The US video game industry generated a record $36 billion in revenue in 2017, up 18 percent from 2016, according to new data released by the Entertainment Software Association (ESA) and The NPD Group.
“The spectacular growth of our industry in 2017 proves video game developers, artists, and storytellers are the brightest lights in the US economy, finding more ways to delight the world’s 2.6 billion gamers each year,” said Michael D. Gallagher, president and CEO of ESA, which represents the US video game industry. “Congratulations to our industry’s brilliant creators on delivering another record year of remarkable entertainment that inspired the passion of gamers everywhere.”
The 2017 figure combines hardware revenue, which includes peripherals, and software revenue from physical and digital sales, which includes in-game purchases and subscriptions. Both experienced strong growth that contributed to another impressive year for the video game industry.
| US Video Game Industry Revenue | 2017 | 2016 | Growth Percentage | ||||
| Hardware, including peripherals | $6.9 billion | $5.8 billion | +19 | % | |||
| Software, including in-game purchases and subscriptions | $29.1 billion | $24.6 billion | +18 | % | |||
| Total: | $36 billion | $30.4 billion | +18 | % | |||
US mobile spend data, which includes paid downloads and in-game purchases for mobile and tablet devices through Apple’s App Store and Google Play, was collected from App Annie.
“2017 was a special year for the industry, and for everyone who loves games,” said Mat Piscatella, The NPD Group’s video game industry analyst. “Developers created content that delighted gamers across all gaming platforms. From mobile to PC, and from console to virtual reality, growth was achieved because the passion of gamers was matched only by the talent of game makers.”
The US video game industry is one of the nation’s fastest growing economic sectors, providing more than 220,000 jobs and generating billions of dollars in revenue for communities across the country. To see the full geographic diversity of the industry, visit www.areweinyourstate.org.
About ESA
ESA offers a wide range of services to interactive entertainment software companies, including conducting business and consumer research; providing legal and policy analysis and advocacy on First Amendment, intellectual property, and technology/e-commerce issues; managing a global content protection program; owning and operating E3; and representing video game industry interests in federal and state government relations. For more information, visit ESA’s website or follow ESA on Twitter @theESA or @ESAGovAffairs.
About The NPD Group, Inc.
NPD is the leading global provider of market information and business solutions covering brick-and-mortar, e-commerce, and emerging channels in more than 20 industries. We combine our unique data assets with analytic solutions to help our clients measure performance, predict trends, and improve results, advising them to help drive successful growth. Practice areas include apparel, appliances, automotive, beauty, books, consumer electronics, e-commerce, entertainment, fashion accessories, food consumption, foodservice, footwear, home, juvenile products, mobile, office supplies, retail, sports, technology, toys, travel retail, games, and watches/jewelry. For more information, visit npd.comand npdgroupblog.com. Follow us on Twitter: @npdgroup @npd_entertain
About App Annie
App Annie delivers the most trusted app market data and insights for your business to succeed in the global app economy. Over one million registered users rely on App Annie to better understand the app market, their businesses, and the opportunities around them. The company is headquartered in San Francisco, with 450 employees across 15 global offices. App Annie has received $157 million in financing, including from investors such as Sequoia Capital, Institutional Venture Partners, IDG Capital Partners, e.ventures, Greenspring Associates, and Greycroft Partners.
