For many users, Web3 is the next generation of the internet, but for some, it’s more than just the internet, it’s more of a technical evolution that has set to change everything for good.
Well, both sides are correct, on the wider spectrum, web3 is a medium for the technologies like blockchain to shift the ownership back to the users where it belongs. The full gain of the owner is one of the major factors of the web3 market size and its revenue. Sometimes slow, but web3 has seen major popularity, especially in the gaming field. Here, in this guide, we will try to analyze all of the possible aspects of the web3 game market size.
The Factors Surrounding The Web3 Game Market Size
There are a lot of factors that have played a significant part in the growth of the game market size. However, some prominent factors pop up like the emergence of 5G and 6G networks, as well as blockchain technologies. These technologies have made the gaming experience more immersive than ever. As a result, now users focus more on gaming compared to any other aspect of the technology.
That is not it, the launch of new Web 3.0 dApps and Web3 wallets are expected to become a prominent factor driving market revenue growth between 2021 and 2030. Further, Machine Learning (ML) & Artificial Intelligence (AI) also comes in the line as these technologies power Web 3.0, allowing computers to evaluate enormous amounts of data. AL/ML is also important in the case of content distribution according to the user’s needs
Last, Web 3.0 apps provide decentralized networks consisting of numerous peer-to-peer servers, blockchains, or a hybrid of the two. The developers get paid for high-quality services, resulting in a stable, secure, and engaging decentralized network.
The Calculated Growth Of p2e Market Size
Different researchers have shown web3 game market size or play to earn market size by the different factors. But as per most of the recent research, the global p2e market size is worth more than USD 776.9 million in 2021. It’s worth will increase to USD 2845.1 million by 2028, with a CAGR of 20.4% over the forecast timeframe 2022-2028.
Another report has shared not-so-different results. According to Emergen Research, the global Web 3.0 market reached USD 3.2 billion in 2022, with a revenue CAGR of 43.7% throughout the forecast period. The result can be different based on how the reports were analyzed but overall, these researchers have shown significant growth in the p2p market size.
Analyzation of The Market Growth Based On The Technologies
As mentioned before some technologies have paid in the web3 market growth more than any other technology. And here, let’s look at the market share of each technology in web3.
The artificial intelligence market accounted for us$ 58.15 billion in 2021 and also is predicted to reach USD 271.48 billion by 2027, growing at a CAGR of 31.45% between 2022 and 2027. It is responsible for all the major breakups in the web3 world.
During the projected period, revenue from the Artificial Intelligence category can grow at a quick pace. Web 3.0 machines can read and decipher data, and the development of intelligent machines will undoubtedly provide several benefits and advantages in the future. Web 2.0 has similar possibilities. But as it is entirely human-based, it sometimes allows for fraudulent behaviours like rigged ratings, biased reviews, and others. Furthermore, Al recognizes the difference between genuine & fraudulent, which is a significant advantage for various reasons.
AR and VR
AR and VR have influenced the web3 market size by providing access to virtual reality and the metaverse.
Also, AR and VR shipping volume increased by 4% year on year, which was disappointing for an industry that had previously anticipated triple-digit growth due to major releases in Q2 2021. In Q2 2022, the VR standalone form factor secured 90% of the total market, up from 80% in Q2 2021. The technologies will continue to influence the web3 market as per their growth statics.
Blockchains, decentralized networks, or both will power Web 3.0 applications. Machine learning and artificial intelligence (AI): Web 3.0 computers will interpret language using Semantic Web and Natural Language Processing (NLP) technologies, and will employ machine learning to increase their accuracy gradually. The machine learning market was valued at 2.40 billion in 2019 and is expected to increase at a CAGR of 44.9% from 2020 to 2027, reaching USD 47.29 billion by 2027.
P2E Market Size Based On The Region
After analyzing the technologies associated with it. It is time to analyze the P2P market based on the region. As every region has played a significant role in the overall market size.
The market for Play-to-Earn NFT Games can reach USD 3618.4 million by 2028, up from USD 755 million in 2021, at a CAGR of 21.3% between 2022 and 2028.
Sky Mavis has become the world’s largest producer of Play-to-Earn NFT games, with a market share of over 35%. North America accounts for approximately 35% of the worldwide market, with in terms of kind, the RPG segment accounting for around 35% of the market. In terms of application, the computer segment can account for almost 60% of the global share.
South America has had significant expansion in the p2e game market size. It has a significant number of the region’s increasing internet users. As a result, South Americans increasingly enjoy online games. According to Org statistics, the number of Brazilian internet users can reach 70.434 per cent in 2018, up from 67.471 per cent the previous year.
The Middle East and Africa are projected to have a considerable market presence. The rapid expansion of smartphone adoption contributes to an increase in individuals playing mobile games. As a result, this contributes to a faster rate of consumption. According to data from the Independent Communications Authority of South Africa, smartphone penetration in South Africa increased from 81.7% to 91.2% in 2019.
Asia Pacific had a market capitalization of USD 86.96 billion in 2020 and can remain at the forefront during the projection period. Video game consoles gained massive popularity among this region’s consumers. It has played an important part in the development of the gaming business. For example, Business Insider reported in May 2019 that the Nintendo Switch sold 8.12 million units in Japan, whereas the PlayStation 4 sold 6.91 million units.
Furthermore, the rapid growth of the urban population has grown the awareness of popular video games launched & retailed in the market aiding in the increase in consumption rate.
The popularity of P2E has increased in Europe. It is predicted to increase significantly due to the thriving development of esports, which is bringing more people to video games.
For example, according to figures provided by Ukie.Org. Uk, esports in the United Kingdom earned USD 76.53 million in 2019. Furthermore, the sector in this region can increase federal government investment for market expansion. According to the Germany Games Industry Association, the German federal budget included USD 55.99 million in 2019 to improve computer game production.
Driving Factors, Other Than The Technology
Video games have become one of the most popular ways for young people to spend their leisure time. It has played an important role in
Accelerating market growth In February 2019, for example, the data shows that 90% of the youth in Gen Z play video games regularly. Which is marginally greater than the millennial generation 84% of the time. Furthermore, worldwide young unemployment is gradually declining, leading to an increase in purchasing power, which has accelerated the consumption rate.
The Future Of The P2E Market And Games
This intensive growth in the web3 market brings valuable Web3 game market opportunity for gamers and entrepreneurs. Without any dispute, the opportunity to earn money while enjoying your favorite video game has drawn many gamers to p2e games. But, P2E has its drawbacks like the slow backend. And because of this, most gaming studio startups and developers think twice before joining play-to-earn. Furthermore, integrating blockchain technology into an existing game can become difficult. However, there are some solutions too like Ubisoft & Unreal Engine. These engines have made it simple for developers to incorporate digital assets into games. P2e games can provide a promising future because of their entertaining elements and provide players with a revenue creation possibility.
P2e games will carve out a niche for themselves and establish a dominant business model playing a significant role in their web3 market.
The p2e gaming market size capital and market is still in its initial stages. The market will evolve further to obtain mass adoption and, ironically, to break free from the “P2E” box it is currently in. It will certainly have a different size by then, but it will become usual for P2e business owners, entrepreneurs, or gamers. The market will bring video games that are both naturally engaging, free to enter, and value tokens that they can take outside of the game. The entire digital currency market is related to the metaverse and P2E sectors. So, as the metaverse grows, the users may witness the rapid growth of web3 at a fast pace.