The terrain of the gaming industry has encountered significant challenges in 2024, with notable declines in revenue and widespread layoffs. The situation in the UK exemplifies these difficulties, as reported by various sources. The video game revenue in the UK saw a decrease of 4.4%, amounting to £4.6 billion. This downturn is largely attributed to the shifting dynamics of how gaming experiences are consumed.
The primary factor leading to this decline stemmed from the physical market, which experienced a severe drop in sales, generating only £324.4 million from boxed games. This figure represents an alarming 35% decline compared to 2023, highlighting the rapid transition away from physical media.
Meanwhile, the digital sector remained relatively stagnant, recording a marginal 1% decrease that translated to £4.29 billion in revenue across PC, consoles, and mobile platforms. Notably, the specifications include:
- PC game sales saw a decline of 5%
- Console sales dropped significantly by 15%
- Mobile gaming experienced a slight uptick of 2.6%
- Subscription services exhibited robust growth, increasing by 12%
The highest-grossing game of the year in the UK was EA Sports FC 25, which achieved sales of 2.9 million units. It It’s crucial to highlight that around 80% of these sales were digital copies, further indicating that traditional physical games may soon become obsolete.
This slump in revenue not only reflects the changing preferences of consumers but also signifies that the video game industry has struggled for a second consecutive year to outperform the film and video sector in the UK, a feat that was once routinely accomplished. Looking ahead, there is hope that 2025 will bring renewed success, with an array of exciting AAA titles set to be released throughout the year.