US Gaming Market

United States Gaming Market:

The United States gaming market size is projected to exhibit a growth rate (CAGR) of 7.5% during 2024-2032. The expanding gaming industry, rapid urbanization, the proliferation of smartphones and tablets, the growing popularity of e-sports, emerging technological advancements such as augmented reality (AR), virtual reality (VR), and increasing digitization represent some of the key factors driving the market.

United States Gaming Market Analysis:

• Major Market Drivers: The expansion of the gaming industry coupled with rapid urbanization, growing digitization, and increasing accessibility of gaming platforms are influencing the market growth. Moreover, with the proliferation of smartphones and tablets, gaming has become more convenient and widespread, allowing individuals to enjoy gaming experiences on-the-go.
• Key Market Trends: Continuous technological advancements that enhance the gaming experience, such as augmented reality (AR), virtual reality (VR), and cloud gaming coupled with the shift toward digitalization, digital game distribution platforms, and online gaming communities due to the convenience of purchasing and downloading games online is stimulating the market demand.
• Challenges and Opportunities: High competition among key players along with rising cybersecurity concerns are hampering the market growth. However, technologies such as virtual reality (VR), augmented reality (AR), and artificial intelligence (AI) present exciting opportunities for innovation in gaming experiences.

United States Gaming Market Trends:

Rising Adoption of Smartphones

The rising adoption of smartphones has been a significant driver of growth in the U.S. gaming market. Smartphones have made gaming more accessible than ever before. With powerful hardware and high-speed internet connectivity, smartphones allow users to play a wide range of games anytime, anywhere, without the need for dedicated gaming consoles or PCs. For instance, according to the Statista Global Consumer Survey published in January 2022, nearly 54% (more than 7,000) of consumers polled in the United States play games on their smartphones on a regular basis. Moreover, the mobile gaming user penetration rate in the United States increased from 41% in 2019 to more than 46% in 2023. Besides this, smartphones have facilitated social gaming experiences, enabling players to connect and compete with friends, family, and other gamers around the world. Multiplayer online games, social gaming networks, and integrated social features have become increasingly popular on mobile platforms. For instance, in May 2023, BitNile Metaverse, Inc. launched Roulette. Roulette is the first of many social games set to be introduced on the platform that will give real-world money prizes via a sweepstakes mechanism. Sweepstakes are exclusively available to residents of the United States. Also, in February 2024, NetEase Games introduced Eggy Party, a multiplayer party game for Android and iOS devices, in the United States. Eggy Party is an exciting multiplayer party game for mobile devices in which individuals compete with friends to overcome obstacles and survive thrilling minigames in order to be the last one standing. These factors are further propelling the U.S. gaming market growth.

Increasing Popularity of Mobile Gaming 

The increasing popularity of mobile gaming is a significant trend reshaping the gaming landscape in the United States. Mobile gaming has broadened the gaming audience significantly. With the widespread ownership of smartphones, people who may not have traditionally considered themselves gamers are now playing games on their mobile devices. Moreover, various companies are focusing on the development of mobile video games. For instance, in November 2021, Netflix unveiled mobile video games for Android users, with users able to play five different games on the app, including "Stranger Things: 1984," "Stranger Things 3: The Game," "Shooting Hoops," "Card Blast," and "Teeter Up." The organization announced that the games would first be accessible for Android phones, followed by Apple iOS. Apart from this, the rising penetration towards cloud gaming owing to the domination of inexpensive and mid-range smartphones is proliferating the gaming industry in the United States. For instance, in June 2021, California-based Now.gg, which operates under the umbrella of Bluestacks, an Android-PC gaming company, developed a mobile cloud platform for game developers that enables low- and mid-level smartphone users to access high-performance games without lag or loss of resolution. These factors are further positively influencing the U.S. gaming market size.

Emergence of Cloud Gaming Subscriptions

The emergence of cloud gaming subscriptions is one of the key factors adding to the market growth. Cloud gaming subscriptions make high-quality gaming experiences accessible to a broader audience. Instead of requiring expensive gaming hardware, players can access a vast library of games on various devices, including smartphones, tablets, PCs, and smart TVs, as long as they have a reliable internet connection. For instance, in October 2023, Netflix started to test its cloud gaming service in the United States after conducting limited trials in Canada. Netflix's cloud gaming allows subscribers to play its games on smart TVs and TV-connected devices such as Fire TV, Chromecast, Roku, and others while utilizing their mobile phone as a gaming controller. Besides this, 5G networks offer significantly lower latency and higher bandwidth compared to previous generations of mobile networks. This reduced latency and increased bandwidth are crucial for cloud gaming, as they enable smoother and more responsive gameplay experiences, even when streaming games from remote servers. For instance, in August 2020, the White House and Defense Department planned to speed up 5G adoption by making more airwaves available to telecoms, which were formerly utilized for high-power defense radars. The government's efforts to speed up the rollout of 5G in the country also aid in reducing latency lag, resulting in a smooth gaming experience. These factors are further escalating the demand for gaming in the United States.

United States Gaming Market Segmentation

IMARC Group provides an analysis of the key trends in each segment of the United States gaming market report, along with forecasts at the country and regional levels for 2024-2032. Our report has categorized the market based on device type, platform, revenue type, type, and age group.

Breakup by Device Type:

• Consoles
• Mobiles and Tablets
• Computer
   

The US gaming market report has provided a detailed breakup and analysis of the United States gaming market based on the device type. This includes consoles, mobiles and tablets, and computer.

