: $100 million
  154. 154.0 154.1 ¥100 billion = $1.31 billion
  155. 155.0 155.1 ¥45 billion = $593 million

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