The partnership between gaming and esports seems like a match made in heaven, with revenues steadily growing in both markets with no sign of slowing down. Esports emerged as a subset to the full-blown gaming industry, maturing from its humble beginnings in arcade gaming to the sophisticated digital ecosystem it is today. That has helped the gaming industry to record a significant increase in terms of investments from private equity firms and venture capitalists.
According to market research firm Deloitte, esports investments doubled in 2018, rising to 68% from 34% in 2017. That’s a direct reflection of the amount of money invested in the industry, totaling $4.8 billion in 2018 from only $490 million in the previous year, with a staggering annual growth rate of around 837%. These investments were distributed to different stakeholders across the ecosystem, ranging from esports organizations to digital broadcasters and tournament operators.
Last year, the esports industry reached new heights by surpassing the $1 billion mark in revenue, a cap previously predicted for 2021. This upward trend in revenue is expected to keep growing in 2021, with market experts predicting the industry will hit $1.8 billion by 2022. The cash is expected to flow in the market through live events ticket sales, media rights, in-game purchases, and merchandise sales. However, over 68% of this revenue will come from advertising and sponsorships.
Smartphone technology will also have a significant impact on the esports market, with market experts predicting that the new 5G technology will change the future of esports forever. 5G technology is among the most influential innovations today and it remains a key player in ushering in a new era for gaming and esports. The technology promises stable connections while playing table games with the Betway app, thanks to its raw speeds of up to 10GBPs – almost 10 times what 4G can offer.
With the introduction of 5G technologies, other companies are also following in Betway’s footsteps and embracing the esports industry hoping to get a share of the revenue. Recently, Esports Technologies announced the inclusion of esports titles on Apple’s App Store, offering trivia games and tournament prediction apps for esports fans. Esports Technologies a leading provider of advanced esports wagering products and their app is also expected to be available on Google’s Play store.
The addition of esports titles on Google Play Store and Apple’s App Store is set to bring in more players who love the esports phenomenon, allowing them to enjoy the action through their mobile phones. According to Esports Technologies COO Bart Barden, the introduction of esports to mobile phones will unveil a new era for the industry, bringing it to the mass market and raising awareness.
With the latest developments in the smartphone market, it’s evident that the future of esports will be spearheaded by mobile apps. That because more and more players are choosing to play games using their mobile devices, instead of using their computers and gaming consoles. The emergency of affordable smartphones, especially in developing countries is also fostering this trend worldwide.