Video games will go 100% digital within the next five years, a report from PiperJaffray has recently claimed.
“It is a certainty that videogames will be approximately 100% digital in the coming years,” analysts at PiperJaffray wrote.
“While exact timing is hard to pinpoint, we think 2022 is a realistic expectation.”
The change from physical media to exclusively digital would mean publishers could find “gross and operating margins widen by more than 10%, meaning a substantial boost to profits within 5 years,” financial investment news site Barron’s said of the change.
PiperJaffray continued to say that publishers will look to stream games to consoles rather than have a consumer download entire titles.
“Our expectation is that major publishers will increasingly test and commercially develop streaming game offerings over the next 3-5 years,” the analysis continued. “Streaming games from the cloud, without need for dedicated hardware or massive downloads, would materially grow the total addressable market for high end console-style titles.”
With internet the way it is here in Australia, do you think we can handle digital-only games by 2022?
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