Online Gaming

FROM 1996 TO 2000, online gaming grew from $17 million to $3 billion. That fi gure doubled again by 2003 to $6 billion. And it’s continuing to grow exponentially, as people adapt modern technology to some of their favorite recreational activities.

Merrill Lynch estimates that gross gaming revenues for online casino-type games will reach $48 billion by 2010. The Online Gambling Research and Markets Group expects that online gambling will reach $125 billion by 2015, while Merrill Lynch predicts even higher growth, to $177 billion by that year.

Online gaming is enjoyed by all age groups and both genders. Women make up fully half the audience, in some age groups even surpassing the number of men playing games online. AOL found that women over 40 were among the most avid gamers. The massive number of online gamers still pales in comparison to the number of people that play console games — some 54.5 million. Yet more and more Americans are moving their gaming activities to the cell phone. The Strategy Analytics study found that 70% of video game players own mobile phones, and half of those play games on them. In the two months preceding the survey, 18% had bought games for their phones.

Online gaming is coming of age. People are playing for longer periods of time, playing more frequently, and want their games to be portable so that they can play the same game against the same familiar people whether using their desktop console or their mobile phone. This is leading to an intense race to build gaming communities, where gamers can meet in familiar online lobbies before proceeding to the games they wish to engage in.