Newzoo Forecasts Global Gaming Industry to Reach $213.9 Billion by 2026, Up 6.1% Year‑Over‑Year

According to the latest outlook from market‑research firm Newzoo, the worldwide video‑game industry is set to expand by roughly 6.1 percent over the next year, pushing total revenues to an estimated $213.9 billion in 2026. More than half of that spending is expected to originate from just two powerhouses – China and the United States – underscoring the continued dominance of these two economies in shaping the global gaming landscape.

The figures come from Newzoo’s forthcoming Global Games Market Report, which will be released in full on September 10. The report breaks down the forecast by platform, business model, and regional trends, providing a granular view of where growth is expected to come from and what challenges the sector may face. **Console segment** Console‑based gaming is projected to account for about 22 percent of the total market, translating to $46.9 billion in revenue.

This represents a 5.1 percent increase over the previous year, driven largely by the release of high‑profile titles and the ongoing strength of next‑generation hardware. One of the most significant catalysts identified by Newzoo is the anticipated November launch of Rockstar Games’ highly‑anticipated Grand Theft Auto VI. The company estimates that the new installment will lift full‑game spending by an impressive 17.5 percent, marking it as the strongest growth driver among all business models in the forecast period.

**Mobile gaming** Mobile platforms remain the largest slice of the pie, projected to capture 57 percent of total industry revenue – roughly $121.1 billion. This segment is expected to grow 6.8 percent year‑on‑year, a boost that Newzoo attributes to higher average spend per player and the rapid expansion of direct‑to‑consumer (D2C) distribution channels. A recent survey conducted by FastSpring and Omdia revealed that 96 percent of game studios either already run or plan to launch their own D2C web stores. Studios cite benefits such as stronger brand visibility, deeper player loyalty, and richer first‑party data as primary motivations for moving away from third‑party marketplaces.

**PC gaming** The personal‑computer segment is forecast to hold the smallest share of the market at 21 percent, equating to $45.9 billion in revenue. While still growing – at an estimated 5.3 percent year‑on‑year – PC growth is expected to decelerate compared with the 12 percent compound annual growth rate (CAGR) projected for 2025. Newzoo notes that PC growth will be geographically broad, with the strongest gains coming from the Asia‑Pacific region, as well as emerging markets in Latin America and the Middle East‑Africa (MEA) corridor.

**Business‑model dynamics** Premium and mid‑tier titles are expected to continue sustaining full‑game revenue streams, while microtransactions are projected to reclaim their position as the largest overall business model. This shift reflects a maturing market where developers are balancing high‑value, one‑time purchases with ongoing, low‑friction monetisation mechanisms that keep players engaged over longer periods.

**Player base trends** The total number of gamers worldwide is forecast to reach 4.07 billion by 2029, growing at a 3.2 percent CAGR after a 4.4 percent rise in 2026. Newzoo warns that future expansion will rely increasingly on retaining and monetising existing players rather than simply adding new users to the ecosystem.

Growth is already concentrated in emerging regions, with Asia‑Pacific remaining the largest market and the Middle East and Africa posting the fastest growth rates. By 2026, mobile gamers are expected to number 3.10 billion, representing roughly 84 percent of the global player base.

PC gamers are projected to reach 977 million (about 26 percent), while console enthusiasts will number around 651 million (approximately 18 percent). Player penetration – the share of the global online population that engages in gaming – is anticipated to edge up from 61.5 percent to 62 percent in 2026. Newzoo points out that there is limited scope for expanding the base through deeper penetration; instead, growth will stem from the overall online population expanding by about 3.5 percent to reach 5.97 billion people.

**Implications for developers and publishers** The data suggests several strategic takeaways. First, the continued rise of D2C storefronts indicates that studios will need to invest in their own e‑commerce capabilities to capture higher margins and richer consumer insights.

Second, the strong pull of flagship releases such as Grand Theft Auto VI highlights the importance of flagship IPs in driving spikes in full‑game revenue, especially for console platforms. Third, the steady climb of mobile revenue underscores the necessity for developers to optimise monetisation strategies for smartphones, including in‑app purchases, ad‑based models, and subscription services.

**Looking ahead** While the overall market trajectory remains positive, Newzoo cautions that the industry’s growth engine is shifting. As the pool of new players shrinks, success will hinge on deepening engagement with existing audiences, leveraging data‑driven personalisation, and expanding into underserved regions. Companies that can effectively balance premium content with ongoing microtransaction revenue, while also harnessing the power of direct‑to‑consumer channels, are likely to be the biggest beneficiaries of the projected $213.9 billion market in 2026.