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Analyst Predicts $100B in Game Sales in 2018

According to GamesIndustry International, market forecasting firm DFC Intelligence has issued a revised forecast for the gaming industry predicting worldwide software sales of $100 billion by 2018.

DFC predicts approximately $64 billion in software sales for 2014, but expects rapid growth over the next few years due to the growth of the mobile market. The original report projected about $17 billion in mobile game sales, but the revision amended that to $229 biillion, accounting for 30 percent of all projected game sales. DFC foresees a gaming market evenly split between console, PC and mobile platforms.

Despite the rapid growth of the mobile gaming market, DFC still foresees challenges ahead for publishers in the space. “The challenge with mobile games is that even as it grows it remains very fragmented and overcrowded. Companies need to be very cautious about their platform strategy and understand which markets and platforms are suitable for their particular product,” said DFC analyst Jeremy Miller.

On the console side, DFC reports that all consoles are doing reasonably well, with PS4 leading the pack, but that the Xbox One has suffered from a lack of direction. DFC analyst David Cole stated, “The Xbox One should carve out a solid share among dedicated action gamers, but due to some questionable business decisions Microsoft’s broader entertainment strategy is in disarray despite the release of the new $399 Kinect-less SKU.” The revised forecast raised expectations for the PS4 and Wii U, but lowered them for the Xbox One.

Next: Activision Expects to Spend $500 Million on Destiny

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