McKinsey Global Institute identifies video games among 18 future arenas of competition

The McKinsey Global Institute believes that some arenas of competition will transform the business landscape. In the future, 18 arenas could generate $29 trillion to $48 trillion in revenues by 2040. Read the full report on how video games and other high-growth industries could reshape the global economy.

What is an arena? Arenas are a unique category of industries defined by two characteristics: high growth and dynamism. They capture an outsize share of the economy’s growth, and the market shares of players within them change to an outsize degree.

Video Games:

In our estimates, the video-game industry’s revenues grow to $550 billion in 2040 in a lower-range scenario and to $910 billion in 2040 in an upper-range scenario, implying a CAGR of 5 to 8 percent. The calculation of revenues excludes consumer spending on peripheral devices, hardware with different uses (such as phones and laptops), community platforms and streaming, and e-sports (organized video-game competitions).

The 2040 estimates reflect the video-game industry’s three revenue segments: consumer spending on games, advertising revenue, and sale of consoles.

READ THE FULL ARTICLE HERE: https://www.mckinsey.com/mgi/our-research/the-next-big-arenas-of-competition#video-games

Be sure to check out our REMARKABLE programs VIDEO GAME ART and INTERACTIVE DESIGN if you are interested in working in the video game industry. You can apply here at www.mckenzie.edu/apply