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Mobile gaming revenue rises to more than 3x console segment in Q1'20

Global consumers forced to stay at home turned to video games to pass the time in the first quarter, pushing combined mobile and console gaming software and services revenue up 18.2% year over year to an estimated $32.92 billion.

 

 

Our quarterly analysis of gaming revenue now includes the mobile segment, which reflects all gaming revenue collected by mobile app stores and not just revenue collected by publishers or developers. App stores typically take a 30% cut of app revenue and pay the rest to the publisher.

Mobile gaming grew faster than console gaming in the three months ended March 31 due to the largest mobile gaming market, China, adopting stay-at-home measures to combat COVID-19 starting in late January. Many of the top console-focused markets did not enter lockdowns until March.

 The revenue boost in China primarily affected Apple's iOS App Store and our "other" segment, which largely reflects the third-party app stores owned by retailers and social network operators in China. Alphabet's Google Play is not available in China.

 The bulk of console gaming's software growth came from Nintendo Co. Ltd., which released Animal Crossing: New Horizons not long after coronavirus lockdowns were implemented in many Western markets. Reviewers and social media channels raised the game's profile as a welcome respite from the stressors of a world wrestling with COVID-19.

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