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Embracer lost $431 million last year

Embracer Group today reported its financial results for its fourth quarter and full fiscal year, showing that its strin…
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00:09:32 Business areas 01:14:52 Financial Performance 01:27:30 Sustainability quarterly update 01:29:36 Deep dives 01:48:18 Q&A
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Skybound Entertainment secures fresh investment from Hiro Capital, Knollwood Advisory and more

Skybound Entertainment has successfully completed a new round of funding, thanks to a slew of new partners.
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Next-gen Cyberpunk 2077 doubles CD Projekt's Q1 profits

The recovery of Cyberpunk 2077 continues as CD Projekt reveals the release of the next-gen version resulted in a profit…
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The recovery of Cyberpunk 2077 continues as CD Projekt reveals the release of the next-gen version resulted in a profit surge during the first quarter of this year.

The Polish games firm released its financial results for the three months ended March 31, 2022 last night. Here's what you need to know:

The numbers​

Revenue: 216.1 million PLN ($50.4 million) up 9% year-on-year

  • CD Projekt Red revenues: 179.3 million PLN ($41.8 million)
  • GOG revenues: 40.4 million PLN ($9.4 million)
Operating costs: 83.2 million PLN ($19.4 million), down 10%

Earnings before interest and tax: 85.3 million PLN ($19.9 million), up 98%

Net Profit: 68.9 million PLN ($16.1 million) - more than double the net profit of Q1 2021, up 112%

Net Profitability: 31.9%, up from 16.4%
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Niko: Chinese console market tops $2bn

Console gaming in China is small but growing, according to Niko Partner's 2022 China Console Games Market Report.
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CEO says Embracer "will not change in any way" after Saudi Arabia $1bn investment

Embracer Group CEO Lars Wingefors has addressed the controversy around the sale of an 8% stake in his company for $1 bi…
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Take-Two CEO Strauss Zelnick agrees with PlayStation's subscription plan

Take-Two CEO Strauss Zelnick agrees with PlayStation's stance on not releasing brand new AAA products into a subscripti…
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Devolver stock price plummets after lowering sales expectations

Devolver shares took a beating today, trading down 47% to 72.5 GBX after the company downgraded its sales expectations …
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Intel's Accelerated Computing Systems and Graphics Group (AXG), which is responsible for its line-up of Alchemist graphics cards, has lost the company $507 million in the past three months. That is markedly more than it lost in Q1, 2021 which came in at $168 million.

A big chunk of that cash is caught up in "inventory reserves and roadmap investments", Intel explains. Alchemist is yet to hit the shelves anywhere outside of China, and may be further delayed according to recent leaks from YouTuber Moore's Law Is Dead (opens in new tab), yet inventory is building up ready for a release at some point.

Now that sort of build-up of inventory is to be expected for a major product launch, but it has coincided with one of Intel's worst financial reports in years. The company posted revenue of $15.3B (opens in new tab), which is down 17% year on year and $2.7B below the expected outlook.
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Alchemist wouldn't have done much to plug that hole, but a timely release may have gone a long way to making Intel's big push into graphics appear a lot more worthwhile for shareholders.

"The sudden and rapid decline in economic activity was the largest driver of the shortfall, but Q2 also reflected our own execution issues in areas like product design, DCAI, and the ramp of AXG offerings," CEO Pat Gelsinger says (via Seeking Alpha ).

Intel is having to lower its expectations for AXG, stating that it will "not hit our GPU unit target."

He also elaborates slightly on why Intel hasn't been able to deliver Alchemist in a timely fashion, noting "COVID-related supply chain issues and our own software-readiness challenges caused availability delays that we continue to work to overcome."
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There is some positive news, however, and it's not just that by comparison Meta's Reality Labs division's losses (opens in new tab) make AXG's appear small fry.

"We remain on track to deliver over $1 billion in revenue this year. In Q2, we started to ramp Intel Arc graphics for laptops and OEMs, including Samsung, Lenovo, Acer, HP and Asus…. Intel Arc A5 and A7 desktop cards will start to ship in Q3," Gelsinger says.

Yet what state these cards will be in when they do release is another thing entirely.

