Report: Tablet Games a Booming Business27 Aug, 2014 By: Chris Tribbey
By 2019, revenue from tablet games will more than triple, exceeding $13 billion, according to a new report from the United Kingdom’s Juniper Research.
Improved storage capacity, better graphics, higher mobile broadband penetration and consumers’ preference for convenience will all help drive the tablet gaming industry, which is expected to pull in $3.6 billion this year.
2015 will be especially crucial for independent game developers: “Marketplaces now containing over one million apps, greater funding [will] be required to optimize the opportunity to achieve consumer awareness … crowdfunding [will] represent an increasingly popular option” the report reads.
The report also found that ads are becoming increasingly important in generating revenue for mobile games, with only an estimated 6% of mobile gaming apps being paid-for at the time they’re downloaded by 2019.
A sister report from Juniper concludes that declining sales in PC and console games is responsible for the major growth in digital game distribution and the free-to-play business model. “Competition from newly emerging dedicated game hardware manufacturers, such as Steam Machine and Shield, poses new challenges for the traditional players as well as an opportunity for the segment to revitalize itself,” the research firm said.