Middle East is becoming a gaming hotbed worth billions of dollars

The gaming industry in the Middle East and North Africa (MENA) region is on a remarkable growth trajectory, outpacing many global counterparts. According to a recent report by Boston Consulting Group (BCG), the MENA gaming market is experiencing a staggering annual growth rate of 25%, which is three times faster than China's growth rate of approximately 8%.

A significant portion of the Middle East's population, roughly 60%, identifies as gaming enthusiasts, and a substantial 65% of all gaming activity in the MENA region is centred around mobile gaming. This preference for mobile gaming is evident in the fact that up to 50% of all apps downloaded in the region are games, compared to the global average of 40%. The video game industry has now become the second-largest entertainment industry globally, with an estimated worth of around $185 billion. Forecasts suggest that this industry will continue to experience steady growth in the foreseeable future.

In recent years, the Gulf Cooperation Council (GCC) countries, in particular, have emerged as gaming hotspots, attracting not only new players and fans but also substantial investments from industry players and investors. This gaming industry's impressive growth can be attributed to its broad appeal, especially in mobile gaming, which appeals to all age groups in Middle Eastern markets. Notably, children and young adults constitute a significant segment of the gaming audience, as they are willing to invest substantial time in gaming, much like they would in consuming video content.

The MENA region's inclination toward mobile gaming is also influenced by the monetization strategy, which primarily relies on advertising. As a result, most mobile games are free to play, making them accessible to players with diverse budgets. With advancements in mobile phone technology, offering high-quality graphics and processing power, game developers are increasingly providing top-tier mobile versions of games that were previously exclusive to PCs or consoles. The gaming industry in the MENA region is estimated to have generated approximately $4 billion in revenue, with Saudi Arabia leading the charge with a market worth of $1.8 billion, accounting for roughly 45% of the total market value in the region. In the entire Middle East and North Africa, Saudi Arabia stands out as a dominant player in the gaming market.

The BCG report underscores the significance of Saudi Arabia as a thriving entertainment market, largely due to its robust gaming strategies. These strategies include a substantial $38 billion investment in the gaming industry and a commitment to create 40,000 new jobs by 2030. The Middle East, particularly the GCC countries, is striving to diversify their economies and reduce their dependence on fossil fuels by rapidly developing sectors such as technology, finance, and tourism. These countries have unveiled ambitious plans to reinvest their oil export earnings into these emerging industries, making them competitive players in the global technological landscape.