Revitalizing Slump: Gaming Industry Bounces Back
The German gaming market is experiencing steady growth, with the Gamescom event set to break records this year. According to reports, over 1,500 exhibitors from 72 countries will participate in the event, which is scheduled to take place next week in Cologne under the theme "Games - Perfect Entertainment."
The exhibition space for the Gamescom will increase to a new record of 233,000 square meters. The event will be open to the general public for four days from Thursday, following a trade visitor day on Wednesday and an opening show on Tuesday evening.
Last year, 335,000 people attended the Gamescom, and it is expected to be similarly vibrant this year.
A Growing Market
The German gaming market is expanding in hardware and software sales, boosted by technological advances, rising digital payments adoption, and strong investment activity.
Germany remains a major ICT market, globally the fourth largest, with a projected revenue increase of 4.6% reaching about EUR 233 billion in 2025. This growth is driven by investments in digitalization, automation, AI, and other technologies that indirectly boost gaming hardware demand.
The global video game market was valued at US$223.8 billion in 2024, expected to approach US$300 billion by 2029. Germany, as part of this large European market, benefits from new high-profile game releases and evolving gaming experiences influenced by AI and immersive tech.
Online Gaming and In-App Purchases
Online gaming services and in-app purchases are particularly supported by the growth in casino and digital entertainment sectors. The German casino tourism market, valued at USD 8.3 billion in 2025 with a CAGR of 3.3%, highlights the growth in online gaming and gambling services.
Increasing adoption of secure digital payment methods like PayPal and Neteller fuels demand for virtual gaming platforms, including online casinos and poker, the preferred game type. This suggests strong market dynamics for online in-app purchases and services.
A survey by Bain found that 46% of gamers now make in-app purchases that are advertised during gameplay, a six-percentage-point increase from 2024.
The German Gaming Audience
52% of the over 1,200 respondents in a survey by Bitkom play video or computer games occasionally or frequently, a figure consistent with previous years. The proportion of gamers in Germany has increased over time, from 42% in 2015 to the current 52%.
58% of gamers play less than two hours a day, while 7% play more than five hours a day. Interestingly, 45% of German gamers cannot imagine life without video and computer games, up from 39% in 2023.
The majority of gamers are over 18 years old, with an average age of 39.5 years. 28% of gamers prefer to play online with others.
Investment and Innovation
Germany features an active VC ecosystem supporting gaming startups, with funds focused on software, SaaS, and digital platforms, which is likely to spur innovation in gaming services and new monetization models including in-app purchases.
The Future of Gaming
Game CEO Felix Falk mentioned that games are marketed as something for the whole family, with examples like Mom liking Mario Party and Grandpa having played Doom back in the day. Mario Party is a virtual board game, and Doom is a shooter game first released in the 90s.
The turnover for computer and video games, hardware, and gaming services in Germany increased by 4% in the first half of 2025, reaching around 4.6 billion euros. Sales of computer and video games decreased by 2% to 2.7 billion euros in the first half of 2025, attributed to a lack of blockbuster game releases. However, the increase in turnover was mainly due to a 17% rise in hardware sales, primarily driven by the launch of the Nintendo Switch 2.
Online gaming services saw a 4% increase to around 0.6 billion euros in the first half of 2025. The importance of computer and video games is increasing every year, according to Bitkom's survey. Gerald Böse, CEO of Koelnmesse, stated that the Gamescom has reached a new peak and offers the greatest diversity in its history.
In summary, the German gaming market in 2025 is expanding steadily in hardware and software sales, boosted by technological advances, rising digital payments adoption, and strong investment activity. Online services and in-app purchases are particularly supported by the growth in casino and digital entertainment sectors. The Gamescom, with its record-breaking attendance and diverse exhibitors, is a testament to the vibrant and growing German gaming industry.
- Despite the German gaming market primarily focusing on hardware and software sales, the Gamescom event also showcases sports games, given the increasing diversity of gaming experiences influenced by AI and immersive technology.
- In addition to its strong growth in hardware and software sales, the German gaming market's expansion includes sports games, as evidenced by the growing influence of AI and immersive technology on new game releases.