In context: The PC and console gaming market remains a lucrative one for developers and hardware vendors, despite the decline in computer sales in recent years. 2022 saw the launch of several huge titles on PC, Xbox, PlayStation, and Switch, including Total War: Warhammer 3, Elden Ring, Hitman 3, Ghostwire: Tokyo, God of War, and the indie blockbuster, Stray.
Market intelligence firm Newzoo's PC and Console Gaming Report 2023 reveals several interesting facts about the state of the global PC and console gaming industry. According to the report, total gaming revenue in 2022 hit $92.3 billion, down 2.2% from the previous year.
While console games accounted for 56.2% of the revenue, PC titles, both boxed and downloaded, accounted for 41.3% market share. The final 2.5% was spent on browser-based games on PCs.
The U.S. was the biggest gaming market in the world in 2022, accounting for $31.2 billion in revenues and 34% of worldwide sales. The Asia-Pacific region came in at number two with $30.2 billion in spending, accounting for 33% of global revenues. Europe was the third-largest market with $24.3 billion in gaming revenues, which was 26% of the global market.
Overall, the U.S. and China were the two biggest gaming markets globally, accounting for nearly half (48%) of the total global PC and console revenues.
One of the more notable pieces of information to have come out of the report is that average playtime fell a whopping 23% between 2021 and 2022 across Steam, Xbox, and PlayStation. However, the report claims that the drop is more of a "corrective step" as people started transitioning to normal life following the pandemic.
One of the major reasons for the reduction in revenues last year was the postponement of several major releases due to the pandemic-induced roadblocks. However, the industry is expected to get a major boost this year with the release of several big-ticket games like 'The Legend of Zelda: Tears of a Kingdom.'
The report also noted that more AAA and AA publishers are switching over to the subscription model as companies are opting to release fewer titles, and are instead focusing on extending the lifespan of existing franchises, like Fortnite, Minecraft, and ROBLOX.
The final major point of note in the report is about the increasing gender equality in gaming. While PC and console gaming has always been male-dominated, things are changing for the better, as more women are taking up gaming seriously. According to the report, 40% of all gamers last year were female, making the market more equitable than ever.