Gaming Landscape

In a similar manner to DeFi, the gaming industry has been taking giant steps with over 2.8 billion gamers worldwide and a market that is worth over $175 billion, with this value distributed between PC (20%), Console (28%), and Mobile (52%) platforms. These figures represent the current valuation.

The gaming market is anticipated to be among the fastest-growing in the coming decades and is expected to grow at least two-fold by 2026.

The monetization of mobile games is built upon two pillars:

• Donations, in-game item purchasing, and the purchasing of the game itself:

  • the iOS AppStore and the Google PlayStore are practically monopolists able to charge exuberant fees per dollar of revenue generated by the game.

• Attention-driven advertising:

  • this type of monetization is dominated by advertising platforms - basically, black boxes, providing zero transparency on pricing methods and fee formation, effectively turning out extremely expensive.

2.5% As a result of the aforementioned, game development always incorporates an established set of tools to realize these monetization strategies - e.g. ads, banners, MLM mechanisms, referral programs, and others.

Standardizing these for each game effectively means thousands of hours of development and hundreds of dollars saved. Software-as-a-service platforms that can provide these tools in the most flexible and customizable manner will be the platforms of the future in mobile gaming.

Spending on mobile gaming on the AppStore and PlayStore together has grown over 70% from Q1 2018 till Q1 2021 to $22.2 billion; coupled with influencer marketing growth of 711% from 2016 until mid-2021 to $13.8 billion, the potential in creating a tournament platform and tokenizing it is immense.