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Video games bigger than movies?
Video games bigger than movies?-September 2024
Sep 22, 2024 12:37 PM

  A recent Associated Press article has reported that computer and video games earned $10.5 billion in revenue in 2000. The total value of the industry was based upon game publishing, transportation, wholesale, retail, and other areas. The story claims that, on the average, video game sales have increased 15 percent each year since 1997. In comparison, domestic movie ticket sales generated $7.7 billion in 2000 and movie rentals accounted for another $10.8 billion.

  While analysts have cautioned that the video game industry could be headed for a recession, the factual information included in the AP story paints a different picture. The video game industry created more than 219,000 jobs worth $7.2 billion in wages in 2000. Retail numbers from hardware and software sales totaled almost $7.8 billion.

  "The lines will cross soon if the growth projections that we see are true," said Doug Lowenstein, president of the Interactive Digital Software Association. "This industry is going to be growing at 50 to 75 percent over the next four or five years."

  "The gaming industry is going to control more of the living-room dollars," said P.J. McNealy, a senior analyst with Dataquest. "You start putting a box in front of a TV with a hard drive attached to it, and you can download movies, games, MP3s, anything. And you can watch DVDs. So (gaming and movies) are battling for entertainment dollars."

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