Online Gaming Market Share

Asia Pacific Market Analysis

Asia Pacific online gaming market is predicted to dominate revenue share of around 36.7% by the end of 2037. This is driven due to countries such as China, Japan, and South Korea, which boast strong infrastructures for both mobile as well as PC gaming. High-speed internet is a necessity in online games, and affordable smartphones comprise key pillars of steps forward in this region. Moreover, the popularity of eSports and government initiatives to enroll gaming as a cultural and economic asset for some countries boost this trend even more.

India is poised to experience rapid growth in the online gaming industry through 2037. The penetration of smartphones and the affordability of data plans make many Indians more likely to play games. As a result, mobile gaming is likely to be one of the key factors guiding India towards becoming the leading country in Asia Pacific.

China represents the largest market in Asia, primarily because of its large gaming ecosystem. Companies such as Tencent and NetEase remain among the world's biggest game developers. In October 2022, Tencent's mobile game Honor of Kings set record revenues, and that signifies that China's mobile gaming culture is strong. However, the regulatory factors of limited gaming hours imposed on minors since March 2022 remain challenging for this industry, especially in reaching out to the younger segments.

North America Market Analysis

North America online gaming market is likely to grow at around 11.3% CAGR between 2025 and 2037. Growth in both the U.S. and Canada is likely to push North America online gaming industry forward. The region's market environment is characterized by high expenditure on gaming technology and a good presence of competitive eSports. This growth is fueled by high-speed infrastructure and significant online gaming.

The U.S. is still the biggest player in the North America market and the largest local companies are Microsoft, Sony, and Electronic Arts, among others. In January 2022, Microsoft sealed its acquisition of video game company Activision Blizzard worth $68.7 billion, confirming a deal that promises to change the future of gaming. The acquisition is described as strategic, whereby Microsoft increases its stake in mobile and cloud gaming.

The online gaming sector in Canada is also progressively rising with a focus on the development of talents and innovation in its game design. The government of Canada has continued to give support to the industry, which also includes tax incentives and funding for local developers through various initiatives. In February 2023, the Canadian Media Fund announced an investment of CAD 23 million to support interactive digital media projects, including video game development. This funding is supposed to contribute to the strengthening of local studios and reinforcing Canada's role in the North America market.