Comment 

Chart: Video game groups tap into surging demand

Theron Mohamed

The enduring popularity of franchises such as Assassin's Creed and Call of Duty, the ability to download new games on consoles and widespread adoption of mobile devices have fuelled strong growth in the video game industry. Our chart shows the value of the sector has jumped a fifth in the space of two years, driven by sales growth of 47 per cent in mobile gaming and 37 per cent in digital console and PC content.

Investors have multiple ways to tap into this mushrooming market (our cover feature on the sector provides a good overview). They include Frontier Developments (FDEV), creator of the Elite: Dangerous and RollerCoaster Tycoon franchises; Keywords Studios (KWS), which provides testing, translation, art creation and other services to most of the leading video game companies; and retailer Game Digital (GAME).

Other options are technology investor Mercia Technologies (MERC), which has invested in digital trading card company VirtTrade and virtual reality group nDreams; OMG (OMG), whose Vicon motion-capture cameras were used by Electronic Arts (US:EA) for titles such as FIFA 16 and NBA 2K16, and Pinewood (PWS), which recently added video game production to its range of media services.

Related topics

Subscribe today

Full access for just £3.37 a week:

• Tips and recommendations - to beat the market 
• Portfolio clinic & Mr Bearbull - build a well-planned portfolio 
• Expert tools - track and manage investments effortlessly
• Plus free delivery to your home or office

Subscribe Now