DFC predicts massive hardware growth
Despite game consoles turning into compact x86 PCs and game sales being mostly digital, the gaming hardware market is still growing at a healthy pace and DFC Intelligence believes the market will be worth $130 billion soon.
Game hardware is estimated to rake in $82 billion this year, and DFC Intelligence thinks that number will increase dramatically over the next half decade. Its estimation includes growth across consoles, PC hardware, and accessories like game pads and racing wheels.
- Consumers are “willing to pay for high-end hardware”
- Biggest hardware market growth “on the PC side”
- PlayStation 5 demand “continues to remain twice” of Xbox
- Game Pass “great value” but doesn’t require an Xbox
Stay-at-home: The COVID-19 pandemic increased consumer demand for videogames, and particularly Nintendo enjoyed a surge in sales of Switch. PlayStation 5 and Xbox Series X/S remain in short supply.
Hard profits: “This is ironic as prior to the 2017 launching of the Switch many analysts argued that Nintendo should abandon the hardware market to focus on software,” concluded DFC Intelligence.