LogInThe Q1 2025 Edition of The Xsolla Report: State of Play emphasizes the gaming industry’s growth, driven by established industry giants and increasing investment, particularly in tech-focused segments.
The global market is on track to reach over $522 billion in revenue by 2025, with the United States poised to be the largest contributor – accounting for approximately $141 billion of that total.
Digital distribution will continue to shape the landscape in 2025, influencing how players access games and how companies compete for their attention. While physical game sales remain relevant in certain regions and collector markets, digital downloads and cloud-based access are becoming the dominant method of distribution, with sectors like mobile gaming taking up over 50% of the global gaming industry’s revenue volume, a 2.8% year-over-year increase.
Investment trends highlight the interest of financial supporters in video game projects. In Q3 2024, investments in video gaming companies totaled 186, marking a 19% year-over-year increase compared to Q3 2023 but a 15% decrease from the 219 investments made in Q2 2024.
In Q3 2024, tech and other segments accounted for 47% of gaming investments, while the AR/VR video gaming segment represented the lowest with 1% of investment value in the gaming sector.
Looking ahead, the gaming industry's growth in 2025 is likely to be driven by established companies with strong market positions, like Activision Blizzard, Take-Two Interactive, and Electronic Arts, with solid franchises and emerging technologies in their portfolios.
Want more insights on the gaming industry landscape? Read Quarterly Xsolla Report Q1 2025:
- Industry Updates
- The gaming industry state of play: 2025 and beyond
- Representation in the games industry
- Tools, solutions, & essentials for game developers
- A guide to new monetization strategies in the mobile gaming landscape