Those software-readiness challenges are a common theme in reviews of the Intel Alchemist A380 GPU available in China today. Wolfgang Andermahr of Computer Base (opens in new tab) reviewed the card and said of the drivers: "This is currently so bad that it is hard to believe that Intel will be able to raise the quality to a usable level in the next few months."
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Intel's faltering GPU launch has only made matters worse as it reports rare loss

The Intel group in charge of graphics lost over half a billion dollars in the past three months.
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The June launch of Diablo Immortal was not enough to pull Activision Blizzard out of its recent malaise, as the publisher posted its second quarter results today, showing double-digit declines, to revenues, net income, and players.

Activision Blizzard Q2 numbers​


Revenue: $1.64 billion (down 28% year-on-year)
Bookings: $1.64 billion (down 15%)
Net income: $280 million (down 68%)
Monthly active users: 361 million (down 12% year-over-year and 3% quarter-over-quarter)
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Activision​

The Activision division continued to show declines with revenues down 38% year-over-year to $490 million, and engagement continuing to slide.

For the quarter, Activision reported 94 million monthly active users, down 26% year-over-year and 6% quarter-over-quarter. It is also the lowest total for the division since the launch of Call of Duty Mobile in October of 2019.

The publisher said Call of Duty: Vanguard and Call of Duty: Warzone had improved from their first quarter performances, but console and PC bookings for the franchise were still down year-over-year.

Meanwhile, Call of Duty Mobile's performance was more or less steady.
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Blizzard​

Despite the arrival of Diablo Immortal and growth from Hearthstone, Blizzard net revenues were still down 7% year-over-year to $401 million.

The company attributed the drop to a tough comparison against last year's second quarter debut of Burning Crusade Classic.

However, the Diablo Immortal launch did have some positive impact on the division, as the free-to-play mobile game helped push its monthly active users to 27 million, up 4% year-over-year and 23% quarter-over-quarter.

That marks the first time in eight quarters that Blizzard has seen its monthly active user numbers increase from the quarter prior. (The first quarter's 22 million monthly active users was the lowest for Blizzard since the company began reporting the figure in 2016.)

However, that engagement boost might still fall short of some people's expectations. For reference, the October 2019 debut of the free-to-play Call of Duty Mobile saw Activision's monthly active users go from 36 million one quarter to 128 million the next.
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King​

King was the only division to post growing sales this quarter, with net revenue up 8% to $684 million.

It managed that feat despite lesser engagement, with monthly active users of 240 million, down 6% year-over-year and 4% quarter-over-quarter.

The company cited Candy Crush as a driver of growth once again, with the number of paying players up double-digit percentages year-over-year.

Candy Crush has been the top-grossing game franchise in US app stores for 20 quarters running, according to Activision Blizzard.
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Looking ahead​

In light of the pending Microsoft acquisition, Activision Blizzard did not have an investor conference call or release guidance.

However, it did give some indication of its expectations, saying revenue and earnings per share will likely continue to show year-over-year declines in the second half of the year, while it expects operating income at least to show year-over-year growth starting in the fourth quarter.

It also emphasized its pipeline of impending releases for the rest of the year, including Call of Duty Modern Warfare 2, Call of Duty: Warzone 2.0, World of Warcraft: Wrath of the Lich King Classic, World of Warcraft: Dragonflight, and Overwatch 2.

It reiterated that Diablo 4 is slated for a 2023 launch.
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Diablo Immortal launch can't save Activision Blizzard's Q2

Activision Blizzard continued to post revenue declines despite the anticipated launch of Diablo Immortal
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I think, from a business perspective, King is the most valuable component of Microsoft's Activision purchase. Low overhead, low risk, high market penetration, high ROI.

They'll get some cultural clout with COD and the Blizzard portfolio - not that MS as a whole need such clout, though it won't hurt their gaming arm - but the overhead and fickleness of gaming culture make that a much more risky pursuit.
 
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FIFA and F1 drive EA to Q1 growth

Despite a downturn in the financial fortunes of many publishers, Electronic Arts continues to show growth thanks in lar…
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Despite a downturn in the financial fortunes of many publishers, Electronic Arts continues to show growth thanks in large part to its sporting efforts.

The company today reported results for the first quarter of its fiscal year (three months ended June 30), showing sales and profit growth driven by its F1 and FIFA franchises.

​

Electronic Arts Q1 numbers​

Revenue: $1.77 billion (up 14% year-on-year)

Bookings: $1.3 billion (down 3%)

Net income: $311 million (up 52%)
"Our FIFA franchise and the successful launch of F1 drove our net bookings outperformance, delivering another quarter ahead of expectations," said EA CFO Chris Suh.

