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The Games Market to Recover in 2026, Reach $350 Million by 2030

The Games Market to Recover in 2026, Reach $350 Million by 2030

Boston Consulting forecasts a 2026 games market recovery driven by mobile, cloud, AI, and UGC

11 DEC 2025, 01:00 PM

Highlights

  • The games market is expected to recover in 2026, reaching $350M by 2030, with 6% projected growth.
  • Mobile in-app purchases are projected to generate $130B in 2025, boosted by alternative app stores and improved developer margins.
  • Cloud gaming is set to surge from $1.4B to $18.3B by 2030, alongside rising adoption of AI and UGC across studios and players.

The global games market is set to recover from its post-pandemic slump in 2026, with revenue projected to reach $350 million USD by 2030, according to a new report from the Boston Consulting Group. The firm forecasts 6% growth over the period, driven by mobile in-app purchases, cloud gaming expansion, user-generated content, and increasing adoption of AI in development.

In 2025, 37% of global games revenue is expected to come from mobile in-app purchases, generating $130B for the year. Boston Consulting attributes the rise partly to alternative app stores, which have expanded following legal rulings requiring Apple and Android to support them. 

The report notes that one-third of adults and 40% of teenagers have made purchases through developer-owned web app stores. Although mobile player numbers are projected to increase only slightly, improved margins on third-party storefronts are expected to lift overall developer and publisher earnings.

The Games Market Graph

Boston Consulting Group

Cloud Gaming, AI, and UGC to Reshape the Industry

Cloud gaming is projected to grow significantly, with revenues rising from $1.4B in 2025 to $18.3B by 2030, a 1,207% increase. Boston Consulting expects the sector to surpass 50M users, marking a shift from hardware-centric gaming toward multi-screen experiences. 

The report highlights Gen Alpha’s strong preference for subscription and live-service models as a key driver of this shift.

The firm also points to rapidly expanding use of AI in development, estimating that 20% of games launched last quarter on an online platform were built using AI, while about 50% of studios are actively evaluating the technology. User-generated content (UGC) continues to broaden its reach: 15% of gamers aged 60 or older have watched game streams, and 28% are interested in UGC even if they have not yet used it.

“The gaming industry is turning a corner,” said Giorgo Paizanis, the report’s coauthor, citing renewed momentum after pricing-led gains. Coauthor Ernesto Pagano added that cloud gaming, UGC, AI, and open app stores will define how games are built and distributed in the coming years.

The projected recovery signals a wider shift in how players engage with digital entertainment, with cross-screen access, creator-driven ecosystems, and new technologies shaping the market’s next phase.

Probaho Santra

Probaho Santra

Author

Probaho Santra is a content writer at Outlook India with a master’s degree in journalism. Outside work, he enjoys photography, exploring new tech trends, and staying connected with the esports world.

Published At: 11 DEC 2025, 01:00 PM