The global esports and games streaming industry will be worth US$3.5 billion by 2025.
According to a new study from Juniper Research, the market’s value will rise from US$2.1 billion in 2021, representing growth of over 70% over the next four years.
The majority of the market value, the report says, will be derived from subscription spend to streaming platforms and ad spend over streams. The report however warns that relying on this will stifle growth, and the research firm urges stakeholders to invest in other revenue-generating areas.
Alternative revenue streams include broadcasting rights and live event ticket sales, along with establishing high-value sponsorship deals to maximise the market value of esports in the future.
The growth in value will complement an increasing viewer base. Juniper estimates that there will be over 1 billion esports and games viewers by 2025, increasing from 800 million viewers by the end of 2021.
The Asia Pacific region will represent over 50% of the esports and gaming-viewing audience, though Latin America is identified as a key region for growth. LATAM will have over 130 million esports and games streaming viewers in the region by 2025.
Report co-author Saidat Giwa-Osagie said: ‘Successful streaming platforms will be those that can cater for the differences in geographical regions, by including locally popular streamers and games titles into esports events.’