EA reported growing engagement across a number of FIFA efforts, with FIFA Mobile seeing record quarterly daily active users, FIFA Ultimate Team seeing a 40% jump in year-over-year daily and weekly average player counts, and FIFA Online posting unspecified record engagement numbers.

The F1 series also delivered net bookings ahead of EA's expectations.

Beyond those efforts, EA's year-over-year numbers were also boosted by the acquisition of Golf Clash developer Playdemic, a deal that closed in the publisher's second quarter last year.
Company-wide, EA reported 600 million active EA accounts, up 3% quarter-over-quarter.

EA also reiterated its previous guidance for the full fiscal year, and announced a quarterly cash dividend of $0.19 a share that would be paid out to shareholders next month.
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Digital game purchases in Germany rose to 59% in 2021

The popularity of game downloads in Germany continued to grow last year, with 59% of all PC and console purchases made …
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The popularity of game downloads in Germany continued to grow last year, with 59% of all PC and console purchases made digitally.

According to the German games trade body Game, 93% of all PC titles were purchased and downloaded online, while 7% were bought physically.

On the console side however, 36% of game purchases were made digitally, with the majority still preferring to buy boxed copies of games for Xbox, PlayStation and Nintendo Switch. The German games market also saw a rise in revenues during 2021; sales revenues driven by games, games hardware and fees for online gaming services saw a 17% rise to around 9.8 billion euros.
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PC made up 50% of Capcom's Q1 game sales, or about 5.8 million

Apparently that's what happened during Capcom's recent Q1 period. PC made up 50% of unit sales during the quarter. Capcom sold 11.7 million games during Q1'22, so PC games sold roughly 5.85 million.

87739_10_pc-made-up-50-of-capcoms-q1-game-sales-or-about-5-8-million_full.png


"The ratio of units sold on the PC during the first quarter was approximately 50%. For the full year we expect this to slightly decrease due to the release of a major new title in the fourth quarter," Capcom corporate told investors during a Q&A session.

87739_11_pc-made-up-50-of-capcoms-q1-game-sales-or-about-5-8-million_full.png


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Take-Two's Q1 shaped by Zynga acquisition, recession

Take-Two Interactive reported its earnings for the three months ended June 30 -- during which Zynga officially joined t…
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Square Enix Q1 sales decline by 15%

Final Fantasy maker Square Enix released its financial earnings for the three months ended June 30, 2022.
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Sega posts gains on light release slate

Sega has released its financial results for the three months ended June 30, 2022, and the publisher's fiscal year appea…
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Tencent sees Q2 revenue dip due to "post-pandemic digestion period"

Chinese giant Tencent released its financial earnings for the period ending on June 30, reporting declines in revenue a…
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Chinese giant Tencent released its financial earnings for the period ending on June 30, reporting declines in revenue among its international and domestic game divisions.

By the numbers:​

  • Total revenue was RMB 134.0 billion ($20 billion), a decrease of 3% year-over-year
  • Profit for the period was RMB 19.2 billion ($3 billion), a decrease of 55% year-on-year
  • International Games revenue was RMB 10.7 billion ($ 1.6 billion), down 1% year-over-year
  • Domestic Games revenue decreased 1% to RMB 31.8 billion ($4.7 billion), a decrease of 1% year-on-year

International Games:​

The firm explained its international games revenue decline by saying the entire industry "experienced a post-pandemic digestion period" as players started to resume outdoor and offline pursuits.
While its titles PUBG Mobile and Brawl Stars saw decreases in their earnings, Valorant grew revenues and posted a record-high for monthly active users during the quarter.
Additionally, Tencent noted that V Rising, which was released in Early Access during May, brought in "incremental revenues" as it sold 2 million copies.

Domestic Games:​

Tencent said that its domestic games also experienced a decline by a post-pandemic transitional period.
The Chinese games market saw fewer AAA title releases, lower consumer spending, and continued restrictions on gaming by minors.
The firm did note that its titles Honor of Kings and Peacekeeper Elite were the two top earning games during the quarter.
In recent business news, the firm announced a partnership with Logitech to create a handheld cloud gaming console, which is slated to release later this year.
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Embracer net sales up 107% for Q1

Embracer Group has released its financial results for Q1 of the fiscal year, reporting a 107% increase in sales revenue…
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Embracer Group has released its financial results for Q1 of the fiscal year, reporting a 107% increase in sales revenue as its acquisitions spree continues.

