Report: Online game revs tripling by 2012

DFC Intelligence predicts that income from MMOGs and digitally distributed content will rise dramatically in the coming years.

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Today, industry research firm DFC Intelligence, issued a report predicting that online game revenue will increase at a startling rate. Thanks to the proliferation of high-speed Internet connections, DFC thinks that the worldwide online game market will pass $13 billion by 2012. That's nearly triple its current estimated size of $4.5 billion. By region, DFC estimates that 50 percent of online game revenue will come from East Asia, 25 percent from North America, 18 percent from Europe, and 7 percent from Japan.

While the vast majority of online game revenue currently stems from PC games, DFC foresees a rapid rise in income from online content sold on Xbox Live Marketplace, the PlayStation Store, and the Wii Shop. "By 2012, revenue from digital distribution on console systems is expected to pass $1 billion," read the report.

The research group also augurs that sales of in-game items will account for a whopping 40 percent of all online game revenue--or around $5.2 billion--by 2012. Most such items are offered in PC MMORPGs, but are also available for console titles such as Project Gotham Racing 3.

Discussion

70 comments
kazzu
kazzu

there are way too many MMOs out there. only half are decent. hopefully there will be some good ones comming out that i can get into and add to this income XD

ELDDJOC
ELDDJOC

Noooooo !! More online no-brainer fat freaks !! How many more blank-eyed no-lifers do we need to see before we recognize that this is a social problem that needs to be resolved !

Daytona_178
Daytona_178

Well i guess well have to wait and see wont we!

comthitnuong
comthitnuong

With so many MMO's coming out, I wouldn't be surprised.

mik_evil
mik_evil

If you want to get rich, invest in online companies and weight loss clinics for all those sun starved obese kids.

yarow12
yarow12

MMOs RULE, World Domination Baby! WOOT!~ XD

gbrading
gbrading moderator

Hmm, an interesting prediction. Of course, financial analysts can't really predict gobal market trends particularly accurately, most of it is just guesswork. It'll be interesting to see if they turn out to be right, or in a whole different ballpark.

AgileNate
AgileNate

I hope this doesnt happen since a good source of income is the Online market suck as Live Marketplace. Half the in-game items available for purchase are a rip off and they could plan items for marketplace instead of adding it right to the original software purchased.

rokkuman09
rokkuman09

They might just be right, but who knows.. there is no way to know the future for sure.

imelitenow
imelitenow

must i say again analyst cant see the future

jknight5422
jknight5422

"more stupid analysts and their crap. Remeber when they said DS will lose or ...and all sorts of crap." --razu_gamer You need them. Also, you didn't state who said what about DS. Some analyst firms are better than others. I, for one, don't plan on buying maps. Further, online FPS games could become less fun if every person that plays them is too highly skilled in playing. Newcomers will not want to put in a learning curve of several months just to become a comparable player & have to pay for maps to stay current every month or two. Especially if the maps are $10 each. That's insane.

XBadNewsX
XBadNewsX

I say stick to the offline games and add online compatibility. Nothing extravagant either. Just enough to keep it interesting after your done offline. None the less if it costs extra money a lot of people will push away so that won't make a difference if the situation is presented.

Yammazul
Yammazul

ElmorePOW said: "We will see the days that gaming doesen't belong to gamers anymore. We builded gaming culture, and now it is taking new step to everybody's life - which is good - but in the future, we find it funny that the thing that is so crucial part of your life, was separeted in terms, and was called 'gaming'. But, I think _we_, who endured 4 and 8-bit graphics, watched those blocky characters to grow something that merely looks human, are the people who will be the kings and queens of that world of tomorrow. We know, that the thing everybody calls life - was infact, called 'gaming'. We were the people who enthustically tried to understand the few kilobites of virtual worlds, to understand vast lands of tomorrow. I don't even try to sound sane." I'll have whatever this guy has been smoking.

fluffebunnie
fluffebunnie

I'm old school so I like a nice box and book for my games. However, some of these older arcade games and cute little games like that are pretty cool as downloads. In terms of MMORPGs, seriously make the pain stop. I know a lot of people like playing these (and that's fine), but let's get some really good offline RPGs (with stories and endings) cranking out. "The research group also augurs that sales of in-game items will account for a whopping 40 percent of all online game revenue--or around $5.2 billion--by 2012." Does this refer to microtransactions? If so, they can eat me. I guess gamers like being milked for extra skins, maps and things that should be (and always have been) free. I guess kids coming up now don't remember a time when mods were free.

MetalContra
MetalContra

I will continue to game online for free

---n00b_kid---
---n00b_kid---

single player campaign games will get shorter for more development on the multiplayer so they can sell u later maps, weapons, etc

Lycen
Lycen

As long as there is a money fee, I will not be playing any of those games.

Adeboli
Adeboli

Sales of in-game items account for 40% of revenue, ehm? Call me sceptical, but I seriously doubt this will ever happen as long as developers keep ripping of players with high prices and little to no new content on these in-game additions.

