The video game industry has enjoyed over a decade of high growth. But as an era of new challenges looms, companies expect the next five years to be more challenging than the last.
Is winter coming? Is the video game industry becoming mature? Is it entering a darker period of lower growth, hyper-competition, and a fierce shakeout of players? What must a game company do to survive?
EY has conducted an in-depth, global survey of over 200 senior executives from the video game industry. Our research explores key challenges such as soaring production costs, mounting competition, customer churn, higher cyber-risk, and the prospect of tougher government regulation. As almost half of companies step-up their investment in 5G, we also explore the impact of technologies and related business models – streaming, virtual reality, blockchain and others.
A cornerstone of the EY research is to articulate how video game companies and the industry at large can respond. What is the role of technology and is it a panacea to solve the industry’s challenges? How should business models be redefined to protect the enterprise and drive growth?
This report, which will be available in September, is a comprehensive study of the industry, plus related summaries on the opportunities and impact of eSports, blockchain and cyber-security on the industry. Special reports will also cover the video games industry in China, Japan and South Korea, highlighting local differences such as the popularity of VR in Asia.