For the quarter ended June 31, the Swedish giant reported net sales of SEK 7.1 billion ($682 million) up from SEK 3.4 billion ($298 million) during the same period last year. It noted that this growth was predominantly driven by inorganic growth via subsidaries bought in the last year.

Embracer's mobile games segment saw the most significant increase, sales for the quarter were up by 104% to SEK 1.4 billion ($134 million). This was driven by subsidiary Easybrain as well the acquisition of hypercasual outfit CrazyLabs in August 2021.

The firm's entertainment and services segment also increased by 44% to SEK 671 million ($64.4 million), largely driven by the acquisition of Dark Horse in December last year.

Embracer's organic growth for the quarter was -12%, but the firm expects to see between 20 and 35% organic growth for the rest of the year with some significant boosts from the launch of Saints Row this month, and Gearbox's royalties on Tiny Tina's Wonderlands, which launched in March.
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Germany market report: 2021 was a record year as spending nears €10bn

German gamers spent more on video games, hardware and accessories in 2021 than in any previous year, with total spendin…
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German gamers spent more on video games, hardware and accessories in 2021 than in any previous year, with total spending reaching €9.8 billion.

This figure was revealed by the 2022 annual report from Game, the trade body for Germany's games industry, which showed revenues for games products rose 17% over the already-breaking levels seen in 2020.

As such, Germany remains the largest video games market in Europe and the fifth largest in the world.

The German games market​

Revenues​


Software: €5.4 billion, up 19% year-on-year
Hardware: €3.6 billion, up 18%
Online and subscription services: €719 million, up 4%
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German-Games-Market-since-1995.jpg
 
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Grisham said:
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That deeper blue area on the right of the graph really shows you what's driving the industry revenue these days.

Every console is just a gateway to sell you a game.
Every game is just a gateway to sell you MTs, DLC and Lootboxes.
 
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Bandai Namco: M&As are "affecting some of the smaller publishers in their capacity to access the best studios"

In an interview with GamesIndustry.biz today at Gamescom, Bandai Namco Europe's CEO Arnaud Muller addressed the impact …
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In an interview with GamesIndustry.biz today at Gamescom, Bandai Namco Europe's COO Arnaud Muller addressed the impact of the current acquisition spree in games on smaller publishers.

While acknowledging that Bandai Namco is in an privileged position, Muller said that the company has to implement measures to safeguard its partnerships and IPs, while smaller publishing outfits might suffer more directly from this consolidation trend.

"What I find is that we have to secure the IPs that we create with the studios we partner with," he said. "When we invest in IP creation, when we invest in marketing for these IPs, we also have to keep in mind that we have to get some sort of security towards the future of the studio that develops this IP, if the IP doesn't belong to us.

"So this is something that we work on. You know, this spread of acquisition that we're seeing is affecting some of the smaller publishers in their capacity to access the best studios in the world. But we at Bandai Namco have the financial means to secure these partnerships.

"We work on a number of measures to secure those partnerships -- you're talking first option rights, you're talking IP ownership, you're talking minority stakes in those studios. So there are ways to secure the relationships."

Bandai Namco is the publisher behind The Dark Pictures Anthology from developer Supermassive, which was acquired by Nordisk last month. The Dark Pictures IP belongs to Supermassive but Muller assured us this "doesn't change anything in the relationship" with Bandai Namco as Nordisk is not a games publisher.

Bandai Namco is also the publisher of the Little Nightmares franchise – of which it owns the IP – with its developer Tarsier acquired by Embracer in 2020.
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Starbreeze still running at a loss, net sales down in Q2

Starbreeze has posted its financial results for the three months ended June 30th, 2021, with the studio continuing to m…
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Starbreeze has posted its financial results for the three months ended June 30th, 2021, with the studio continuing to make a loss as development on Payday 3 continues.

The numbers​


  • Net sales: SEK 31.8 million ($2.9 million), 0.8% decrease year-over-year
  • EBITDA: SEK 18.1 million ($1.6 million) up from SEK -51.8 million ($4.8 million) in Q2 2021
  • Net loss: SEK -11.2 million ($1 million), down from SEK -76.4 million (-$7.1 million) in Q2 2021

The highlights​


Looking further into Starbreeze's Q2 financials, a large majority of sales were driven by the Payday franchise, which accounted for SEK 30 million ($2.8 million) during the three months, 96.5% of the total net sales figure.

