Publication of '2024 Game Industry Top 10 Trends' Report
Industry Size Decreased by 10.9% Compared to Previous Year
▲AI Utilization ▲Expansion of XR and Subculture Games ▲Focus on IP Strengthening Trends
Cloud Gaming Market Expansion Centered on Big Tech
The global game industry is expected to continue growing at a rate of around 4% through next year, with expanding AI (artificial intelligence) within the game ecosystem and the sustained popularity of the massively multiplayer online role-playing game (MMORPG) genre anticipated.
According to the ‘2024 Top 10 Game Industry Trends’ report published by Samjong KPMG on the 3rd, the domestic game industry is at a turning point requiring a reestablishment of business models due to factors such as the saturation of MMORPG games, changes in game policies in overseas countries including China, and the diversification of technology and demand.
Since 2020, the growth momentum of the domestic game market has been steadily declining. The Korea Creative Content Agency announced that last year, the size of the domestic game industry recorded 19.79 trillion KRW, marking the first year in 10 years since 2013 to show a decrease compared to the previous year (-10.9%).
Samjong KPMG expects the AI domain within the game ecosystem to expand. Each game company is establishing its own AI research centers or investing in specialized companies, and is engaging in technology development and adoption through partnerships. The report forecasts that generative AI will increasingly be utilized in game production, from game concept design to character and background music creation.
Recently, there have been successive cases of hits and IP (intellectual property) expansion in subculture games and casual genre games. MMORPG developers are also attempting genre diversification by releasing subculture games, casual games such as puzzle games, and idle RPGs.
Game companies are also actively expanding IP-based business models and targeting the global market. They are launching brand goods stores based on their flagship IPs and focusing on securing global fandom by releasing flagship IP games in various languages worldwide.
The cross-play market, where gamers using various platforms such as consoles, PCs, and mobile devices can interact in real time, is expanding. Google operates a platform that enables cross-play allowing mobile games to be played on PCs, and major domestic game companies are releasing games that support cross-play.
The growth of the cloud gaming market is also attracting attention. According to market research firm Statista, the global cloud gaming market is expected to reach approximately 6.9 billion USD this year, a 59% increase from the previous year. Samsung Electronics’ smart TVs are equipped with the ‘Gaming Hub’ supporting cloud gaming functions, and global video streaming companies such as YouTube and Netflix offer cloud gaming to their paid subscribers.
Additionally, major game industry trends include ▲growth of the XR (extended reality) game market ▲expansion of the e-sports ecosystem ▲strengthening regulations on probability-based items ▲advancement of ESG (environmental, social, and governance) management in the game industry ▲and diversification of global go-to-market strategies.
Park Seong-bae, Vice President of the Electronics, Information & Communication and Entertainment Industry Division at Samjong KPMG, stated, “In this period of change in the game industry, there is a need to reestablish business models with high profitability and efficiency,” adding, “It is necessary to secure IP and build game lineups based on precise market analysis. Along with overseas market diversification strategies including establishing local subsidiaries and cooperating with local partners, emphasis should be placed on utilizing AI in terms of game attractiveness and productivity.”
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