Uncovering the Brazilian Gaming Industry by the Numbers

To mark the beginning of Brazil Games Week, we aim to paint a precise picture of the Brazilian gaming ecosystem. Following James Batchelor's journey to Brazil, where he gathered insights from professionals in the field, we will analyze the numbers that define the Brazilian gaming industry, its market, and audience. The statistics presented here are based on the second national survey conducted by the Brazilian Association of Digital Game Developers and the Brazilian Agency for Promotion of Exports and Investments, incorporating 2022 data and new figures from 2023 compiled by GA Consulting. The survey, which drew contributions from 343 companies representing about 33% of all Brazilian studios, reveals significant growth across the board for the industry. The Brazilian gaming landscape is predominantly composed of micro and small studios, totaling 1,042 developers, with 2,600 games developed between 2020 and 2022. This represents a 12% year-on-year increase, with 1,009 titles launched in 2022 alone. Compared to the first survey in 2014, which counted 133 studios, the number has grown substantially, reaching 375 by 2018 and showcasing a 177% increase by 2023. As of last year, 13,225 professionals were employed in the Brazilian gaming industry, marking a 6.3% increase from 2022. However, the industry remains male-dominated, with men accounting for 74.2% of the workforce, while the proportion of women decreased from 29.8% to 24.3% between 2022 and 2023. The survey attributes this decline to the sampling effect, given the difference in responding companies between the two surveys. Notably, 93% of Brazilian studios are developing their own intellectual properties. According to Rodrigo Terra, president of the Brazilian Association of Digital Game Developers, the quality of projects from Brazilian studios now rivals that of similar-sized studios worldwide, with the primary difference being in investment levels. The survey also indicates a shift towards national studios participating in transmedia projects and licensing their own IPs. In terms of geographical distribution, Sao Paulo hosts the majority of studios, followed by Rio de Janeiro and Rio Grande do Sul. Interestingly, 70% of Brazilian studios operate remotely, with 16% adopting a hybrid model and only 14% working from an office. The most commonly used game development engines are Unity, utilized by 80% of respondents, and Unreal Engine, used by 25%. The Game Brasil Survey estimates that the revenue from Brazil's game development industry reached $251.6 million in 2023. Mobile gaming accounts for 51.7% of the Brazilian market, followed by console and PC gaming. However, in contrast to the types of games developed in Brazil, where mobile titles constitute only 24%, the market's preferences differ, with PC games being slightly more prevalent. Digital sales have increased, from 54% of all game sales in 2021 to 62% in 2023. Entertainment games dominate the Brazilian market, with educational titles and advergames making up smaller portions. Many Brazilian studios offer work-for-hire services, with the rest of Latin America and the United States being prominent commercial partners, and Western Europe emerging as a significant partner. Approximately half of the studios engaged in international business derive over 70% of their revenue from abroad. Brazil boasts the largest gaming market in Latin America and the fifth-largest globally in terms of online population, with an estimated 103 million players. The survey reveals that 82.1% of Brazilians consider playing video games a primary form of entertainment, with women making up 46.2% of the player base. The audience is fairly evenly distributed across age groups, with the dominant age range being 25-29 years old. Looking ahead, Rodrigo Terra expresses optimism about Brazil's gaming industry, citing a post-pandemic reorganization of companies and a more stable political environment that could foster growth and opportunities.