Xbox One and PS4 Could Revitalize Investment in Games Market

Next-gen consoles could take back users lost to mobile games.

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The investment firm Digi-Capital has published its global Games Investment Review, and according to the company’s findings, investment in games is recovering from the 2012 decline but still 2 billion under its 2011 high. Mobile gaming is blamed for "fundamentally disrupting the [console] games market."

But Digi-Capital founder, Tim Merel, notes that with the launch of next-gen consoles - the Xbox One and PlayStation 4 - at the end of this year, could turn the tide in the console decline but "uncertainty persists about the size of potential installed bases for next-generation consoles."

Consoles games may get more investment but only if they're widely accepted. Investment in Mobile games is still growing and will eventually surpass the console market at it's current rate in 2016. So mobile games are getting tons of money these days but we've noticed not a ton of amazing games. Digi-Captital notes that while there are huge profits and potential in mobile games not many killer apps have emerged to replace consoles.

“Particularly in mobile, we think the opportunity cost of not investing is potentially more significant than the investment itself. As well as being a major opportunity, mobile disruption could pose a significant risk for those who don’t learn how to play.”

What does this mean for you? More Candy Crush and less Assassin’s Creed?

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[Via DigitalCapitalist]

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