Consoles like PlayStation, Xbox, and Nintendo Switch have traditionally been popular in the U.S. market. Demand for these devices often peaks during holiday seasons when new releases and bundle deals attract consumers. Moreover, mobile gaming has seen significant growth in recent years, driven by the widespread adoption of smartphones and tablets. The convenience of gaming on mobile devices, coupled with a diverse range of titles available on app stores, has made mobile gaming a major segment of the U.S. gaming market. Apart from this, PC gaming remains a staple of the U.S. gaming market, with a dedicated community of enthusiasts who invest in high-performance hardware to run graphically demanding games. Steam, the largest digital distribution platform for PC gaming, regularly reports millions of concurrent users.

Breakup by Platform:

• Online
• Offline
   

The report has provided a detailed breakup and analysis of the United States gaming market based on the platforms. This includes online and offline.

Online platforms including services like Steam, Epic Games Store, PlayStation Store, Xbox Live Marketplace, and Nintendo eShop allow gamers to purchase and download games digitally. These platforms offer convenience, as players can instantly access their purchased titles without needing to visit a physical store.  While digital distribution has become increasingly prevalent, physical retail stores still play a role in the U.S. gaming market. Retailers like GameStop, Best Buy, and Walmart sell video games, consoles, accessories, and merchandise. Some consumers prefer physical copies of games, and retail stores offer the opportunity to browse and purchase products in person.

Breakup by Revenue Type:

• In-Game Purchase
• Game Purchase
• Advertising
   

The report has provided a detailed breakup and analysis of the United States gaming market based on the revenue type. This includes in-game purchase, game purchase, and advertising.

In-game purchases refer to transactions made within a game to unlock additional content, features, or virtual goods. These purchases are often facilitated through microtransactions, where players spend small amounts of money on items like cosmetic skins, virtual currency, character upgrades, or expansion packs. While game purchases involve buying the entire game upfront, either in physical or digital format. This model is common for console and PC games, where players pay a one-time fee to own the game outright. Moreover, some games integrate advertising directly into the gameplay experience, displaying ads within the game environment or during loading screens. These ads can promote real-world products, services, or other games.

Breakup by Type:

• Adventure/Role Playing Games
• Puzzles
• Social Games
• Strategy
• Simulation
• Others
   

The report has provided a detailed breakup and analysis of the United States gaming market based on the type. This includes adventure/role-playing games, puzzles, social games, strategy, simulation, and others.

Adventure/Role-Playing Games are a genre of video games where players assume the roles of characters within a narrative-driven story. These games typically feature exploration, character development, and decision-making elements. Players may control a single character or a party of characters as they navigate through a virtual world, interact with non-player characters (NPCs), complete quests, and engage in combat. While puzzle games are a genre of video games that challenge players to solve problems or complete tasks using logic, strategy, and spatial reasoning. These games often feature puzzles that require players to manipulate objects, match patterns, or solve riddles to progress. Moreover, social games are designed to be played and shared with others, often through social networking platforms or multiplayer functionality. These games typically focus on social interaction, cooperation, and competition among players.

Breakup by Age Group:

• Adult
• Children
   

The report has provided a detailed breakup and analysis of the United States gaming market based on the age group. This includes adult and children.

Adults often seek high-quality gaming experiences with engaging narratives, immersive gameplay mechanics, and impressive graphics. They are drawn to games that offer depth, challenge, and replay value. While children are drawn to games that are entertaining, enjoyable, and fun to play. They seek out games with colorful graphics, engaging characters, and exciting gameplay that capture their imagination and hold their attention.

Breakup by Region:

• Northeast
• Midwest
• South
• West
   

The report has also provided a comprehensive analysis of all the major regional markets, which include the Northeast, Midwest, South, and West.

According to the U.S. gaming market analysis, major cities in the Northeast, such as New York City, Boston, and Philadelphia, are home to diverse and tech-savvy populations that contribute to a robust gaming market. While some Midwestern cities, such as Madison, Wisconsin, and Ann Arbor, Michigan, are emerging hubs for game development and technology startups. The presence of game studios, incubators, and gaming-related companies contributes to the region's gaming ecosystem. Moreover, the South region has a diverse gaming culture influenced by factors such as regional identity, demographics, and cultural heritage. From urban centers like Atlanta and Miami to suburban and rural communities, gamers in the South enjoy a wide range of gaming experiences across platforms and genres. Besides this, the West Coast has a thriving indie game development scene, with independent studios and solo developers creating innovative and artistic games.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the United States gaming market. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

United States Gaming Market News:

• June 2024: Relax Gaming's US-facing brand RLX Gaming, in collaboration With BetMGM, launched in Pennsylvania, marking the operator partner's second state debut.
• May 2024: Evolution, a B2B provider of online casino solutions, released its Video Poker online casino game in the United States.
• January 2024: Betr Holdings, Inc. launched additional market access agreements for online sportsbooks and casinos in Pennsylvania, as well as online sportsbooks in Colorado and Kentucky.

United States Gaming Market Report:

Key Questions Answered in This Report:

• How has the United States gaming market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the United States gaming market?
• What is the breakup of the United States gaming market on the basis of device type?
• What is the breakup of the United States gaming market on the basis of the platform?
• What is the breakup of the United States gaming market on the basis of revenue type?
• What is the breakup of the United States gaming market on the basis of type?
• What is the breakup of the United States gaming market on the basis of age group?
• What are the various stages in the value chain of the United States gaming market?
• What are the key driving factors and challenges in the United States gaming market?
• What is the structure of the United States gaming market and who are the key players?
• What is the degree of competition in the United States gaming market?

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the United States gaming market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the United States gaming market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the United States gaming industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.