The video game industry is ready for a takeoff in 2025, to such an extent that the sector could outperform the S&P 500 index, with a potential profit of 22% next year, driven by anticipated launches, technological innovations and a recovery in sales after years of challenges, according to a report from Ned Davis Research (NDR).
Among the most anticipated events are major launches such as “Grand Theft Auto VI” from Take-Two Interactive, “Assassin’s Creed Shadows” from Ubisoft and “Monster Hunter Wilds” from Capcom. Furthermore, the arrival of the nintendo switch 2accompanied by new exclusive titles, is positioned as a key catalyst that could redefine the industry’s revenue expectations.
According to the report, great titles and innovative hardware They will be fundamental factors to attract both players and investors. Recent history shows that successful releases have a direct impact on the shares of the main companies in the sector.
Video games and a strategic tool: Artificial intelligence
Another pillar of the sector’s rebirth is the integration of Artificial Intelligence (AI) in the development of video games. Companies like Microsoft (through Xbox) and Sony (with PlayStation) are using AI to optimize processesreduce costs and accelerate development times.
AI not only allows games to be produced more efficiently, but also opens the door to more immersive and personalized gaming experiences. According to NDR, this technological innovation positions the video game sector as one of the most dynamic within technology.
Post-pandemic recovery
During 2024, companies like Take-Two and Ubisoft They faced economic challenges that led to staff cuts and operational adjustments. However, NDR points out that these measures have prepared companies to operate more efficiently in an environment of sales recovery projected for 2025, Benzinga reported.
The report highlights that, while the S&P 500 has grown 27% since the end of 2021, the NDR Gaming Thematic Index has increased only 7%, leaving significant room for an accelerated recovery in the coming months.
The video game sector combines solid fundamentals with high growth potential. Operational adjustments made in 2024 could translate into stronger profit margins next year, especially with sales recovering. Additionally, the combination of high-profile launches and the adoption of disruptive technologies, such as AI, position the industry as an attractive option for investors seeking exposure to innovative sectors.
Video games: a resilient industry
The renewed interest in Iconic titles and innovative hardwaretogether with a strategy aimed at efficiency, reinforce the position of video games as one of the most promising sectors for 2025.
Analysts agree that this industry will not only be an engine of growth in the consumer market, but also a key player in the global financial sphere.
Source: Ambito
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