PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1682773
PUBLISHER: Prescient & Strategic Intelligence | PRODUCT CODE: 1682773
The U.S. video games software market is expected to grow from USD 51.47 billion in 2024 to USD 67.09 billion by 2032, at a CAGR of 3.49%. The market growth is driven by the increasing shift to digital gaming, the popularity of subscription models like Xbox Game Pass and PlayStation Plus, and the rise of mobile gaming platforms. Moreover, advancements in cloud gaming, virtual reality, and augmented reality are enhancing the gaming experience, creating new opportunities for industry players. The surge in gaming as a form of entertainment and stress relief, especially post-pandemic, is also a key contributor to this expansion.
Key Insights
The console segment accounted for the largest share of the market in 2024, driven by premium gameplay and the popularity of gaming consoles like PlayStation, Xbox, and Nintendo Switch.
The mobile gaming segment is expected to grow at the highest CAGR of 4.56% due to the increasing penetration of smartphones, with over 90% of the U.S. population using them for gaming.
Action games led the market with a 30% share in 2024, driven by major franchises such as Call of Duty and Fortnite, along with the rise of online multiplayer features.
Role-playing games (RPGs) are expected to grow at the fastest rate, with a CAGR of 5.35%, fueled by the growing interest in the metaverse and virtual worlds.
The personal user segment held the largest share at 70% in 2024, with individual gamers being the primary drivers of market growth, while the commercial segment is expected to grow at a higher CAGR of 4.85%.
Digital distribution and freemium models are playing a significant role in reshaping the industry, offering users access to a vast array of games and creating new monetization opportunities.
Cloud gaming services, such as Xbox Cloud Gaming, are gaining traction by allowing players to stream games without the need for expensive hardware.
Virtual and augmented reality enhancements are creating immersive experiences, pushing the boundaries of traditional gameplay and offering fresh avenues for game developers.
The West region holds the largest market share, while the South is expected to experience the fastest growth due to increasing investments in gaming technology and infrastructure.