Mark Androvich 21:48 (BST)
18/06/2008

According to an upcoming PricewaterhouseCoopers report, the videogame industry is expected to reach USD 68.3 billion in global sales by 2012 - a compound annual growth rate of 10.3 per cent.

Details from the report - entitled "Global Entertainment and Media Outlook: 2008-2012" - were provided by The Hollywood Reporter.

According to the report, the largest category - console games - will grow by 6.9 per cent annually, from USD 24.9 billion last year to USD 34.7 billion in 2012.

Online and wireless games will experience the fastest rate of growth, at 16.9 per cent and 19 per cent, respectively. The report expects online sales to reach USD 14.4 billion in 2012, with wireless sales reaching USD 13.5 billion.

The videogame advertising sector, meanwhile, will grow from USD 1 billion in 2007 to USD 2.3 billion in 2012 - a 16.7 per cent annual growth rate.

The PricewaterhouseCoopers report suggests a decline in at least one sector: it expects PC games sales to decline 1.2 per cent a year until it reaches sales of USD 3.6 billion in 2012 - down from USD 3.8 billion last year.

Growth in the US will lag compared with global growth, with overall video game revenue growing by 7.9 per cent annually - from USD 12.1 billion in 2007 to USD 17.7 billion in 2012.

The study cites several key factors for videogame industry growth, including increased broadband penetration driving the online market, the increasing popularity of MMOs and mobile phones capable of downloading games with sophisticated graphics.