DevilHacker
DevilHacker

1billion! Why the hell are we not taxing this stuff!

Phazevariance
Phazevariance

I've practically stopped playing PC games all together now, since I hate spending $1500 to upgrade every two years. Consoles FTW. As each console goes online, more and more people will join no doubt. Even hand helds are online these days... it's only expected that the money increases along with the demand.

ldonyo
ldonyo

Predictions are easy, especially when they're based on nothing more concrete than speculation.

mr_killer_man
mr_killer_man

I can only speak for me and my PS2. I can't buy any of those games and my pc is getting slower by the minute. So there will be no games on it.

smfes
smfes

The earth is going udner just because of gaming >_> guess we humans spend way too much time and it and way too much money. gee and i already play wow and i live in europe!

VicMackey
VicMackey

Actually, that headline should read as follows: "Mayans: World ending by 2012." Respect to MaDNuGgU, who pointed this out before me.

Yuna08
Yuna08

Can you imagine how many 'rubbish' online games china has made each year? MMORPGs are wearing out. With the similiar objective (fight and gain levels/items), soon people will get bored of it.

razu_gamer
razu_gamer

more stupid analysts and their crap. Remeber when they said DS will lose or ...and all sorts of crap.

edhc44
edhc44

Did we really need research to figure that out? Nevertheless, I agree with ELDDJOC... :/ Elmore, if you're not sane, a lot of people share your insanity ^^

ELDDJOC
ELDDJOC

That is bad news - with so many idiotic online freakshows willing to spend their lives and earnings all on MMORPGs - there would be nothing left for the dedicated single player ...... Sad ......

G_Tizzle
G_Tizzle

The curret gen consoles might not be around in 5 years time... forget the XBL, PS store and wiishop!

ColdfireTrilogy
ColdfireTrilogy

"We builded gaming culture" - lol Sorry, had to :( you just didn't sound like someone who has gone through the 8/16 bit era. I do agree TOTALLY with what you said though.

2p4eva
2p4eva

If you watch the video 'era of connected gaming', hear Peter Moore saying that its crazy we have to get up, go to a store, buy a CD just to play data. When high bandwidth connections become available to almost everyone, it should make sense to digitally distribute it. I can only hope they sort out DRM by then....

ElmorePOW
ElmorePOW

We will see the days that gaming doesen't belong to gamers anymore. We builded gaming culture, and now it is taking new step to everybody's life - which is good - but in the future, we find it funny that the thing that is so crucial part of your life, was separeted in terms, and was called 'gaming'. But, I think _we_, who endured 4 and 8-bit graphics, watched those blocky characters to grow something that merely looks human, are the people who will be the kings and queens of that world of tomorrow. We know, that the thing everybody calls life - was infact, called 'gaming'. We were the people who enthustically tried to understand the few kilobites of virtual worlds, to understand vast lands of tomorrow. I don't even try to sound sane.

Faephoenix_Eyes
Faephoenix_Eyes

lol yea this was kinda predicted easily. Especially with the mmorpg games, ppl of all sorts of ages are playing like mad at such a fast growing rate. even grandpas and grandmas play games!

Makhdoom82
Makhdoom82

Do you need a genius to predict all that .... everyone knows population is growing more and more countries are prospering and becoming developed instead of being in the developing stage !!! So ofcourse more people will join !!! More people more money !!! :D

vanhalendlrband
vanhalendlrband

not if we all don't buy it, they only assume upon whats happening right now, and then they include inflation and all that **** IF they don't do this, the stock can never go up and down, its not set in stone. We can all decide not to buy-in and paying for extra content on a game we already payed 75 bucks for and, if your a PS3 fan, 800 bucks or whatever on a system. If you want to still go ahead, but i don't think i will, espescially if they're just unlocking things on a disc, like in Phantasy Star Universe, you pay 14 bucks a month just for them to unlock different sections of the disc. lame.

zeecorner
zeecorner

next gen it could be all digitally distributed stuff, but then stuff like gamefly would go under, and I would hate to see that.

Redsyrup
Redsyrup

[This message was deleted at the request of a moderator or administrator]

Metamorphos1s
Metamorphos1s

pffft... the world is ending by 2012... oh well...

RipStrike
RipStrike

Oh gods, like we need more incentive for the locusts to swarm. ...I'm not sure if I meant gaming devs or players there. Yes, I'm jaded.

NetGod
NetGod

In order of importance. The top 5 things i look for in a potential game purchace: 1. Is the game fun and addicting? 2. Is it multiplayer? (Guantlet/Diablo style) 3. Is it online multiplayer? 4. Does it have good graphics? 5. Will I play it more than once or twice?

kemar7856
kemar7856

every game needs to have some online features

bobmcguire
bobmcguire

yay make belief worlds. much better than the real one in many ways. no wonder its so popular.