hereThe European Game Industry is challenged to grow substantially. A study by the Neogames Finland association in 2023 projects a turnover of €40 billion by 2030, more than twice its size of today!
Despite Europe’s significant contribution to the global gaming market, challenges such as limited distribution channels and non-European platform dominance persist. To achieve its ambitious targets, the industry must address these obstacles while leveraging innovation and research to maintain its competitive edge in a rapidly evolving landscape.
“If the European game industry wants to maintain its share of the global markets, our industry turnover should be well over EUR 40 billion by 2030, more than twice its current size. This is a tough assignment, but the game industry is no stranger to challenges. However, we need some assistance to achieve the goal.
Anything that helps us to overcome the talent shortage, utilise disruptions in the global value chain, foster the start-up scene, adapt the latest technologies and innovations to game development, or cooperate with other creative industries, would greatly help our cause.”
KooPee Hiltunen, Neogames Finland Association.
Globally, there are over 3 billion video game players, and the market for video games is worth EUR 179 billion.
With the EU’s gaming market being worth EUR 18.3 billion in 2021, European game development studios held an 11% market share worldwide.
Key facts on the European Game Market
- EUR 18.3 billion in Europe (2021).
- EU was the third-largest global game market in 2021.
- European game market size is substantially more than the combined global turnover of the European game industry.
- Two Europe-based corporate groups (Ubisoft and Embracer Group) among the 25 biggest game industry conglomerates.
Several consulting firms for the gaming industry forecast that, despite the present slump, the game market will expand at a compound annual growth rate (CAGR) of between 10% and 12% over the coming years.
By 2030, the global game market is expected to have grown to a value of over 400 billion euros.
Moreover, until 2030, the European game industry’s turnover should have more than doubled to EUR 40 billion if the EU hopes to keep its portion of the world market. The European game industry will find it very difficult to achieve this goal without focused public support, which will increase the dominance of the American and Chinese game markets.
To achieve the above mentioned goals the game industries must tackle these three major following challenges.
Key challenges:
- Europe excels in game creation but lacks in distribution and publishing.
- All major platforms owned by non-European companies.
- By 2030, the European gaming industry’s turnover should more than double from its current size to well over EUR 40 billion, in order to retain its current market share.
The European gamedev technologies through innovation and research
The game industry is going through never-ending waves of technological, business and artistic disruptions. To keep the technological forerunner advantage in the EU, support structures are needed to mainstream information on new opportunities (e.g. building and using AI) and support European SMEs in building novel tools and services. But how?
– by Exploring Emerging Markets
– by Access to Capital
– by Investments from Exits
– by Sustainability Practices
– by Industry-Research Collaboration
Game Markets Overview
To understand the game, it is crucial to look into some gaming market facts and data to have a better picture of the current industry’s landscape.
Global Market
- Over EUR 170 billion globally.
- Newzoo Global Games Market Report 2023: +2.6% YoY growth in 2023, generating USD 187.7 billion.
- China, the USA, and the EU are identified as the three major game market powers.
- Europe represents 13% of the global players’ market.
- Asia-Pacific (India, China, Japan, South Korea) comprises over half (53%) of the player market.
- In revenue share, Europe is at 18%, Asia-Pacific at 46%, and the US at 27% of the total global revenue.
Global Player Base
- Over 3 billion global players.
- Estimated to reach 3.32 billion in 2024.
- Chinese game companies contribute 47% to mobile game revenue worldwide.
European Player Base
- 246 million European citizens play games.
- Estimated to reach 3.32 billion in 2024.
The current Europe’s Gaming Ecosystem
- Establishing and stabilising local structures like cluster organisations or game industry trade associations facilitating the growth of the local game industry.
- Enabling access to (local) risk capital to enable the growth of local companies.
- Building strong professional game education system.
- Access to experienced senior talent.
For more details download the study here.
