Few industries have undergone as many changes as the video game industry has in the last couple of decades. It has expanded its reach to cover multiple sectors and surpassed the $23 billion mark last year alone, which was a 5% increase over the previous year. With predictions of this industry growing in a near record breaking pace, investments in this industry should have a high priority on your list.
The sectors that fall within this industry are the console, mobile and PC sectors. The sector that is currently generating the most revenue is the PC gaming sector with console coming right behind it. However, the mobile sector is positioned to take the lead within the next four years.
The console gaming sector has seen such advancements of the recent years, it is slowly taking the lead away from the PC sector. Out of the three leaders in the console market, Sony, Microsoft, and Nintendo, Sony’s PS4 has sold over 40 million units, double that of the Xbox One from Microsoft. To ensure they remain on top, Sony is updating their systems so that they can support 4k functionality and virtual reality, both are projected to be huge markets.
Mobile gaming has also grown exponentially since the late 1990’s. With capabilities that closely match those of computers from only a few years ago, smartphones have become a very popular medium for gaming. Great examples of how popular and successful mobile gaming has become include FarmVille, Angry Birds, and Clash of Clans. Each has made a sizable fortune their respective creators.
Finally, we cannot overlook the potential investment value of online gambling. This industry has grown to be available to anyone, especially on the computer. Canada has noticed the potential in this industry and have grown to the second highest country in terms of market cap for this industry. Online gambling includes every type of betting you can imagine, from online casinos to sports betting. With so many factors involved with this industry, it is easy to see the earnings potential and a solid ROI.
If you are looking for an industry to invest in that has great potential and is still relatively untapped, start looking at the stocks in the gaming industry. With growth projections that will impress even the most cautious investor, this could be the market that creates a very impressive portfolio.