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Online Gaming Revenues to Triple by 2009
Networked gaming and digital distribution drive business model
diversification
Revenues from U.S. online gaming services will increase from $1.1
billion in 2005 to more than $3.5 billion in 2009, according to
Networked Gaming: Driving the Future, a new report from Parks
Associates. Networked gaming services, including online console gaming,
massively multiplayer online gaming (MMOG), multiplayer Internet gaming,
and mobile multiplayer gaming, will account for almost 50% of online
gaming revenues in 2009, followed by digital downloads at 23%.
“The two primary drivers for online gaming are networked gaming
services and digital distribution,” said
Yuanzhe (Michael) Cai, director of broadband and gaming for Parks
Associates. “Over the next four years, the gaming industry will no longer
depend solely on retail sales and instead will see more balanced and
diversified business models.”
The report also concludes that games-on-demand services will complement
digital distribution and, in addition, game publishers and service
providers could generate significant derivative revenue from networked
in-game advertising and secondary market exchange.
“The gaming industry is definitely learning valuable lessons from the
video industry – syndicated game networks such as GameTap can extend a
game’s release window and in-game advertising can lead to innovative
business models such as free MMOG,”
Cai
said. “Furthermore, we believe more game publishers and service providers
will find ways to monetize the in-game economy, instead of fighting
against it.”
Networked Gaming: Driving the Future discusses consumer adoption
of networked gaming, including consumer profiles and interest in connected
and cross-platform gaming. It also covers the technology solutions
enabling such services and examines the market impact and revenue
opportunities for game developers, hardware manufacturers, and broadband
service providers.
For additional information on
Networked Gaming: Driving the Future, visit
http://www.parksassociates.com
or contact 972-490-1113 or
sales@parksassociates.com.
About Parks Associates: Parks Associates is an
internationally recognized market research and consulting company specializing
in emerging consumer technology products and services. Founded in 1986, Parks
Associates creates research capital for companies ranging from Fortune 500 to
small start-ups through market reports, primary studies, consumer research,
custom research, workshops, executive conferences, and annual service
subscriptions.
The company's expertise includes new media, digital
entertainment and gaming, home networks, Internet and television services,
digital health, mobile applications and services, consumer electronics, and home
control systems and security.
Each year, Parks Associates hosts executive thought
leadership conferences CONNECTIONS™, with support from the Consumer Electronics Association (CEA®), and CONNECTIONS™ Europe. In addition, Parks
Associates produces the online publication Industry Insights in
conjunction with the CONNECTIONS™ Conference series.
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