# Video games could level up your investment portfolio > The gaming industry is booming, with new revenue streams and crossover opportunities making it an attractive bet for investors. - Title: Video games could level up your investment portfolio - Summary: The gaming industry is booming, with new revenue streams and crossover opportunities making it an attractive bet for investors. The video games industry is… - Keywords: video games, gaming industry, investment, take-two interactive, ubisoft, cd projekt red, sony, nintendo, everplay, mobile gaming, artificial intelligence, virtual reality - Source: MoneyWeek — https://moneyweek.com/investments/could-video-games-take-your-portfolio-to-the-next-level - Published: 2026-09-18T11:00:00+00:00 - Read time: 3 min - Topics: video games, gaming industry, investment, take-two interactive, ubisoft, cd projekt red, sony, nintendo, everplay, mobile gaming, artificial intelligence, virtual reality ## Gaming has transformed dramatically The industry now reaches 3.6 billion players worldwide and has become a mainstream part of entertainment over the past 15 years. ## Growth faces some headwinds Rising development costs, tighter regulation, and player attention concentrated on a few major franchises could limit expansion. ## The recession-proof myth tested Gaming companies have cut around 45,000 jobs since 2022, challenging the industry's reputation for being recession-resistant. ## Market poised for steady expansion Consultant BCG estimates the gaming market will grow about 6% annually, reaching $350 billion by 2030. ## Browser games are taking over Mobile and browser-based games are booming because they're easy to play without expensive hardware and often include social elements. > really easy for virtually anyone to play ## App stores losing their grip Developers are challenging the 30% cut taken by Google Play and Apple Store through lawsuits and legislation, with many now bypassing them entirely. ## Big budget games still thriving AAA games revenue will grow 4.7% yearly for the next four to five years as new generations of gamers continue logging on. ## Recurring revenue replaces one-off sales The industry has shifted from selling boxed products once to charging for continued access, cosmetics, season passes, and subscriptions. > far more predictable than hoping a single release performs well in its launch quarter ## Platform boundaries are blurring Cross-platform play and cloud gaming let the same title reach players on console, PC, and mobile, creating diversified revenue streams. ## Games become entertainment franchises Modern games are now bundles of intellectual property with distinctive characters and music that work across films, TV, and experiential events. ## TV and film adaptations booming Recent hits like The Last of Us and Fallout show gaming IP can attract massive audiences beyond gaming itself. Over 200 adaptations commissioned since 2019. ## Adaptations boost game sales dramatically TV shows increase players by over 200%, compared to 48% for films. After Fallout aired, the old Fallout 4 game climbed back into the top five. ## Virtual reality hits a plateau Meta is pivoting away from VR toward adaptive reality glasses. VR has a passionate core audience but faces limitations like isolation while playing. ## VR still has a foothold Over 20 million Meta Quest headsets sold, with one in four US teenagers owning a VR headset. More than a million people use them daily. > relatively high for an emerging technology ## AI won't replace game developers AI can't produce complete video games by itself yet. Google's Project Genie footage revealed major limitations in maintaining coherent game worlds. > Video generation struggles to maintain coherent frames over more than a few minutes ## AI will cut development costs With typical game costs rising from $50 million to $500 million, AI will help with efficiency gains in creating characters, environments, and texturing. ## Take-Two owns blockbuster franchises The company behind Grand Theft Auto VI also owns 2K studios and mobile developer Zynga. Stock trades at 21 times expected 2028 earnings. > an example of exceptional intellectual property that can help sell software, move hardware and command the culture ## Ubisoft offers value play Despite struggles, Ubisoft owns major franchises like Assassin's Creed and Far Cry. It trades at less than half its estimated net asset value. ## Sony and Nintendo diversifying revenue Sony's PlayStation and The Last of Us TV series, plus Nintendo's Super Mario movie and theme parks, show how gaming IP expands beyond consoles. ## Everplay is a UK bargain This smaller company publishes indie games like Worms and Wardogs. Revenue more than doubled from 2020 to 2025, trading at just 10.3 times 2027 earnings. ## Key takeaway The video games industry is projected to reach $350 billion by 2030, driven by mobile gaming, franchise expansion into TV and film, and AI-powered development efficiencies.