The video game market will more than double from 2023 to 2033 as technological advancement drives growth, according to a new analysis.

The global video game marketꦐ was valu꧂ed at $227.6 billion last year and is projected to grow to $490.81 billion by 2033, according to the research firm Brainy Insights. 

The firm pointed to an explosion in mobile gaming, which made up 52% of the market in 2022, as a driver of growth. The mobile segment is the most affordable entry point for consumers, and tꦐhe advancement of smartphone technology has allowed for a wider variety of games to be run on mobile platforms.

Costs for Developers

The biggest impediment for the video game market is the high costs related to developing both new tech and new games, particularly as compan🐓ies in the industry are making major cuts. 

On Thursday, Microsoft (MSFT) reportedly said it would 澳洲幸运5官方开奖结果体彩网:cut 650 employees from its Xbox division, the company's third round of unit cuts since closing its $69 billion acquisition of Activision Blizzard last October. Microsoft 澳洲幸运5官方开奖结果体彩网:laid off 1,900 Xbox employees in January and closed multiple Betheꦕsda studios in May.🥃

Take-Two Interactive Software (TTWO), the developer of the "Grand Theft Auto" franchise, closed two of its subsidies in May, according to Bloomberg. Earlier this month, Sony (SONY) pulled first-person shooter "Concord" from Playstation 5 consoles and PCs just two weeks after the game underperformed.

The video game industry supports more than 1 million jobs in the U.S. and contributes about $5 billion to the country’s economy, according to Brainy Insights.