Video game industry faces sluggish growth in 2024 amid weak console sales, research firm says
The global video game market is set for sluggish annual growth this year amid weak sales of gaming consoles, according to a new report from market research firm Newzoo.
In a blog post published Tuesday, Newzoo said the games industry is set to grow 2.1% year over year to an estimated $187.7 billion.
That is slightly down from an earlier January forecast in which the firm said it expects the video game industry to grow 2.8% to $189.3 billion in 2024.
Almost half of all consumer spending on games in 2024 is expected to come from the U.S. and China, Newzoo said, with the U.S. generating $47 billion of sales and China accounting for $45 billion.
Though it’s a step up from last year’s growth rate of 0.6%, the games industry isn’t experiencing the same growth rates it saw in the heady days of the Covid-19 pandemic.