Massive numbers of gaming enthusiasts anticipate attendance at Gamescom, encountering struggles within the sector.
Officially, the Gamescom event was set to commence on Wednesday evening, with notable figures such as Federal Minister of Economics Robert Habeck (Greens), Minister-President Hendrik Wüst (CDU) from North Rhine-Westphalia, and Cologne's Mayor, Henriette Reker, expected to attend. On Thursday, they embarked on a joint tour of the exhibition.
As per Digital Minister Volker Wissing (FDP), the gaming industry, renowned for its "innovative prowess and creative energy", captivates millions annually. It develops advanced technology that finds use beyond just games. The organizers aim to welcome 370,000 visitors by Sunday, a significant increase from the 320,000 attendees in the previous year.
The unofficial opening ceremony took place on Tuesday evening, with an industry showcase for pros and media, featuring the unveiling of a new "Borderlands" series installment and details about the upcoming "Call of Duty" chapter. Big names like Microsoft and Tencent are present in Cologne, although Sony and Nintendo are conspicuously absent, with reasons undisclosed.
The gaming sector reported over 160 billion euros in revenue last year, as per industry analysts from Newzoo. However, challenges persist including volatile sales, the struggle of smaller companies, and layoffs in large studios due to cost-cutting measures.
Game, the German gaming industry association, voiced concerns about the lack of political support. CEO Felix Falk pointed out the controversies over a funding program from last year, rendering applications impossible due to disagreements between the Economics Ministry and Minister of State for Culture Claudia Roth (Greens). "This is particularly disheartening in these trying times," stated Falk.
As a consequence, some studios are finding it difficult to compete internationally, claimed Falk. "The money is simply dwindling away." A meeting between Roth and her party colleague, Minister of Economics Robert Habeck, is urgently required for the companies to gain access to the funds, according to Falk.
On the eve of Gamescom, the Bitkom digital association released industry statistics. According to a survey, average monthly expenditure on video and computer games, excluding hardware like computers, consoles, and mobile phones, amounts to around 31 euros. This has increased from 26 euros the previous year and 23 euros two years ago.
In addition to traditional game purchasing at stores or via platforms, in-game purchases do form a substantial chunk of revenue, with 48% of individuals having made such purchases in the past 12 months. In-game purchases include items like equipment to enhance game progress more rapidly.
Playing games, whether on mobile phones, tablets, or classic consoles, is a widespread pastime, as per Bitkom. Half of Germans aged 16 and above engage in video or computer gaming at least occasionally, with a majority of those aged 16 to 29. Mobile phones are the most commonly used device for this purpose.
However, Federal Addiction Commissioner Burkhard Blienert also highlighted the risks of excessive internet, computer game, and smartphone use, particularly among young people and young adults. Excessive use of digital media, he cautioned, may lead to psychological issues such as loss of control, restlessness, or heightened irritability.
Despite the gaming industry's considerable revenue of over 160 billion euros last year, as highlighted by industry analysts, challenges such as volatile sales and funding issues for smaller companies make it difficult for some studios to compete internationally. The CEO of Game, the German gaming industry association, Felix Falk, emphasized the need for a meeting between Minister of Economics Robert Habeck and his party colleague Minister of State for Culture Claudia Roth to address these issues.
