The projected revenue in the Online Games market worldwide is expected to reach a projected market volume of US$32.56bn by 2027

Big numbers, big business

There can be no disputing the fact that the numbers in the worldwide online games market are enormous.  With projected global reach expected to reach US$27.97 billion this year, no one can accuse online gaming of being ‘child’s play’.  The market seems to be growing at an unprecedented rate and is expected to reach a projected market volume of US$32.56 billion by 2027.

While those figures are impressive, they are dwarfed by the total size of the video games market, which is projected to gross US$282.30 billion this year. Total market growth is forecast at an annual rate of 8.76% between 2024 and 2027, resulting in a projected market volume of US$363.20bn by 2027. Interestingly, the growth in the overall market is actually being fuelled by in-game advertising, which will bring in almost US$ 110 billion this year. 

Back to the future

Rewind thirty-odd years, and gaming was the preserve of teenage boys and darkened bedrooms. Parents pulled their hair in despair, wondering if their monosyllabic offspring would ever learn to socialize or find a job. They could not have had any idea that their children were, in fact, trailblazers and that within four decades, there would be an estimated 1.2 billion online gamers.

Back in the early 1990s, there was very little differentiation between genres of video games and there was absolutely no chance that anyone was going to be able to play them online. Games were all PC- or console-based; if you wanted to play with another human being, they needed to come to your house and bring a spare controller. The graphics and gaming quality were a far cry from today’s games, and developers could only dream of anything other than scrolling platform games or wildly inaccurate sports simulations.

Online gaming is sociable gaming

Nowadays online games such as Fortnite and World of Warcraft can be played over the internet alongside players from around the world. The games are immersive and engaging, with players interacting with each other in a virtual world. Players complete quests, create their own avatars, battle enemies and even create their own universes. Successful online games are structured with ongoing narratives, and new content is constantly added to keep the playing experience fresh and exciting. 

If gaming was once a solitary pastime, online games create new communities and social experiences for players. The lines between real and virtual worlds are increasingly blurred. Online gaming communities now meet up at conventions and specially arranged events like Game Con Canada with in-person gaming, eSports tournaments and the most lucrative cosplay competition in Canada. 

iGaming fueling growth in the sector

Another significant strand of online gaming revenue and growth is iGaming – also known as online casino gaming and sports betting. Canadians love to gamble, with six in ten citizens professing to have engaged with real money gambling in a previous four-week period. While online gambling has been on many people’s radar for a fair few years, the adoption of smartphones and improved internet accessibility was the real game changer.

With access to the best gambling apps in Canada, iGamers across the length and breadth of the country can play online slots or their favourite casino games wherever they want, whenever they want. They have a virtual casino in their pocket and can choose from thousands of game titles and playing styles. The market is so sophisticated that playing on from a cellphone is in no way a downgrade from playing on a big screen. In fact, many of Canada’s top online casino companies are developed with a mobile-first approach. 

Not to be sniffed at, online gambling revenue in the Canadian market is projected to reach US$4.19bn in 2024 and US$5.46bn by 2028. Online and iGaming are essential elements of the overall gaming mix in Canada. There is also increased gaming from within and across social media sites. Virtual casino gambling can play a large part in how people are rewarded and progress through these games.

Gaming on the go

Obviously, none of this is just a Canadian phenomenon, but it is always interesting to hone in on one market. Thanks to high global smartphone penetration, gaming and iGaming are increasingly happening on the go. Mobile games are designed to attract every audience, from those who are looking for in-depth narrative quests to sporting conquests and simple, engaging games like Among Us and the perennial favourite Roblox. Recent blockbusters like Fortnite: Battle Royale and PUBG are still driving the market and shaping online gaming.

The next big thing?

It is always hard to predict the next trend. Remember when everyone declared that the future of gaming was the metaverse? Equally, there was a song lyric about going to the year 3,000, where not much had changed, but people lived underwater. However, there is one fairly safe prediction for 2025 that a betting person might choose to have a wager on.

Grand Theft Auto 6 is going to be huge. In the world of online gaming, this title is officially the most anticipated game, and it has won several awards proclaiming it as such. So far, all the team at Rockstar have said is that they are aiming for a fall release. This has slightly put the cat among the pigeons as many other publishers are thought to be wary about releasing their titles at the same time as this guaranteed blockbuster. However, they do not want to miss the boat if the release gets put back.

This could lead to a publishing game of chicken playing out. Go too early, and rival game titles might find people hanging on for GTA 6, but go too late, and they might find themselves in their very own car crash. Rockstar’s latest title has been in development for ten years, and it has gone through a lot of changes. When GTA titles were first released, online gaming was not a reality. With fans having waited this long, there is a chance that this release could even slip into 2026.

Without a crystal ball, we suggest you’ll just have to be patient, but in the meantime, it is a safe bet to say that online gaming is in top gear and there are no signs of a slowdown.

Featured Image by Szymon Jasiński from Pixabay