Global console content, services spend reaches record high in 2018

first_imgGlobal console content, services spend reaches record high in 2018IHS Markit: 2019 expected to see continued market growth largely thanks to the Nintendo SwitchRebekah ValentineSenior Staff WriterTuesday 7th May 2019Share this article Recommend Tweet ShareThe global console market saw continued growth in 2018, with total spend across hardware, content, and services reaching $47 billion – up from $42 billion in 2017.That’s the highest that spend has been since 2011 according to IHS Markit’s analysis, but the real growth has been specifically in the content and services sectors taken separately. These two, sans hardware, reached nearly $32 billion last year, a record high beating out the previous best year in 2008. In fact, the only area in which content or services declined was in packaged game sales, which saw a 3% sales decrease year-over-year.IHS Markit predicts that this growth will continue in 2019 due to a number of factors. One of those is the rumored new Nintendo Switch SKU for a smaller, more portable Nintendo Switch. That version of the console is still, per all reports, still coming in 2019 though Nintendo president Shuntaro Furukawa did specify the company would not be unveiling new hardware at E3 next month.Related JobsSenior Game Designer – UE4 – AAA United Kingdom Amiqus GamesProgrammer – REMOTE – work with industry veterans! North West Amiqus GamesJunior Video Editor – GLOBAL publisher United Kingdom Amiqus GamesDiscover more jobs in games Another factor is the strength of certain content models that led the console market to its 2018 success. That includes a continued, steadfast interest in traditional first-party releases such as God of War and Super Smash Bros. Ultimate as well as the growth of games as a service, digital full game downloads, and paid DLC.While Nintendo is showing up with hardware and content numbers, its service offerings still pale in comparison to its competition. Nintendo Switch Online only represented 1% of the total market share for the service sector last year.With all of this, IHS Markit anticipates the 2019 console spend for content and services (hardware excluded) will reach nearly $34 billion in a sign of continued growth.Celebrating employer excellence in the video games industry8th July 2021Submit your company Sign up for The Publishing & Retail newsletter and get the best of GamesIndustry.biz in your inbox. Enter your email addressMore storiesEA leans on Apex Legends and live services in fourth quarterQ4 and full year revenues close to flat and profits take a tumble, but publisher’s bookings still up double-digitsBy Brendan Sinclair 2 hours agoUbisoft posts record sales yet again, delays Skull & Bones yet againPublisher moves away from target of 3-4 premium AAA titles a year, wants to build free-to-play “to be trending toward AAA ambitions over the long term”By Brendan Sinclair 6 hours agoLatest comments Sign in to contributeEmail addressPasswordSign in Need an account? Register now.last_img read more