Total video games investment stands at over $5bn for 2018

Total video games investment stands at over $5bn for 2018

The amount of money funding scored by games companies between January and September rose by 50 per cent year-on-year.

That's according to research firm Digi Capital, which reports that these firms have scored $3.8bn in the first nine months of 2018. The company notes that the $1.25bn investment won by Epic Games has taken the total figure for this year over $5bn.

In addition, there has been $20.1bn of M&As in the same nine-month period.

The company points out that the last time the games market hit a high, there was a bust cycle that followed. With the rise of digital, the sector has certainly stabilised and made back catalogues more accessible. This has reduced the reliance of the games market on hits, but this is of course still a focus.

Digi Capital reports that there has been a sizeable chunk of investment into the PC and console spaces, as well as the MMO/MOBA sector. The firm says this has been driven, largely, by Tencent.

It's not all good news, however, with the IPO market dipping 90 per cent, making just $1.1bn this year compared to 2017's $17.1bn.

Certainly, in the UK we've seen a number of companies going public. Sumo Digital, Codemasters and Team17 have all floated in the last twelve months with digital retailer Green Man Gaming set to follow. That latter IPO has fallen through due to unspecified reasons.

Come find out about the future of the PC games market at PC Connects London 2019. Tickets are available to buy right here. One ticket gives you access to not just this event, but also Pocket Gamer Connects and Blockchain Gamer Connects. 

Editor - PC Games Insider

Alex Calvin launched in August 2017 and has been its editor since. Prior to this, he was deputy editor at UK based games trade paper MCV and content editor for marketing and events for London Games Festival 2017. His work has also appeared in Eurogamer, The Observer, Kotaku UK, Esquire UK and Develop.


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