Mobile game revenue reached $41.2 billion, while game downloads edged up 0.4%.
Mobile gaming revenue fell to $41.2 billion for the first half of 2022, according to a new report from analyst firm Sensor Tower. That’s a 6.6% year-over-year decrease from $44.1 billion. Both the App Store and Google Play Store saw the declines, but the latter was the hardest hit.
Sensor Tower analyst Craig Chapple told GameDaily that this slowdown is “highly unusual and suggests that there are significant challenges affecting the mobile gaming industry.”
“The problem is probably a combination of factors such as Discontinuation of IDFA on the App Storeinflation and the global cost of living crisis,” he said.
Chapple also said that, like the console and PC gaming market, the mobile gaming industry is seeing a substantial increase in gamer spending that occurred during the first wave of COVID-19 lockdowns. This can make comparisons almost unfair, especially when looking at pre-COVID earnings.
“In some context, global gamer spending on the App Store and Google Play was down 6.6% year-on-year in the first half of 2022, but up 36.7% from the first half of 2019,” Chapple said.
Although these numbers are still very unusual, Chapple credits the fact that we are still suffering from the effects of the past two years.
“Despite the challenges – or perhaps because of some of them – mobile game downloads actually grew in the first half of 2022. And this despite the outsized growth seen over the past two years, triggered by waves of the COVID-19 pandemic and global lockdowns.”
Earnings rankings remained much the same with honor of kings and PUBG-Mobile retain first and second place in overall revenue for the first half of 2022. Genshin Impact came in third, continuing his momentum historical rhythm approximately $1 billion in revenue every six months.
W lineage which ranks first on the Google Play Store in the absence of the two mobile giants of Tencent.
However, this particular development is hardly a surprise to Chapple.
“The Line The franchise is a successful intellectual property in South Korea,” he said. “Every time a new title comes out on mobile – whether it’s a mobile title built from the ground up or a port of a classic PC – it’s almost a guaranteed hit.”
Chapple said the franchise’s most successful game is M linewhich reached $3.9 billion in revenue for gamers on the App Store and Google Play Store.
Although gamer spending declined in the first half of the year, there was a slight increase in global mobile game downloads, up 0.4% year-on-year to 28.1 billion of downloads.
Sensor Tower reports that this growth came mainly from the Google Play Store, growing 1.3% with 23.9 billion downloads, while the App Store saw a drop in downloads of 4.5% to 4.2 billion of downloads.
Although honor of kings holds the top spot for mobile revenue, Subway surfers became the most downloaded mobile game in the first half of the year, a push that Chapple says comes from years of fan support and anniversary celebrations.
“Subway surfers has been an extremely popular game for years, generating millions of downloads every month, backed by regular content updates to keep players engaged and attract new users,” he said. “In May, the title had its best month for downloads, racking up around 30 million installs. This came as it celebrated its 10th anniversary since its launch, which also boosted a record month for spending. players at $5.8 million.
Chapple said it is still difficult for mobile developers to maintain or exceed this level of growth, primarily due to the surge in downloads. However, he pointed out that the mobile sector has proven more than once that it is capable of attracting many new consumers. Sensor Tower recently noticed a change in download patterns, with countries traditionally less important for the mobile sector gradually spend and download more.
Other shifts also include the Rise of Season Pass Style Profit Models in mobile games, a pattern which, according to Sensor Tower, is present in nearly half of all mobile games.
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