During the quarter, PC sales saw a 9% decrease to SEK 24.7 million ($2.3 million), while console sales saw a 19% increase to SEK 5.5 million ($500,000).

The firm noted that Payday 2 sales declined by more than 25% at the start of the quarter, and added that it expects to see a decline during Q3 also. Starbeeze cited a high number of competing game releases in the first half of the year as a reason for the drops.

While net sales improved slightly, the developer is still running at a net loss, albeit a smaller loss than the same period last year.

Starbreeze also noted that it began development of a new game IP during the quarter, with a view to release in 2025.

Development on Payday 3 is still underway and on track to launch in 2023, following a €50m publishing deal with Plaion (formerly Koch Media).
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Report: Top 1% of mobile game publishers made $27bn during H1

A new Sensor Tower report says that the top 1% of global game publishers generated $27 billion during H1 2022.
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A new Sensor Tower report says that the top 1% of global game publishers generated $27 billion during H1 2022.

The 460 companies made up 93% of consumer spending during the first six months of the year.

Whereas the remaining 7% of mobile gaming market earnings totaled $2 billion within the same period.

Sensor Tower said that the revenue was amassed collectively from 46,000 game publishers.

Additionally, the analytics firm said that for gaming and non-gaming apps, the top 1,800 publishers made up 91% of all H1 2022 revenue.

They accumulated a total of $42 billion within the first half of the year.

The remaining 9% of the market share was $4 billion generated from consumer spending.
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Shawn Layden joins Tencent Games as strategic advisor

Former Sony Interactive Entertainment America president and CEO Shawn Layden has joined Tencent Games as a strategic advisor, he announced.
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Former Sony Interactive Entertainment America president and CEO Shawn Layden has joined Tencent Games as a strategic advisor, he announced.

"I am delighted to share that I have recently joined Tencent Games as a strategic advisor," Layden said in a LinkedIn update. "In this new role, I hope to advise, assist, and support the team at Tencent as they deepen their activities and commitments within the industry to which I've devoted the majority of my career.

Layden continued, "We are at an epoch defining moment in gaming and interactive entertainment. There are many possible roads ahead but only a few are profound, broadening, inclusive, edifying, inspiring, and / or sustainable. I am thrilled to continue this journey of discovery and thank Tencent for the opportunity."

Shawn Layden left Sony Interactive Entertainment on September 2019.
 
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Meta acquires Armature Studio, Camouflaj, and Twisted Pixel

Meta has acquired Armature Studio, Camouflaj, and Twisted Pixel, the company announced.
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Meta has acquired Armature Studio, Camouflaj, and Twisted Pixel, the company announced.

Armature Studio is known for the development of the virtual reality version of Resident Evil 4, as well as the recently released Where the Heart Leads and more.
Camouflaj is the studio behind Marvel's Iron Man VR and Republique.

Twisted Pixel is the creator of The Maw, 'Splosion Man, Comic Jumper, Ms. Splosion Man, The Gunstringer, and Wilson's Heart. It joined Microsoft after five years of independence in October 2011, but separated from the company to become an independent studio again in September 2015.
 
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Capcom continues its march to 10 years of consecutive growth | VGC

Company shares Q2 results and confirms sales milestones for Resident Evil and Monster Hunter…
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Capcom says it's continuing its march towards ten years of consecutive operating income growth, despite another quarter of declining sales revenue.

For the three months ended September 30, 2022, net sales were down 29.9% YoY at 49,067m yen, operating income down 24.3% at 21,895m yen, and ordinary income down 22.6% at 22,996m yen.

The company again attributed the decline to the release of "a new major title" in the same period of the previous year, likely to be Resident Evil Village.

Although operating income for the first 6 months of Capcom's fiscal year is currently down 25% year-on-year (21,895m yen vs. 28,924m yen), the company said it intends to make up for this in the remaining half to achieve ten consecutive years of growth.
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During its latest quarter, Capcom sold 21.3 million units of game software, marking a year-over-year increase. The company achieved this with the release of Monster Hunter Rise: Sunbreak, as well as through digital sales, including sales of catalog titles composed primarily of entries in major series, such as Monster Hunter Rise.

Monster Hunter Rise: Sunbreak has topped 4.4 million units cumulatively, Monster Hunter Rise surpassed 11 million units, and Resident Evil 2 has now exceeded 10 million units sold.

