Online games market in India forecasted to exceed $200 million in 2010
For Immediate Release
San Francisco, CA, April 18, 2006 - Pearl
Research forecasts the online games market in India will
exceed $200 million in 2010. These findings are contained in
the "Online Games Market in India" report published by San
Francisco-based Pearl Research, a leading business
intelligence and consulting firm that specializes in the
interactive entertainment and games market. The "Online Games
Market in India" is one of the first studies to track and
analyze the emerging games market in India.
Allison Luong, Managing Director of Pearl Research,
commented, "While long dormant, the online games market in
India is starting to heat up. Conservatively, Pearl Research
expects the Indian online games market to exceed $200 million
in 2010. India in 2006 is often compared to China in 2001,
when China's games market started to develop and an online
games culture started to form. Within a decade, India has the
potential to emerge as one of the top online markets in Asia,
along with China, Korea and Taiwan."
"I believe the adoption of online games in India is
inevitable as gamers, online publishers, telecoms, Internet
cafe owners, and PC hardware manufacturers, all with a vested
interest in growing the market, help nurture a games
culture," said Allison Luong, Managing Director of Pearl
Research.
Other key findings:
- The online games market in India is being
driven by the rapid adoption of the Internet with 39 million
current users; increasing broadband penetration; growth in
Internet cafes with more than 100,000 outlets; and a sizable
middle-class with rising disposable income. Most importantly,
game operators are promoting and educating consumers about
online games including MMOGs.
- There were 39 million Internet users in India in 2005, a
54% YOY increase. The number of Internet users could exceed
100 million by 2007, making India the second-largest Internet
market in Asia after China.
- In addition, there were more than 100,000 Internet cafes in
India in 2005. Internet cafes can derive 30% to 40% of
revenues from users playing games. Games are a "sticky"
activity thus users tend to spend more time and money at
Internet cafes that offer games. The latest trend is the
opening of gaming-oriented cafes such as Sify's Gamedromes to
satisfy the growing demand for games. Internet cafes with
broadband connections and fast PCs are increasingly replacing
many of India's outdated Internet cafes that use
dial-up.
- Both local and international publishers are increasingly
investing in the Indian online games market, as online games
represent one of the few viable publishing models in a
country where software piracy rates exceed 85%. In 2006 and
2007, Pearl Research expects several prominent international
publishers to enter the Indian online games market either
through licensing agreements or joint-ventures. Certain
online publishers believe it is critical to establish a
presence in India, in order to capture consumer loyalty,
develop brand equity and help define the market, before the
market becomes saturated.
While the online games market in India has clear potential,
there are significant market inhibitors that are detailed in
the "Online Games Market in India" report.
The "Online Games Market in India" report contains an
executive summary of the online games market in India;
discussion of the growing middle class; market forecasts; key
metrics such as the size of the online games market in India,
number and growth in Internet users and broadband
penetration; inhibitors and drivers to the growth of online
games; analysis of key online game publishers and their
marketing strategies; a comparison of China versus India;
"Chindia" strategy, and conclusions. To inquire about this
report, please call (+1) 415-566-8509 or email research@pearlresearch.com.
About Pearl Research
Pearl Research, a business intelligence and consulting firm,
specializes in the interactive entertainment and games market
with a special focus on the Asia-Pacific region. Based in San
Francisco, Pearl Research covers major markets such as China,
Korea, Japan, Taiwan, India and Southeast Asia. Pearl
Research provides its clients access to a vast knowledge base
of market research information. The company publishes
in-depth research reports and provides customized research
and consulting services. For more information, please visit
www.pearlresearch.com or contact us at
research@pearlresearch.com or
call (+1) 415-566-8509.
Contact
Allison Luong
Managing Director
aluong@pearlresearch.com
(+1) 415-566-8509