Microsoft sees promise in mobile games
Mobile games have become a very prominent part of the game industry. Developers and publishers around the world are beginning to put a great deal of their focus on the mobile space, hopping to tap into a very active and lucrative market. While consoles remain a powerful force in the game industry, mobile games are beginning to establish a strong foothold among gamers, both casual and hardcore alike. For Microsoft, mobile platforms are beginning to represent a significant portion of the company’s revenue.
15% of revenue generated from mobile games
Microsoft has long been a formidable force in the game industry. Not only is the company responsible for the Windows operating system, which is the most popular platform for computer games, it is also responsible for the acclaimed Xbox consoles. Rumors suggest that Microsoft is planning to unveil its next generation Xbox in the coming weeks, but the console is not likely to derail the attraction of the mobile space, especially as the company reports that 15% of its revenue is coming from mobile games.
Microsoft likely to remain focused on consoles and PC
According to Microsoft, mobile games on smartphones and tablets generate some $10 billion annually for the company. The performance of mobile games has been enough to pull Microsoft’s attention further into the mobile space, but the company will not be abandoning its place in console gaming. The company still considers consoles to be the most lucrative market for games, especially as consoles represent 42% of the company’s revenue. PC revenue comes in at $12 billion, which is likely enough to keep Microsoft strongly focused on PC gaming as well.
Competition in mobile space is heating up
Microsoft plans to push forward with its mobile games. The company is expected to face significant competition from other game industry giants, like Sony and Nintendo, which are also showing interest in mobile games. Even small, independent development studios could begin competing with Microsoft due to the nature of mobile games and the favor that consumers show for developers.
Mobile games are beginning to hold sway over the game industry as a whole
The game industry is currently experience a monumental shift as a new generation of consumers and technology enter into prominent markets around the world. For the past several decades, the game industry has been solely focused on console platforms, as well as PCs. The advent of mobile technology changed that focus, however, especially as advanced smartphones and tablets became extremely popular. Mobile games have quickly become one of the most lucrative aspects of the game industry, which has encouraged developers to swarm to the mobile space in order to take advantage of this popularity.
Developers beginning to swarm the mobile space
A few short years ago, mobile games were considered little more than novelty. They have, however, become one of the most successful fields in the game industry. Consumers around the world have shown that they are exceedingly interested in mobile games of all types, sinking hours upon hours of their times into games like Angry Birds and Temple Run. As these games find more and more traction among consumers, a growing number of developers are breaking away from publishers in order to establish their independent pedigree, much to the delight of consumers.
Consoles may be in for a tough fight
As developers find more success with mobile games, they are beginning to hold more power over the game industry. The industry has long been dominated by consoles, such as the Playstation and Xbox, but mobile devices are threatening to dethrone these platforms. A new generation of consoles is expected to be released sometime this year by Sony and Microsoft, but whether these platforms will be able to compete with mobile games has yet to be seen. ABI Research, a leading market research firm, suggests that competition with mobile games may be fierce.
Research firm suggests that mobile games are cutting into console opportunities with casual gamers
According to ABI Research, mobile games have diminished the opportunities available to consoles in the casual gaming market. Mobile games have introduced consumers to a new business model, wherein they can get the games they are interested in for free or for a very small fee. In general, mobile games that do cost money are $5 to purchase, at their most expensive. The vast majority of these games, however, are free. Many of these games do have in-app purchases that are, at times, somewhat controversial with some consumers, but these have not diminished the appeal of mobile games in any significant manner.