Based on progress during the first half of the fiscal year, Capcom has raised its forecast for the current fiscal year ending March 31, 2023.
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Remedy Entertainment Plc: Business Review January-September 2022: Remedy’s investments in game projects continued, burdening profitability - Remedy Investors

Remedy Entertainment Plc | Stock Exchange Release October 28, 2022, […]
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HIGHLIGHTS FROM JULY–SEPTEMBER 2022​

  • Revenue grew by 6.8% to EUR 7.9 (7.4) million.
  • EBITDA decreased to EUR -2.4 (0.4) million, mainly due to increased external development costs.
  • Operating profit (EBIT) was EUR -3.0 (-0.2) million, and operating profit margin was -38.4% (-2.9%) of revenue.
  • Cash flow from operations was EUR 4.7 (4.8) million.
  • In August, Remedy lowered its revenue and operating result outlook for 2022.
  • In September, Remedy's Board of Directors decided on a new option plan.

HIGHLIGHTS FROM JANUARY–September 2022​

  • Revenue grew by 20.2% to EUR 30.0 (24.9) million.
  • EBITDA was EUR -0.9 (3.6) million.
  • Operating profit (EBIT) was EUR -2.7 (1.1) million, and operating profit margin was -9.0% (4.3%) of revenue.
  • Cash flow from operations was EUR 14.2 (8.2) million.

KEY FIGURES​



MEUR, IFRS, Group, unaudited


7–9/2022


7–9/2021


1–9/2022


1–9/2021


1–12/2021

Revenue
7.9
7.4
30.0
24.9
44.7

Growth in revenue, %
6.8%
-29.7%
20.2%
-7.3%
8.9%

EBITDA
-2.4
0.4
-0.9
3.6
14.5

Operating profit (EBIT)
-3.0
-0.2
-2.7
1.1
11.4

Operating profit, % of revenue
-38.4%
-2.9%
-9.0%
4.3%
25.5%

Result for review period
-2.6
-0.4
-3.2
0.6
8.8

Result for review period, % of revenue
-33.5%
-4.8%
-10.7%
2.5%
19.7%

Balance sheet total
98.9
93.1
98.9
93.1
101.1

Cash flow from operations
4.7
4.8
14.2
8.2
6.1

Net cash
57.5
57.3
57.5
57.3
52.8

Cash position
56.5
57.0
56.5
57.0
51.4

Net gearing, %
-66.9%
-73.1%
-66.9%
-73.1%
-60.4%

Equity ratio, %
86.9%
84.1%
86.9%
84.1%
86.4%

Capital expenditures
2.8
2.7
8.1
7.3
9.6

Average number of personnel during review period (FTE)
316
286
302
280
280

Headcount at the end of period
330
294
330
294
294

Earnings per share, €
-0.20
-0.03
-0.24
0.05
0.66

Earnings per share, € (diluted)
-0.19
-0.03
-0.23
0.04
0.63

Number of shares at the end of period
13,448,600
13,072,150
13,448,600
13,072,150
13,298,450

In the third quarter of 2022, revenue grew by 7% to EUR 7.9 million. Development fees made up 95% and royalties 5% of the revenue. Key positive contributors were the development fees from Alan Wake 2 and Max Payne 1&2 Remake. At the same time, development fees from Codename Condor and Alan Wake Remastered and game royalties from Control decreased from the comparison period. Alan Wake Remastered and Crossfire did not generate royalties.

In the third quarter, operating profit decreased to EUR -3.0 (-0.2) million. Our result was burdened by significantly increased external development expenses, mainly related to Alan Wake 2 and Codename Condor. The lower share of higher-margin royalty revenue also affected profitability.

During the past years, we have successfully shifted into a multi-project model. Our game development capabilities are better than ever, our financial position is strong, and we have the right business partnerships for each of the five games in development. Four of these games are based on Remedy-owned brands and one is based on an external brand with a great strategic fit for us.
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Japan's PC gaming market has roughly doubled in three years, growing to nearly $896 million US between 2018 and 2021. The user base of active PC gamers has increased by 5 million from 2015 to 2021, with 4.5 million of those playing exclusively on PC—up more than 100% from 2015's 2.2 million PC-exclusive Japanese gamers.

