Now accepting applications for Fast Company Middle East’s Most Innovative Companies. Click here to apply.

The global gaming market is experiencing rapid growth and is expected to reach $212.4 billion by 2026, as indicated by a report from the market data platform Newzoo. This growth is primarily driven by mobile platforms, which remain at the forefront of this expansion.

In the current year, the worldwide gaming market is set to generate revenues of $187.7 billion, marking a year-on-year growth of +2.6%, even in the face of challenging macroeconomic conditions. Mobile games contribute significantly, accounting for $92.6 billion (49%) of this total profit. Console games hold the second position, contributing $56.1 billion (30%) to the overall revenue. Furthermore, console games are projected to experience the most significant annual increase, expected to grow by 7.4%.

Tom Wijman, the lead games analyst at Newzoo, described the projected revenue for 2023 as “staggering,” highlighting it as a notable achievement considering the various macroeconomic factors in play.

In 2023, the Asia-Pacific region is set to take the lead in the global gaming market, capturing 46% of the market share. North America is projected to be the second-largest market, accounting for 27% of the market share, followed by Europe with 18%, and Latin America with 5%.

While the Middle East and Africa region is anticipated to hold the smallest market share of 4% in 2023, it is projected to experience the most significant surge in revenue growth, with an impressive growth rate of nearly 7%. Comparatively, the other four regions are expected to record growth rates of 1.2%, 3.8%, 3.2%, and 4.3%, respectively.

The gamer population is forecasted to grow by 6.3% year-on-year, reaching a total of 3.381 billion players in 2023, according to Newzoo. Once again, the Asia-Pacific region takes the lead with the largest share of 1.789 billion players (53%), followed by the Middle East & Africa with 574 million players (17%), Europe with 447 million players (13%), Latin America with 335 million players (10%), and North America with 237 million players (7%).

The Middle East and Africa are again predicted to have the biggest year-on-year growth, with 12.3%.

“It’s safe to assume that in the not-too-distant future, developers and even laypeople can generate entire games using generative AI. As tools become cheaper and easier to use, the barriers between developers and gamers will continue to break down, and the global industry may become more community-generated,” as stated in the report.