The global video game streaming market is predicted to be valued at $3.5bn by 2025, up from $1.1bn in 2020, according to a report by gaming market intelligence firm Newzoo. Factors driving the growth include an increasing number of gamers, the popularity of live-streaming platforms such as Facebook Gaming, YouTube Gaming and Twitch, and the rise of esports competitions. Twitch, which Amazon purchased in 2014 for $970m, remains the leading streaming platform, with over 140 million monthly active users, although Facebook Gaming saw the fastest growth last year, with a 166% year-over-year increase in hours watched.
Video game streaming platforms experience exponential growth
Introduction
The video game industry has experienced tremendous growth over the past few years, with more and more people taking up gaming as a form of entertainment. As a result, video game streaming platforms have become increasingly popular, with millions of people tuning in to watch their favorite games being played by others.
Market growth
According to a report by Newzoo, a leading gaming market intelligence firm, global video game streaming revenues are expected to reach $3.5 billion in 2025, up from $1.1 billion in 2020. This exponential growth is driven by the increasing number of gamers, the rise of esports competitions, and the growing popularity of live-streaming platforms like Twitch, YouTube Gaming, and Facebook Gaming.
Twitch leads the way
Twitch, which was acquired by Amazon in 2014 for $970 million, remains the most popular video game streaming platform, with over 140 million monthly active users. The platform has become a household name, with some of the biggest names in gaming regularly streaming their gameplay to thousands of viewers.
The rise of Facebook Gaming
Facebook Gaming has emerged as a legitimate contender to Twitch’s dominance, with the social media giant investing heavily in the platform over the past few years. In 2020, Facebook Gaming saw a 166% year-over-year growth in hours watched, making it the fastest-growing streaming platform.
YouTube Gaming
YouTube Gaming, a division of Google-owned YouTube, has also seen significant growth in recent years. While it still lags behind Twitch and Facebook Gaming in terms of user numbers, the platform is gaining ground, with some of the biggest names in gaming now streaming on the platform.
Economic impact
The growth of video game streaming platforms has had a significant economic impact, with streamers able to earn significant amounts of money through advertising revenue, sponsorships, and donations from viewers. This has led to the rise of professional gaming, or esports, with top players making millions of dollars a year in prize money and endorsements.
Conclusion
The growth of video game streaming platforms is showing no signs of slowing down, with more and more people tuning in to watch their favorite games being played by others. With the rise of esports and the increasing popularity of live-streaming platforms, the video game industry is poised for even more growth in the coming years.