Chris Morris

<p>The video game industry saw <a href="https://fortune.com/2021/06/04/ea-ceo-andrew-wilson-fortune-500-video-games-biggest-gaming-companies-covid-streaming/">tremendous growth</a> during the pandemic, with <a href="https://fortune.com/2020/09/16/sony-new-playstation-5-price/">the launch</a> of <a href="https://fortune.com/2020/09/09/x-box-series-x-november-10-release-date/">new game systems</a> and an audience that was eager to escape the boredom of being trapped at home and seeking an interactive way to socialize with friends. </p><div class="paywall-selector"></div><div class="paywall">



<p>But inflation could be poised to do what a pandemic couldn’t: cause the video game industry to see a decline for the first time in at least seven years.</p>



<p>A forecast from <a href="https://www.ampereanalysis.com/">Ampere Analysis</a> predicts the <a href="https://fortune.com/2021/04/19/gen-z-gamers-video-games-media-entertainment-outlook-changes-future/">global games content and services market</a> will see a decline of 1.2% this year to $188 billion. That’s a mild decline, of course, but it follows several solid years of growth. The market today stands at nearly double where it was in 2015, jumping from $95 billion in 2015 to $191 billion last year.</p>



<p>The growth of the video game industry over the past two years has created a wider user base, which leaves it more susceptible to economic pressures (versus when it was more centered around core fans, who typically found money, even in tight times, to fuel their hobby).</p>



<p>“As we progress through a period of heavy inflation, with an increasing cost-of-living squeeze, and a higher potential for a recession, it is inevitable that the games market will be negatively impacted in certain areas,” wrote Ampere. “Indeed, the fact that the games sector is now as broad as it suggests that there are likely to be more cases where a cost-of-living squeeze will impact consumption compared to 2008 and 2009 when the last major global recession took hold.”</p>



<p>Beyond inflation, the return to a more normal lifestyle is impacting gaming somewhat. As people are able to get back to their lives, some are playing less, both on consoles and PCs as well as mobile devices. (And supply-chain issues continue to plague the console/PC space, as finding a PlayStation 5 or updated video card is challenging still.)</p>



<p>The dip in the gaming market isn’t expected to be an extended one, though. Ampere predicts the global market will rise to $195 billion in 2023.</p></div>

Forecast calls for a mild decline, but that follows several solid years of growth.

After a pandemic bump, global video game market expected to fall this year

<p>Sign up for the <em><a href="https://mynewsletters.fortune.com/fortune-features">Fortune Features</a></em> email list so you don’t miss our biggest features, exclusive interviews, and investigations.</p>

F-BreakingNews

Video Games

Tech

The growth of the video game industry over the past two years has created a wider user base, which leaves the industry more susceptible to economic pressures.

Video games are often called recession-proof, but in a post-pandemic world, that's questionable

Global video games market expected to fall for first time since 2015

After a pandemic bump, global video game market expected to fall this year | Fortune

Foster Wong

Bloomberg

CATL files for Hong Kong listing that could raise $5 billion

/asia/2025/02/11/catl-files-hong-kong-listing-electric-vehicle-batteries/

Sharon Goldman

Elon Musk’s OpenAI bid creates a legal maze and investor uncertainty—which is probably just what he wants

/2025/02/11/elon-musk-openai-bid-legal-sam-altman/

David Somers

How AI agents represent the next big shift in the workforce

/2025/02/11/ai-agents-workday/

Marco Quiroz-Gutierrez

Sam Altman says former friend Elon Musk isn’t a happy guy: ‘Probably his whole life is from a position of insecurity’

/2025/02/11/sam-altman-elon-musk-insecure-billionaire-feud-open-ai/

Jeremy Kahn

Emmanuel Macron and Brigitte Macron stand alongside JD Vance and Usha Vance

The Paris AI Action Summit was a fork in the road—but whether the chosen path leads to prosperity or disaster remains unclear

/2025/02/11/paris-ai-action-summit-ai-safety-sidelined-economic-opportunity-promoted/

Sasha Rogelberg

Elon Musk’s net worth falls below $400 billion for the first time this year after Tesla’s 27% stock avalanche

/2025/02/11/elon-musk-net-worth-400-billion-tesla-stock/

Sydney Lake

Mark Zuckerberg warned employees to prepare for an ‘intense year.’ He just laid off 3,600 workers—including some who claim they got glowing reviews

https://fortune.com/2025/02/11/mark-zuckerberg-meta-layoffs-low-performers/?itm_source=parsely-api

Remember the guy who threw away over $750 million in Bitcoin? Now he wants to buy the dump where he thinks it's buried

https://fortune.com/2025/02/11/bitcoin-trash-landfill-purchase-james-howells-newport/?itm_source=parsely-api

Chloe Berger

Salesforce bet $10 million on Matthew McConaughey during layoffs. Now he's starring in the company's Super Bowl ad touting AI

https://fortune.com/2025/02/10/salesforce-matthew-mcconaughey-super-bowl-ad/?itm_source=parsely-api

Eleanor Pringle

Trump blasts WFH policies: ‘Nobody is gonna work from home. They are gonna be going out, playing tennis, playing golf’

https://fortune.com/2025/02/11/trump-work-from-home-federal-employees-not-working-golf/?itm_source=parsely-api

Greg McKenna

Adjusting the bookkeeping on America’s gold reserves could add $750 billion to the U.S. Treasury overnight—but one expert says cashing out could trigger an ‘Armageddon’ event and tank the market

https://fortune.com/2025/02/11/adjusting-bookkeeping-america-gold-reserves-add-750-billion-treasury-overnight/?itm_source=parsely-api

Irina Ivanova

Donald Trump's penny proposal would eliminate 1 in 2 coins minted in the U.S.—but nickels are the real villains

https://fortune.com/2025/02/11/trump-penny-production-us-mint-nickels/?itm_source=parsely-api