PC Gaming Alliance Releases Horizon’s Report Highlighting 18% PC Gaming Software Revenue Growth

Posted on May 28th, 2009

PC GAMING ALLIANCE RELEASES HORIZON’S REPORT HIGHLIGHTING 18% PC GAMING SOFTWARE REVENUE GROWTH IN 2008

Comprehensive Industry Report Provides Detailed Sales, Trends and Analysis of Gaming Hardware and Software Market

SAN RAMON, Calif. – May 28, 2009 – The PC Gaming Alliance (PCGA), a nonprofit corporation dedicated to driving the worldwide growth of PC gaming, today unveiled its 2008 Horizons Report, an exclusive research study encompassing all aspects of the PC gaming industry worldwide. Among the key findings is that PC gaming software revenue was a $12.7 billion industry in 2008, up $1.9 billion or nearly 18% from 2007.

In 2008, globally there were 42 million desktop consumer PCs and 31 million notebooks shipped that could be used for gaming. By 2013, that annual consumer desktop figure will climb to 59 million and the notebook figure will grow to 118 million. Globally consumer PCs that could play games and gaming hardware market was $68 billion in 2008 and it's expected to reach $143 billion in 2013. The installed base of consumer PCs in the world (desktops and notebooks combined) that could be used to play games in 2008 was 228 million and by 2013 will jump to more than 600 million.

The PC is by far, the most prevalent gaming platform in the world and is likely to continue to be for foreseeable future.

The Horizon’s report encompasses PC Gaming revenue from every region around the world, and from every part of the PC gaming industry compiled including retail, online gaming, digital distribution, and online advertising. The Horizon’s report also provides in-depth PC gaming hardware segmentation data for 2008 and forecasts for those segments through 2013. This is an invaluable planning tool for anyone conducting business in the PC Gaming ecosystem.

Despite world-wide recessionary pressures, the Horizon’s research clearly shows that participation in PC gaming among consumers around the world continues to grow at impressive rates, driving enormous opportunities for PC vendors, gaming ISVs, supply-chain partners and accessory makers.

Growth on the software side was driven by on-line sales which continued to accelerate world- wide, particularly in Asia. On-line revenue trends closely follow broadband penetration in country- by-country reporting.

“We are excited about the continued growth in online PC gaming.” said Randy Stude, president of the PC Gaming Alliance. “The downturn in the economy has driven people to play more at home and online. The PC platform enables ongoing innovation with many new exciting games launching with online alternatives to retail that are attracting large audiences.”

"PC gaming extends way beyond a dedicated niche of hard-core PC gamers and high-end PC gaming systems," said Bob O'Donnell, IDC vice president, clients and displays. "In fact, surveys

of US consumers shows that about 60% of all consumers over 18 play some kind of games and about 59% of them prefer PCs as their primary platform."

“In 2008, China became the leading market for PC games and almost all the revenue in China was from online business models that involved no physical retail component.” stated David Cole, an analyst with DFC Intelligence. “Going forward, we expect China’s business model will be implemented on a global basis.”

The full Horizons Report is available exclusively to PCGA members. Those interested in joining can find membership details and additional information about the PCGA and its role as the voice of the PC gaming industry at www.pcgamingalliance.org.

About the PCGA

The PC Gaming Alliance (PCGA) is a nonprofit corporation whose mission is to drive worldwide growth of PC gaming. With high-profile members such as Microsoft, Intel, AMD, Epic, NVIDIA, GameStop and Dell, the PCGA provides an open forum where companies can cooperate to develop and promote solutions that drive the PC gaming industry forward. The PCGA encourages the exchange of information and views to promote PC gaming, and shares promotional activity designed to grow the PC gaming industry.

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