how ‘game’ are we in the uae?
— Gamers in the UAE are a dedicated demographic, and their passion is driving the demand for video games in the region, especially in the mobile and online gaming segments.
Developers and retailers have taken note of the growing legions of gaming fans in the region, and have accelerated their efforts to cater to the needs of the gaming population, promising regional releases that are simultaneous with international launches, and the latest products as soon as they hit the market.
A report by Newzoo found that in 2016, the Middle East and Africa region was one of the fastest-growing gaming regions in the world, with 26.2 per cent year-on-year growth. The region’s 301.4 million gamers were estimated to have spent a total of $3.2 billion in 2016, making up three per cent of global revenues. It also noted that the mobile segment will remain the largest category, with year-on-year revenue growth rates between 30-60 per cent in the coming years, facilitated by rapidly-increasing smartphone and mobile Internet penetration.
“The Middle East and North Africa region has enormous potential, as about half the population of nearly 400 million is younger than 25 years of age,” said Jeroen Schlosser, managing director of Equinix for the Mena region. Newzoo’s 2016 version of the Global
Games Market Report also found that the top five countries in the region generated more than 60 per cent of all MEA gaming revenues. Turkey is the 16th-largest games market worldwide and the leader in the MEA region with $755 million in revenues. Saudi Arabia follows after Turkey, with revenues of $502 million.
Physically collaborative games where body will be more than just an anchor to the physical world will become more popular Jeroen Schlosser, MD of Equinix for the Middle East
The UAE comes in at fourth in the MEA region with revenues of $249 million, trailing Iran slightly, which is at $270 million.
Schlosser noted that the Arab online gaming market is growing at an exponential rate due to the robust increase in Internet users.
“The mobile market is also one of the fastest-growing media segments in the Middle East. Smartphone penetration in Saudi Arabia and the UAE has surpassed 75 per cent of the population, with more than 55 per cent of users accessing the Internet every day on a smartphone. Gamers are therefore more inclined towards online and mobile games, weaning away from the consoles and pre-installed PC games.” He also pointed to a movement towards more immersive digital entertainment, from movies to games. Virtual reality, he said, will go from solitary to shared. “The future of
Geekay Group has witnessed growth year on year and this year too, we seem to be on track to do better in terms of volumes and profitability Kishan Deepak Palija, MD of Geekay Group
VR will be about being transported to another place and doing something cool with your friends. Physically collaborative games where body will be more than just an anchor to the physical world will become more popular.”
Gareth Evans, Mena territory manager at Ubisoft, is of a similar mind, saying: “We are expecting more growth on current platforms; with the previous launches of the PS4 Pro, and VR platforms such as Oculus Rift, PSVR, HTC Vive, in addition to the start of new life cycles on systems such as the Nintendo Switch, Google Daydream and Microsoft’s Xbox One Scorpio.” He further revealed that the UAE continues to be a strong market for video games and a key focus for Ubisoft as it looks to support the launches of key franchises in the coming years.
“Ubisoft has a very big focus on the UAE and Middle East, with a business team based in Dubai to support the growth of the region as we continue to localise, promote, and support the games we release. In addition to that, we have a development studio in Abu Dhabi, in partnership with TwoFour54, celebrating their fifth year anniversary this year, who previously launched CSI: Hidden Crimes, and NCIS: Hidden Crimes on mobile platforms and Facebook, and are leading live operations for Growtopia, a free to play game Ubisoft had recently acquired, in addition to working on some pretty exciting projects for the future. Late last year, we had also announced a partnership with the IMG theme parks, in bringing the Rabbids, Assassin’s Creed, and Just Dance franchises to the parks as part of their IGM World of Legends expansion,” he said.
Sharing his thoughts on gamers in the region, Kishan Deepak Palija, MD of Geekay Group, said that gamers in the region need all the latest gadgets and games that release on day one, and that some go to unimaginable lengths to acquire them.
“Having said that, being the premier gaming retailer in the region means it is our duty to fulfill these wishes and so far we have been able to bring all the gaming products under one roof at our Geekay Games and Geek Nation stores at the earliest. The release of Nintendo Switch in UAE is a testimonial to the fact that Geekay Group believes in bringing the latest and greatest in gaming to the region on day one. We were able to bring the console to all our stores on the official release date,” he shared. Palija also noted that sales for all gaming consoles and games this year have seen strong growth, and that he was confident that the trend will continue with the new releases coming up.
“Geekay Group has witnessed growth year on year and this year too, we seem to be on track to do better in terms of volumes and profitability. So far, all the gaming eco-systems have witnessed growth and with the release of a new player in the form of Nintendo Switch, competition is getting fierce for game companies to bring better and bolder exclusives for their consoles. Exclusivity will dictate which consoles have the upper hand and with the E3 convention and game announcements around the corner, we will know by mid-June which system will take the lead in terms of sales,” he said.
— rohma@khaleejtimes.com