Advanced Television

Forecast: Cloud gaming revenues at $4.3bn in 2023

May 25, 2023

Although cloud gaming has been present for some time now, the entire market is set to witness strong growth throughout 2023, with revenues and users rising to record highs.

According to data presented by Safe Betting Sites, global cloud gaming revenues – from services such as Google Stadia, Xbox Game Pass, and PlayStation Now – are expected to surge by 62 per cent year-over-year and hit $4.3 billion (€4bn) in 2023.

According to a Statista survey, the entire market grossed around $580 million in revenue in 2018, including subscriptions for cloud gaming platforms and in-game purchases from cloud gaming titles. Two years later, revenue jumped to over $1 billon, growing 43 per cent year-over-year. Statistics show 2021 also witnessed a significant 53 per cent year-over-year growth, with the market reaching a $1.67 billion value. This figure increased by another 59 per cent to $2.67 billion in 2022.

Statistics show 2023 is set to witness record annual growth, with gamers spending $4.34 billion on cloud gaming, 62.5 per cent more than last year. Statista expects the entire market to continue growing by a CAGR of 44.1 per cent in the next four years and reach an $18.7 billion value by 2027.

Globally the US generates the highest cloud gaming revenue. According to Statista data, the US cloud gaming market will gross over $1.2 billion in revenue this year, or 28 per cent of the world`s total. As the second-largest globally, the Chinese market will see 25 per cent less cloud gaming revenues or around $900 million. Further below are Japan, the UK and Germany follow, with $364.7 million, $198.3 million, and $179.8 million, respectively.

Besides impressive revenue growth, the cloud gaming segment saw its user base surge by an average of 100 million people per year. In 2022, 182.3 million people worldwide used cloud gaming services, up from 102.6 million a year before that. This figure is expected to jump to 295 million in 2023, and by the end of 2024, the entire market is forecast to reach more than 395 million users worldwide, the report concludes.

Categories: Articles, Games, Markets, Research

Tags: , , , ,