According to NewZoo’s market research, the year 2018 produced a unique milestone, with the top 25 public companies by game revenues generatinh upwards of $100 billion, which is close to being 80 per cent of the global games market.
The exact figure is $107.3 billion and it’s actually a 16 per cent increase compared to 2017. Global games market raked in $134.9 million in 2018, so you do the math.
In spite of the trouble Tencent had with the Chinese government’s gaming crackdown, the company is leading the way for the sixth year running with $19.7 billion in revenue. That’s 15 per cent of the entire market, by the way.
Newzoo’s report from November 2018 mentioned that the mobile gaming sector took a serious hit, which lowered the outlook for the entire gaming sector, but Tencent seem to be doing well all things considered.
Sony came in not so close second, followed by Microsoft, Apple and Activision Blizzard, but it seems that it’s the consoles that were the most profitable playing field.
“Console showed particularly strong growth in 2018, accounting for 38% of revenues earned by the top 25 companies, up from 34% in 2017. Notably, five out of the top 10 companies earned most of their revenues from console gaming”, Newzoo wrote.
Sony generated $14.2 billion, which is a 41 per cent year-on-year growth, the highest among the top 10 companies. Indeed, Sony were on a roll with exclusives, and Red Dead Redemption 2 generously helped.
Microsoft’s revenue was $9.8 billion, 32 per cent higher than in 2017, so they’re definitely fighting back. “Owing to this success, it is unsurprising that the company is starting to position Xbox as a service rather than a hardware platform”, Newzoo wrote.
Nintendo generated $4.3 billion, which is 36 per cent higher than in 17 and is certainly a good sign for the company. Newzoo didn’t fail to notice the Microsoft-Nintendo relationship, which has occasionally spawned a Sony jab or two.
Capcom is listed as one of the honourable mentions, and despite coming in 25th place, the company had year-on-year growth of 49 per cent, thanks to Monster Hunter: World’s global reach.
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