Cloud gaming is the new buzz in the video gaming industry. Due to multiple reasons, gamers have started to shift toward cloud gaming. It’s no wonder that Cloud Gaming has grown significantly in recent years. According to the numbers presented by SafeBettingSites.com, cloud gaming’s annual revenue will reach $6.3 billion by 2024.
Revenue to increase by 327% in three years
According to the numbers available on Statista, cloud gaming contributed $1.476 billion toward video gaming revenue in 2021. Cloud gaming has existed for over a decade, but it has only caught mainstream attention during the past two to three years. According to the numbers, cloud gaming brought in only $152 million in revenue during 2019. In the next two years, cloud gaming underwent a revolution as annual revenue increased by a massive 870%.
This rapid flow of growth in Cloud Gaming will continue in the coming years. In 2024, the industry is set to bring $6.3 billion in revenue. This figure would represent an increase of 327% during the three-year period from 2021 to 2024.
Reasons behind popularity of cloud gaming
Cloud Gaming is enabled by accessing games on remote servers. The only primary requirement for cloud gaming is a high-speed internet connection. Thus, gamers are not required to update their hardware or buy new consoles to play the latest games.
The primary reason behind the recent popularity of cloud gaming is ever-increasing access to high-speed internet. The easy access to high-speed internet has allowed popular gaming companies such as Sony, Microsoft, Amazon, etc., to focus on their cloud-based offerings in the last few years. All popular gaming services like PlayStation Plus, Xbox Cloud Gaming, Amazon Luna, GeForce Now, and Google Stadia offer cloud-based gaming services in the market today.
Cloud gaming has also received a boost due to the recent shortage of semiconductor chips. Due to the said shortage, the gaming market has been plagued with a shortage of consoles and high-end PC components. Gamers are finding it hard to get their hands on high-end PC components and consoles. Thus, gamers have switched to cloud gaming to play the latest games.
With the advent of the 5G technology already upon us, the future of Cloud Gaming looks even more positive.