Virtual Sports Market size is estimated at USD 19.8 billion in 2024 and is anticipated to cross USD 141.4 billion by the end of 2037, witnessing more than 17.8% CAGR during the forecast period i.e., between 2025-2037. In 2025, the industry size of virtual sports is assessed at USD 23.3 billion.
The COVID-19 pandemic has played a key role in increasing the number of users engaged in virtual sports. As per TwitchTracker, Twitch saw a 60% increase in viewership for e-sports during the first half of the pandemic. The Economics Times reported in 2020, that the Texas Motor Speedway simulation racing game became the highest-viewed e-sports event ever during the pandemic with 1.3 million viewers.
The significant growth of the virtual sports market is attributed to the rise in mobile gaming. The easy availability of smartphones has made virtual sports accessible globally leading to impressive market growth. Gaming on portable devices such as smartphones and tablets appeals to casual and hardcore gamers alike and has boosted the demand for virtual sports games. Due to the rise in technological innovations, virtual sports offer immersive experiences to users. For instance, Electronics Arts (EA) Sports released the UEFA Euro 2024 mode for EA Sports FC Mobile in June 2024 which has 500 million downloads on the Play Store. EA’s annual report in 2021 revealed that it made USD 1.6 billion from April 2020 to March 2021.
Growth Drivers
Challenges
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
17.8% |
|
Base Year Market Size (2024) |
USD 19.8 billion |
|
Forecast Year Market Size (2037) |
USD 141.4 billion |
|
Regional Scope |
|
Component (Solutions, Services)
The solutions segment dominated the virtual sports market with a substantial 87.1% of revenue share in 2024. The need for innovative solutions rises as users seek immersive experiences and new ways to interact with virtual sports. Platforms like GeForce NOW by Nvidia allow users to stream high-quality games without supporting hardware. In 2022, GeForce NOW reported 20 million active users. The growing interest in esports is a key driver in this segment’s rise as evident from the surge in users in streaming platforms such as Facebook Gaming. In 2021, Worldmetrics.org reported that Facebook Gaming reached 500 million active users. With new cutting-edge innovations improving the virtual sports experience, this segment is expected to hold its dominant market share during the forecast period.
Game (Soccer, Baseball, Basketball, Golf, Tennis, Cricket, MMA, Others)
The football (soccer) held the most revenue share and is expected to continue its dominance during the forecast period owing to the immense popularity of football across the globe. Virtual sports games such as EA Sports FC Mobile, Top Eleven, and Football Manager provide immersive experiences to the users from being a manager to playing against opponents in real-time. The rise in virtual football esports will be a significant driver of this segment. For instance, in September 2024, FIFAe World Cup was conducted for the game Football Manager with the International Federation of Association Football planning new Esports events in the future.
Our in-depth analysis of the virtual sports market includes the following segments:
|
Component |
|
|
Game |
|
|
Demographics |
|
North America Market Analysis
North America virtual sports market is expected to dominate revenue share of over 29.3% by 2037 due to a strong technological ecosystem, prevalent gaming culture, and rising user interest in immersive virtual experiences.
U.S. is poised to remain a market leader in the virtual sports market in lieu of a robust culture of gaming which has created a dedicated user base and communities for various titles. As per EA, Madden NFL 2024 saw a record increase of 6% in booking and a surge in weekly users. The robust technological infrastructure of the U.S. enables the development of premier virtual sports experiences for users. Another significant driver for growth is the relaxation of regulatory hurdles, as virtual sports betting has been made legal in several states of the country. Additionally, with the Esports scene continuing to thrive in U.S., the country is set to maintain the growth curve in the market.
In Canada, the relaxed regulatory framework along with a strong gaming culture drives the market forward. In 2021, the government legalized single-game sports betting which has boosted the market growth. A robust Esports and gaming ecosystem in the country, with rising disposable income among the population, will continue to assist the market growth.
APAC Market Analysis
Asia Pacific is poised for a lucrative market share during the forecast period owing to the considerably large section of the population, robust gaming ecosystem, and increasing internet penetration.
India has seen significant growth in the virtual sports market. The country saw the highest surge during the pandemic with a mammoth rise in esports and virtual sports betting. The largest sports betting platform Dream 11 reported more than 200 million active users in October 2023. Platforms such as Loco and Rooter have been established to capitalize on the rising esports and virtual sports streaming in the country. In 2022, Loco reported more than 100 million views in a live Esports event for Battlegrounds India Mobile. Virtual sports like football are becoming increasingly popular in Esports scenarios in India.
China has a strong gaming ecosystem with PC and mobile games sharing the popularity. In 2024, the South China Morning Post reported that gamers in China increased to 668 million from 666 million in 2022. As per the report, gamers in China spent USD 303 billion on games. Another significant driver is the esports boom in the country with China having the most active Esports players in the world along with the highest game revenues. These factors make China a lucrative market for virtual sports.
Author Credits: Abhishek Verma
Copyright © 2024 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?