Skip to main content

Mobile Games Revenue will Reach $28.9 Billion by 2016

The digital video games industry has changed dramatically over the past decade. Historically, computers and game consoles were essentially the only devices to play games on. However, these devices have been supplemented by an array of alternative games channels in recent years.

Many mobile devices -- such as smartphones and tablets -- can also be used to play various types of games, encouraging those who perhaps would not normally play games to now begin.

By 2016, total revenues from mobile games will reach $28.9 billion – that's a growth of over 38 percent on the 2014 figure of $20.9 billion, according to the latest market study by Juniper Research.

The study findings highlight that in an effort to maximize their apps' potential, developers are turning their focus on increasing user lifetime value.

The new study found that with the domination of casual gamers playing free-to-play games, the game developer's approach has shifted from bulk acquisition of unique players.


Under the new strategy, which brings mobile analytics to the fore, developers are increasing lifetime value through analyzing, (re)engaging and monetizing users, allowing for higher overall returns on investment.

The study found that tablet users will spend more on in-game purchases and generate more revenues per device than smartphone users.

In turn, the enhanced performance and graphical capabilities of tablet games is resulting in accelerated migration from traditional portable gaming devices.

Gaming Devices Market Segmentation

Nevertheless, Juniper does not believe that increased gaming activity on smartphones and tablets will necessarily mark the end of this market.

Rather, dedicated gameplay hardware will continue to serve a niche gaming audience.

Meanwhile, software will embrace elements of mobile games as reflected by the introduction of PlayStation Now, which aims to let users play games through online streaming via a per-game or subscription basis.

Other findings from the market study include:

  • Over the forecast period, the emphasis in interactive entertainment will be on convenience, accessibility, and online streaming.
  • Rising disposable income levels accompanying increased smartphone adoption will spur increased in-game purchasing revenues across Latin American, Eastern European and Southeast Asian regions.
  • With app stores remaining the primary content discovery locations, storefront optimization will be enhanced to personalize the discovery process.

Popular posts from this blog

How Savvy Pioneers Lead the Future of Work

Hybrid and fully remote work are inevitable in the Global Networked Economy where high-performance talent demands flexibility from employers. To enable these progressive work models, organizations are investing in a wide range of technologies to support more agile types of employment.  According to the latest worldwide market study by International Data Corporation (IDC), leading organizations will spend nearly $1 billion on the Future of Work (FoW) in 2023 -- that's an increase of 18.8 percent over 2022. Future of Work Market Development "Work models continue to evolve, but 37 percent of decision-makers in a recent global survey note that Remote and Hybrid work models will be an embedded part of accepted work practices, supported by a continued shift to the cloud, increasingly instrumented and interconnected physical workplaces, and intelligent digital workspaces," said Holly Muscolino, group vice president at IDC . According to the IDC assessment, organizations must mak

Human Resource Transformation Enabled by IT

Many senior executives are taking a proactive approach to digital business transformation in order to achieve their strategic goals. Delivering revenue growth and profitability is now imperative for every function, including Human Resources (HR). The top 3 priority HR technologies this year are skills management, learning experience platforms, and internal talent marketplaces, according to the latest worldwide market study by Gartner. "With a tumultuous global economy, HR technology leaders face a balancing act in 2023," said Sam Grinter, director at Gartner . "Leaders must anticipate greater levels of accountability and demand for measurable outcomes to justify new technology investments." HR Transformation Market Development Forty-four percent of HR leaders report driving better business outcomes is their number one strategic priority for HR technology transformation over the next three years. Growth in headcount and skills (26 percent) and cost optimization (17 p

Virtual Reality Market Set to Reach $100 Billion

Virtual Reality (VR) market growth is now finally coming to fruition. Thanks to current actions and market momentum, VR is approaching what can be considered critical mass. And, not a moment too soon. This growth momentum comes from new hardware and content releases, accelerating enterprise value recognition, and a significant metaverse wild card that could potentially lift adoption and usage. According to the latest worldwide market study by ABI Research, over 85 million VR Head Mounted Displays (HMDs) will be shipped in 2027 across consumer and enterprise segments, creating a $100 billion VR market that includes hardware, software, and services. Virtual Reality Market Development "Expectations have been high in VR for years, and even decades, without notable growth to show. That growth is finally coming over the next five years," said Eric Abbruzzese, research director at ABI Research . The barrier to entry is lower than ever, all while content performance and user experien