Gaming industry's fortunes fade as spending squeeze follows pandemic bump

Rising prices and a lack of hit titles have added to problems for video game publishers Activision Blizzard Inc and Electronic Arts that are also battling supply-chain delays and a shift in consumer choices due to easing lockdowns. The latest proof of that came on Tuesday from gaming platform Roblox whose revenue growth eased to just 30% from 83% two quarters ago.

"The job market is still hot, there is plenty of froth on the economy causing aggressive inflation and the relaxation of COVID restrictions are leading consumers to consider spending on more experiences outside of the home," Jesse Divnich at SVP Games Research said. "When you have 50% of big bank economists saying we might be in a recession in the next quarter or two, my attitude is... we're in a recession and... we are seeing some softness," Take-Two top boss Strauss Zelnick told analysts.

Analysts and company executives, however, expect the industry to grow above pre-pandemic levels, leaning on the launch of delayed titles and an easing of parts shortages.

Singapore Singapore Latest News, Singapore Singapore Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Soulbond launch marks major milestone for Malaysia’s gaming industry | Malay MailKUALA LUMPUR, March 27 — Malaysia’s gaming industry has achieved a major milestone with the launch of Soulbond: Rebels Arise, the country’s first blockchain-led massively multiplayer roleplaying game (MMORPG) utilising non-fungible tokens (NFT). Many Malaysians would be unaware that the...
Source: malaymail - 🏆 1. / 86 Read more »

Chinese teens vent at new gaming limits as investors weigh impact on industryYoung Chinese gamers took to social media to express their outrage at new rules that limit their gaming time to just three hours per week, while investors fretted about the long-term impact on the industry. Most people are starting to dump china gaming company stocks.
Source: staronline - 🏆 4. / 75 Read more »

Gaming industry worth US$300bil after pandemic surge: studyThe value of the gaming industry has topped US$300bil (RM1.23 trillion) following a pandemic-fuelled surge, with some 2.7 billion players worldwide, a research report said on April 29.
Source: staronline - 🏆 4. / 75 Read more »

Gaming industry worth US$300 bil after pandemic-fuelled surgeResearch shows the sector's value is more than the combined markets for movies and music. FMTNews GamingIndustry
Source: fmtoday - 🏆 5. / 72 Read more »