The global gaming console market has achieved 10 percent growth in 2023, according to Counterpoint Research.
This significant growth in the gaming console market was due to a combination of factors including advancements in supply chain management, heightened consumer demand, and the introduction of new console releases.
Sony has emerged as the leader in the gaming console market in 2023, overtaking Nintendo to claim the top position in the market, propelled largely by the widespread popularity of its PS5 console.
Analysts highlighted the pivotal role played by the latest console iterations introduced by Sony and Microsoft in 2020, which catalyzed market growth in 2021. Additionally, the impact of the Covid-19 pandemic, necessitating prolonged periods of home-bound entertainment, further fueled the market’s expansion.
“Following the supply chain constraints witnessed in 2022, the market witnessed a notable resurgence in 2023,” stated analysts, underlining the gradual alleviation of supply chain bottlenecks as a key factor driving the market’s recovery.
Sony will be maintaining its leadership position in the gaming console market in 2024, bolstered by its popularity and perceived weakness among competitors.
Furthermore, the report underscored the increasing significance of software and ancillary services revenue within the gaming console market, a trend expected to persist in the foreseeable future. In 2023, this revenue category accounted for over 70 percent of total gaming revenue for both Sony and Microsoft, signaling a fundamental shift in revenue streams within the industry.
Looking ahead, analysts predict a marginal single-digit decline in the gaming console market for the year 2024.
The integration of artificial intelligence (AI) is poised to play a pivotal role in driving future growth in the gaming console market. Microsoft has initiated the development of an AI-powered chatbot for Xbox, primarily aimed at enhancing customer support services.
Sony is anticipated to incorporate AI technologies into its forthcoming PS5 Pro and PS6 devices, with AI upscaling expected to elevate content quality within the PS5 Pro ecosystem.
InfotechLead.com News Desk
