Subscription-Based Gaming Market Size (2024 - 2029)

Subscription Based Gaming Market Analysis

The Subscription-Based Gaming Market size is estimated at USD 10.92 billion in 2024, and is expected to reach USD 17.46 billion by 2029, growing at a CAGR of 9.84% during the forecast period (2024-2029).

• Continuous technological advancements in the gaming industry are propelling the market’s growth. Subscription services, which charge a regular fee for access to a game library, significantly contribute to the market.
• The release of 5G and the emergence of unlimited data plans are also expected to be key factors aiding the success of subscription-based cloud gaming across the world, as most gamers today prefer playing games on their mobile devices. In addition, the increasing services and investments in 5G infrastructure are vital to this success. According to Ericsson, 5G mobile subscriptions in Asia-Pacific will reach around 1,545 million by 2025.
• Various bundling service innovations drive the market, and the subscription model allows players to pay regularly to access additional in-game material and features for a specified length of time. The subscription model is also commonly seen in mobile gaming as an in-app purchase. While casual users will continue to play the games for free, those who pay can experience a premium gaming experience.
• Subscriptions typically offer a more affordable entry point for gamers. Instead of paying a significant upfront cost for a single game, subscribers gain access to a library of games for a monthly fee, which can often be lower than the cost of purchasing even one new game.
• The number of service providers operating in markets is increasing rapidly, thus creating a competitive space where vendors are forced to offer benefits to consumers at a loss that may not be sustainable over a long period. Once the service provider switches the business plan to turn toward profitability by increasing the prices of the services offered, the consumers may also switch to newer players offering similar services at competitive prices. Such scenarios are challenging the growth of the service providers.
• The Post COVID also increased the need for people to engage in immersive experiences at home. In addition, affordable VR equipment and 5G implementation allowed many users worldwide to engage in mobile gaming. In July 2023, Verizon stated that over 200 million people, or around two of every three Americans, enjoyed the world's fastest and most reliable 5G Ultra Wideband service offered by the company. The power and performance of a Verizon 5G Ultra Wideband, with fast download speeds and the capability to support data-intensive activities, can be experienced by customers in the United States.

Subscription Based Gaming Industry Segmentation

The study tracks the demand in the subscription-based gaming market, which is emerging as a viable source of revenue for console and cloud-based gaming vendors. Cloud-based gaming revenues are also factored into the market sizing, considering their mode of operation.

The gaming subscriptions market is segmented by type (console gaming, PC-based gaming, and mobile gaming ) and geography (North America, Europe, Asia Pacific, and Rest of the World). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.