The new data comes from the latest report by Japanese game industry think tank Kadokawa ASCII Research Laboratories, a well-regarded publication which compiles yearly material about the performance of the gaming industry both domestically in Japan and abroad. Such clear data on growth in the industry will come as a surprise to many who've yet to discard the old wisdom that PC Gaming in Japan is a small niche.
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The information comes from game industry analyst Dr. Serkan Toto, whose comparison (opens in new tab) of the 2021 data to historical numbers from the same reporters highlights such significant growth. Toto is a German national, but has been based in Tokyo since 2004 and has worked as a game industry consultant at his company, Kantan Games, since 2013.

Toto attributes the huge growth to a storm of separate factors separately contributing to a single outcome. Toto cites the effect of Coronavirus lockdowns, lack of PS5 console availability in Japan, growing acceptance of foreign and indie games available cheaply on PC, much greater availability of Japan-made games on PC, and availability of popular Smartphone games at launch on PC. Toto also cites improvement in the quality of not just local PC gaming storefronts, but Steam's Japanese version—which was once "terrible" but have improved, with physical Steam wallet cards now widely available.

"nNot every point set the PC gaming market in Japan on fire by itself," writes Toto, "but the individual factors combined certainly have been and still are self-reinforcing themselves over time. I believe the trend to a bigger PC game industry in Japan will continue in the next several years."
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www.pcgamer.com

Japanese PC gaming has had incredible growth in the last few years

The Japanese PC games market doubled in size from 2018 to 2021.
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www.gamesindustry.biz

Niko Partners: Asia-10 gaming markets will generate $41bn by 2026

Niko Partners' new 2022 Asia-10 Games Market report projects that by 2026, the Asia-10 gaming markets will hit $41 bill…
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Niko Partners' new 2022 Asia-10 Games Market report projects that by 2026, the Asia-10 gaming markets will hit $41 billion in consumer spending.

The Asia-10 consists of Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam, Chinese Taipei, Japan, Korea, and India.

The report also estimates that for the year 2022, consumer spending among the group will reach $36 billion.

Japan's and Korea's markets make up 77% of the Asia-10's gaming revenue.

The market research and consulting firm highlights that players among the countries are forecasted to reach 789 million this year and 1 billion in 2026.

Additionally, Niko Partners' newly released 2022 India Games Market report projects that the country will amass $704.5 million in player spending and $1.4 billion by 2026.

It notes that India is the second largest gaming audience worldwide and it makes up 50% of the Asia-10 player base.
 
www.gamesindustry.biz

PUBG Mobile surpasses $9bn in lifetime revenue, Genshin Impact hits $4bn

Two leading mobile titles have hit milestone revenue figures - PUBG Mobile has reached $9 billion in global player spen…
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Two leading mobile titles have hit milestone revenue figures - PUBG Mobile has reached $9 billion in global player spending, while Genshin Impact has reached $4 billion.

According to data from Sensor Tower, PUBG Mobile, which launched in March 20218, has also racked up 1.1 billion installs worldwide across the App Store and Google Play.

The mobile adaption of the battle royale saw 104.4 million installs globally between January and September 2022, a 27% decline year-over-year from the same period in 2021.

In terms of revenue, PUBG Mobile made $1.6 billion between January and September of this year, also a 27% decrease from the $2.2 million generated from Q1 to Q3 last year.

Looking at Genshin Impact, the title generated $1.4 billion in consumer spending between Q1 and Q3 2022, and recently hit $3.7 million in lifetime revenue ahead of its second anniversary.

Installs for the game between January and September hit 37.3 million globally, a 7% decrease on last year. To date, MiHoYo's RPG has amassed 126.4 million installs on mobile.
 
www.gamesindustry.biz

Global games market to reach $184bn in 2022 – Newzoo

A new report from Newzoo forecasts that the games market will generate $184 billion in 2022.
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A new report from Newzoo forecasts that the games market will generate $184 billion in 2022.

The estimate represents a 4% decrease year-over-year. The PC Games segement was also predicted for a decline, its poised to make $2 billion this year, down 16% year-over-year.

The intelligence firm provided a full breakdown of the global video game market's divisions.

The report attributed the decline in mobile game spending to the recession's effect on people's disposable income.

Meanwhile cloud gaming is poised to amass $2.4 billion from more than 30 million paying users this year.

The virtual reality games market is projected to hit $2 billion in 2022 and is expected to reach 3.2 billion by 2024.

Looking forward, Newzoo says that the games market will generate $211 billion in 2025.

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