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U.S. Games and Esports Revenue: PwC Forecast $72B by 2027, Traditional Gaming’s Share Falls

A PwC forecast reported by GamesBeat projected U.S. games and esports revenue to reach $72.0 billion by 2027. Traditional gaming was expected to grow more slowly than social and casual gaming, reducing its share of the total.
From TheFinanceBase Team3 min to read
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A PwC forecast reported by GamesBeat projected U.S. video games and esports revenue would rise from $54.1 billion in 2022 to $72.0 billion in 2027, a 5.9% compound annual growth rate. In that forecast, traditional gaming revenue still grows—from $15 billion to $16.5 billion—but its share of the total shrinks because social and casual gaming expands faster. These are estimates and projections published in 2023, not confirmed 2027 results.

What the $72 billion forecast measures

GamesBeat reported that PwC’s Global Entertainment & Media Outlook estimated the U.S. games and esports market at $54.1 billion in 2022 and projected $72.0 billion in 2027. The forecast implied a 5.9% compound annual growth rate over that period. GamesBeat also reported 2.4% year-on-year growth in 2022. The figures describe a historical forecast, not realized 2027 revenue. GamesBeat’s report, published June 19, 2023 and updated June 18, 2025, is the available secondary account of the PwC outlook; the original PwC tables were not independently reviewed.

Why traditional gaming loses share while its revenue rises

Market share depends on growth relative to the whole market, not simply whether a category adds dollars. GamesBeat’s report puts traditional gaming at $15 billion in 2022 and forecasts $16.5 billion in 2027, a 1.9% compound annual growth rate. Yet the reported share falls from 27.6% to 22.8% because the overall market—and especially social and casual gaming—is projected to grow more quickly.

There is a discrepancy in the source: its headline says traditional gaming represented 26.7%, while its body gives 27.6% for 2022. The body’s 2027 forecast is 22.8%. The reported figures do not establish which 2022 share is correct, so 26.7% should not be presented as a verified statistic.

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Social and casual gaming drives most of the projected expansion

The report says social and casual gaming generated $37.1 billion, or 68.6% of the U.S. market, in 2022. PwC’s forecast put the category at $53.2 billion and 73.8% of the market in 2027. Within it, in-app games advertising was reported at $19.3 billion in 2022 and forecast to reach $28.7 billion in 2027, making it the category’s largest revenue source in 2022.

App-based social and casual gaming revenue moved in the opposite direction in the immediate baseline period: GamesBeat reports it fell from $18.3 billion in 2021 to $17.6 billion in 2022. The forecast anticipated a recovery to more than $24.3 billion by 2027. The distinction matters: social and casual gaming includes more than app purchases, and advertising was a substantial part of the reported category.

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What the traditional gaming forecast says about consoles and PC

Console games

PwC’s reported forecast put U.S. console games at $9.5 billion in 2022 and $10.1 billion in 2027. Growth was expected to come from online and microtransaction revenue, forecast to increase from $1.9 billion to $3.2 billion. By contrast, physical console game sales were forecast to fall from $4.2 billion to $3.5 billion, with their share of console game revenue declining from 44.2% to 34.2%.

PC games

PC game revenue was reported at $5.5 billion in 2022 and forecast to reach $6.3 billion in 2027, a 3.0% compound annual growth rate. Online and microtransaction revenue represented 85.2% of the U.S. PC segment in the report, illustrating how category totals include spending beyond initial game purchases.

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Esports is a separate revenue stream within the broader total

The forecast put U.S. esports revenue at $455 million in 2022 and $662 million in 2027, a projected 7.8% compound annual growth rate. GamesBeat reported that media rights were forecast to become the largest esports revenue category by 2027, at $230 million, with a 12.7% compound annual growth rate. Ticket sales were estimated at $35 million in 2022 and forecast to reach $46 million in 2027. These are revenue streams around esports, not sales of video game units.

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How to read the forecast as a consumer or investor

The headline figures are useful for understanding the direction PwC expected the market to take, but they are not a current market valuation or a guarantee of what companies, consumers, or investors experienced. The most important comparisons are:

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  • Dollars versus share: traditional gaming can add revenue while losing market share when other categories grow faster.
  • Different business models: the reported total combines game purchases with advertising, online transactions, and esports revenue such as media rights and ticket sales.
  • Forecast versus outcome: the 2027 amounts were projections published in 2023. They should not be treated as actual 2027 results or as a current-year estimate.

GamesBeat’s interview with CJ Bangah, a market research leader who worked on the PwC outlook, described gaming as increasingly sharing characteristics with other entertainment and media businesses. The forecast’s mix of advertising, digital transactions, rights, sponsorship, and live events helps explain that convergence without implying that every revenue stream is interchangeable.

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