Cloud Gaming - South Korea | Statista Market Forecast

In South Korea, revenue in the Cloud Gaming market market is projected to reach US$259.60m in 2024.
This market is expected to show an annual growth rate (CAGR 2024-2029) of 28.86%, resulting in a projected market volume of US$922.30m by 2029.
By 2029, the number of readers in the Cloud Gaming market market in South Korea is expected to amount to 7.7m users.
User penetration in South Korea will be 11.9% in 2024 and is anticipated to increase to 15.0% by 2029.
The average revenue per user (ARPU) in South Korea is expected to amount to US$42.12.
In global comparison, most revenue will be generated the United States, which is projected to reach US$1.94bn in 2024.
South Korea's robust internet infrastructure and high mobile penetration are driving significant interest and investment in cloud gaming services among consumers and developers alike.

Definition:

Cloud gaming is a form of video game streaming that allows players to play games on their devices through an internet connection, without the need for dedicated gaming hardware or local installation of games. In cloud gaming, games are stored and run on remote servers, and the player's device only needs to send inputs and receive streaming video and audio output. Cloud gaming services often require a subscription fee and offer a library of games for users to choose from, with the ability to play games on demand. The market for cloud gaming has been growing in recent years, with the proliferation of high-speed internet connections and advancements in cloud computing technology.

Additional Information:

The market comprises revenues, users, average revenue per user, and penetration rates. Revenues are generated through subscriptions and consumer spending. Market numbers are also featured in the Advertising & Media Insights. For more information on the data displayed, use the info button right next to the boxes.

Subscription for Cloud Gaming platforms, such as GeForce Now
In-game purchases from Cloud Gaming games, such as game pass

Revenues from digital video games, such as sold video games
Revenues from in-game purchases, such as in-game spending in Fortnite
Revenue from physical video games, such as buying games in stores

The Cloud Gaming market in South Korea is experiencing significant growth and development, driven by various factors such as customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. Customer preferences in South Korea are playing a crucial role in the growth of the Cloud Gaming market. The country has one of the highest internet penetration rates in the world, with a tech-savvy population that is highly receptive to new technologies. South Koreans have a strong preference for high-quality gaming experiences, and cloud gaming provides them with the opportunity to access a wide range of games without the need for expensive gaming hardware. Additionally, the convenience of cloud gaming, which allows users to play games on multiple devices and seamlessly switch between them, is highly appealing to the tech-savvy population. Trends in the market are also driving the growth of cloud gaming in South Korea. The country has a thriving gaming culture, with a large number of gamers and a strong esports industry. Cloud gaming platforms are capitalizing on this trend by offering a wide variety of games, including popular esports titles, to attract gamers. Furthermore, advancements in technology, such as the rollout of 5G networks, are enabling a smoother and more immersive cloud gaming experience, further fueling the market's growth. Local special circumstances in South Korea are contributing to the development of the cloud gaming market. The country has a highly competitive gaming industry, with both domestic and international companies vying for market share. This competition has led to the introduction of innovative business models and pricing strategies to attract customers. Additionally, South Korea has a strong gaming infrastructure, with a well-developed internet network and a high-quality gaming ecosystem, making it an ideal market for cloud gaming. Underlying macroeconomic factors are also playing a role in the growth of cloud gaming in South Korea. The country has a strong economy and a high disposable income, allowing consumers to spend on entertainment and gaming. Additionally, the government is actively promoting the development of the gaming industry, providing support and incentives to companies in the sector. This supportive environment, combined with the strong customer base and technological advancements, is contributing to the growth of the cloud gaming market in South Korea. Overall, the Cloud Gaming market in South Korea is experiencing rapid growth and development due to customer preferences, market trends, local special circumstances, and underlying macroeconomic factors. As the market continues to evolve, it is expected to witness further expansion and innovation, providing gamers with enhanced gaming experiences and driving the overall growth of the gaming industry in the country.

Data coverage:

Figures are based on subscription spending, consumer spending, investment, and funding data.

Modeling approach / Market size:

Market sizes are determined by a Top-Down approach, based on a specific rationale for each market market. As a basis for evaluating markets, we use reports, third-party studies, research companies. Next we use relevant key market indicators and data from country-specific associations such as GDP, consumer spending, internet penetration and cloud revenues. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the S-curve function and exponential trend smoothing are well suited to forecast digital products and services due to the non-linear growth of technology adoption. The main drivers are consumer spending per capita, level of digitalization, and cloud revenues.

Additional Notes:

The market is updated twice per year in case market dynamics change. Consumer Insights data is unbiased for representativeness.

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Cloud computing is the delivery of hosted services over the internet through the main service delivery segments; infrastructure as a service (IaaS), platform as a service (PaaS), and software as a service (SaaS). Revenue in the United Kingdom (UK) from public cloud services, which makes up most of the cloud computing market, amounted to around 12 billion U.S. dollars in 2020. This is a share of almost four percent of the global public cloud market.