Video games industry underperforms in 2010

Video games industry suffers second year of losses, declining another 6 percent from 2009 recession

If what goes up must come down, then what goes down occasionally bounces.

But not in 2010. The video games industry dipped for the second year in a row according to retail spend estimates released by sales tracker NPD Group last night.

NPD claims spending on physical gaming hardware, software, and accessories in 2010 was $18.6 billion. That's a 6 percent drop from 2009's $19.7 billion, which was itself an 8 percent drop from 2008's record $21.4 billion. Analysts had earlier in the year suggested late 2010 sales, hypothetically bolstered by new motion control products from Microsoft and Sony, might raise lagging year-to-date numbers to a flat year-on-year finale. No such luck, it seems.

2010's estimated total "consumer spend" on games content -- excluding hardware, but including newer indices like rentals, digital sales, and subscriptions--was between $15.4 and $15.6 billion, which NPD says was roughly on par with 2009. The company says it'll release a final analysis of the figure in March.

On the upside, PC physical game sales enjoyed a modest boost, up 3 percent over 2009. Accessory sales were the other spot of bright news, rising by 13 percent year-on-year, though owing to a 20 percent spike in average retail price.

Brighter days ahead? Perhaps. Bring on L.A. Noire, The Last Guardian, and pretty much anything else without a 2, 3, 4, or 5 in its name.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags MicrosoftsonygamingAccessgamesNPDindustry news

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Matt Peckham

PC World (US online)
Show Comments

Father’s Day Gift Guide

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?