Research Suggests Software to Outpace Hardware in 2011

July 6, 2011 -

According to new research data from Gartner Inc., an estimated $74 billion will be spent on gaming on 2011, delivering - by year's end - a 10 percent increase over 2010 numbers. The firm also estimates that two-thirds of that money will be spent on software. By 2015 that number will grow to $112 billion.

“As the popularity of smartphones and tablets continues to expand, gaming will remain a key component in the use of these devices," said principal research analyst Tuong Nguyen. "Mobile games are the most downloaded application category across most application stores. For this reason, mobile gaming will continue to thrive as more consumers expand their use of new and innovative portable connected devices."

The data comes from a new report called "Market Trends: Gaming Ecosystem 2011." It also predicts that software will lead hardware in sales for 2011, with online following suit. When micro-transactions and subscriptions from online games are included, they estimate a compound annual growth rate of 27 percent through 2015.

"We find that subscription fees are giving way to ‘freemium’ models, in which the game is provided for free to gamers but is monetized through advertising (both in-game advertising and display advertising) and in-game micro-transactions, such as the sale of value-added services or virtual-good purchases,” noted research director Brian Blau. “This trend is prevailing given the rise of social gaming, in which online gaming is connected to social networking sites and social networking platforms.”

We're not sure if this report takes into account new hardware from Nintendo and Sony, but it's an interesting set of predictions.

Source: Industry Gamers


 
Forgot your password?
Username :
Password :

Poll

Poll: Is it censorship when a private retailer decides not to sell a particular video game?:

Shout box

You're not permitted to post shouts.
InfophileBut hey, I'm not a mod here. It's up to them05/30/2015 - 7:36am
InfophileThat's really not conducive to a good discussion. It just puts people on the defensive. So yeah, I really think IP should try to hold back on that. I'm not sure a ban is in order unless they show they can't or won't change, though05/30/2015 - 7:36am
InfophileLooking through IP's recent posts, there are some that do add to the discussion. There are also a handful which add nothing and are just jabs or point-scoring. It feels like IP is treating the comments more like a battleground than a discussion, honestly05/30/2015 - 7:34am
MattsworknameAhh, that explains why I wasn't aware. I don't follow, like ,nor care for soccer05/30/2015 - 6:50am
Goth_SkunkThe top dog at FIFA.05/30/2015 - 6:49am
MattsworknameWhose Blatter conster?05/30/2015 - 6:42am
ConsterSpeaking of non-video games for a second, I'm seriously disappointed in people for re-electing Blatter, and disgusted by his speech afterwards.05/30/2015 - 6:32am
ConsterHe's at least 5 times as bad as GS.05/30/2015 - 6:31am
Goth_SkunkEIC of Gameranx apologizes for his recent conduct: http://ow.ly/NDBxn Frankly, I'm surprised this wasn't posted sooner.05/30/2015 - 6:31am
ConsterGS does have a point: IP, on his own, causes at least as much harassment, insulting, and holier-than-thou'ness, as all the pro-GG people on this site combined.05/30/2015 - 6:30am
WonderkarpI am not sure I agree that its Harassment, But I do agree that he doesnt bring anything to the conversation. Its too the point where whenever I see his name, I just Thumbs down and move on. Its all buzz words and accusations and rarely civil05/30/2015 - 6:22am
MattsworknameWell, best of luck on that, but im not holding my breath.05/30/2015 - 5:04am
Goth_SkunkI believe the time to pull the plug was long ago, but kept quiet knowing full well Iron Patriot cannot help themself. There is a mountain of evidence to support my claim. In my opinion, it is harassment, and it needs to stop.05/30/2015 - 4:35am
Goth_SkunkIt's not getting me down. Far from it. Nevertheless, the conduct is unacceptable and has gone far beyond what any patient human being ought to be expected to tolerate.05/30/2015 - 4:34am
MattsworknameDont let him get you down Goth, I just go look at kitten videos for a bit to get my posistive mood back05/30/2015 - 4:27am
Goth_SkunkIt is not conducive to a welcoming, open-minded environment that this site is supposed to be.05/30/2015 - 2:33am
Goth_SkunkIt's highly annoying. It adds nothing of note to any topic and is of no benefit to anyone. And the fact that it has not been stopped up until now is giving me the impression that site administration condones it.05/30/2015 - 2:32am
Goth_SkunkIron Patriot goes out of their way to attack, mischaracterize, dehumanize, and otherwise derail any topic where an individual is even remotely considering siding with GamerGate.05/30/2015 - 2:31am
Goth_SkunkI believe there is sufficient evidence to accuse Iron Patriot of harassment. I would like something done about it.05/30/2015 - 2:20am
Andrew EisenFirst I hear of the Frag Dolls in many years and they're disbanding. http://fragdolls.com/frag-dolls-farewell-2/05/29/2015 - 7:59pm
 

Be Heard - Contact Your Politician