Gaming TAM includes Game Sales, DLC, Microtransactions, Subscriptions, and Services, and Ads but excludes Hardware & Accessories

Slides: s164 Argument: KA007 Cluster: Market Segmentation Framework Hub-Score: 35

Framing-Operationen

Macht sichtbar

Software and service revenues as core gaming market

Macht unsichtbar

Hardware ecosystem value and platform economics

Naturalisiert

Separation of hardware and software value chains

Abhaengigkeiten

Haengt ab von

c_imp009 Quantifizierbare Metriken sind objektiver und wertvoller als qualitative Einschätzungen c_imp016 Die Abstraktiοn von Gaming zu reinen Zahlenwerten erfasst das Wesentliche der Phänomene

Ermoeglicht

c095 Mobile spend is five years flat c096 New releases are at a decade low share of spend and downloads c101 Net of platform subscription services, console spend is down 13% since 2020 c117 Eight developed countries represent approximately 60% of global consumer spend on video game content c118 The U.S. is the #1 market by consumer spend globally c154 PC/Console content spend is down 8% since 2020/2021 (or -$2.3B) c155 Mobile's annual growth flattened out in 2025, but is +12% since 2020 and now outstrips PC/Console c156 U.S. is ranked #1 in gaming content spend globally c167 South Korean PC/Console gaming content spend shrank 10% from 2021-2024 c168 South Korean mobile gaming content spend dropped 4% in recent period c272 Gaming spending includes Arcade + Console + PC + Mobile + VR + Web + Platform Services but excludes Hardware & Accessories and VAT c341 For years, it has been essentially absurd to tabulate industry revenue without ads. Outside of China, mobile game ads nearly match total consumer spending on PC/Console software c342 Since 2021, mobile ads have been 37-145% of annual industry growth c343 Without ads, the market (excluding China) is up only $6.8B or +4.8%, but with them, it's +$35B or +20% c344 Consumer spend contracted during the period when ads' share peaked at ~150% c349 Mobile gaming UA expenses have exceeded the app store fees on consumer spending since 2020 c350 By 2027, ad exchange fees on ad revenue will likely pass app store fees on consumer spending c352 Not all mobile gamemakers generate a third of revenues from ads c353 Royal Match, the 2nd highest grossing new game since 2020, had $1.1B in net revenue in 2023 and spent $1.1B on UA c354 Dream Games achieved $0.13B operating profit despite spending $1.07B on user acquisition c364 Of the $136B in content sales outside of China and excluding 1st-party platform games and services, store fees consumed $33.2B of gross revenues that might otherwise go to publishers c365 iOS IAP generates the highest platform fees at $11.8B, followed by Android IAP at $9.0B, Console at $7.8B, and Steam at $4.7B c389 In 2025, outsourcing held a record 35.5% share of total content investment spend, up from 30.6% in 2017 and roughly 31.5% during the COVID-19 c435 Mobile gaming dominates the global TAM through both player spending (42.4%) and ads (26.6%), totaling approximately 69% of the market c436 Live service games (including ads) represent 83.7% of gaming content revenue, while packaged sales only account for 12% c440 Live Service content (including ads) dominates the video game content market at 83.7% with 85% growth share c443 Mobile gaming represents the largest share of gaming content revenue through player spending (42.4%) and advertising (26.6%) c444 Live Service games (including ads) represent 83.7% of gaming content revenue c317 Globally, 65% of Google Play video game revenue worldwide comes from low and mid-tier devices c318 In markets such as LATAM, 90% of Google Play video game revenue comes from low and mid-tier devices c345 20-30% of gross revenue from mobile game in-app advertising is collected by ad exchanges such as AppLovin, IronSource, Google, etc., or ~$15B in 2025 c347 Tens of billions in ad revenue in mobile games is ad spend from other mobile games c348 Your ad revenue is my UA; your UA is my revenue (net of exchange fees and non-mobile UA) c351 Not all mobile gamemakers spend 32% of net revenues on user acquisition c360 In markets with decline players, flattened spend, free-to-play dominance, publishers will need to improve the monetization of low spenders and monetize non-spenders

Verifikation

Nicht anwendbar

Definitional claim — broader TAM definition (28 dependent claims). Differs from c272 by explicitly including Ads. Appears on slide 164 of 169 — a late-stage definition that cannot function as a premise for earlier claims. c341 says it's "absurd" to exclude ads, but c272 does exactly that. The two definitions create an internal inconsistency. See definitional-consistency.yaml.

Metadaten

Epistemischer Status: stated_as_fact
Evidenztyp: self_referential
Evidenzqualitaet: self_referential
Themen: market_definition, revenue
Grundlegend: Ja