South African Cultural Observatory

Unlocking the growth potential of the online gaming industry in South Africa: Challenges and Opportunities

Upload date: 24.05.19
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Unlocking the growth potential of the online gaming industry in South Africa: Challenges and Opportunities In 2018, the global gaming industry consisted of 2.3 billion consumers, who spent nearly US$ 138 billion on games. Although the South African gaming industry is small, it is growing at an exponential rate. A recent PWC (2018) report identifies the digital video games sector as one of “the biggest success stories” in the South African entertainment and media industries. The PWC Media and Entertainment Outlook (2017) also makes the point that, in the past, participation in games was restricted to audiences who could afford to buy expensive PC or gaming equipment. Even in this segment, research reported on by Hall et al. (2017) showed that there were more than 11 million gamers in South Africa: 78% black; 8% coloured; 3% Indian/Asian and 11% white. However, the rise of mobile gaming via smartphones has meant that many more South Africans can afford to play. This research identified 54 gaming or gaming and animation companies in South Africa. Nearly half (48%) are based in the West
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