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Report: Steady momentum across gaming markets in 2025

November 20, 2025

Xsolla, the video game commerce company, has announces the release of The Xsolla Report: State of Play Q3 2025 Edition, Vol. 8, an analysis of market forces shaping the games industry. The report synthesises the latest data and expert perspectives to help developers and publishers plan for sustainable growth across platforms and regions.

As developers navigate new distribution models and evolving monetisation approaches, the Q3 2025 edition offers a practical perspective on where the market is heading. The global player base is projected to reach 3.6 billion by year-end, with revenue on track to reach $188.8 billion (€163.3bn) – driven by steady momentum, including console hardware refreshes, PC gains in Asia, and ongoing strength in mobile.

Key highlights from the report include:

  • Regional Deep Dives:
    • China: Market projected to reach $50.7 billion by 2025; mobile accounts for over 70 per cent of revenue. Developers lean into niche genres, direct-to-fan models, and UGC.
    • Europe: Forecast $33.1 billion in 2025; mobile leads at 44 per cent of revenue. The Digital Markets Act continues to shape the dynamics of platform competition.
    • MENA: A fast-rising hub valued at $7.45 billion (2023) with a strong growth outlook; localized wallets and alternative payments expand access in underbanked markets.
  • Actionable Market Signals:
    • Players are spending more on fewer, higher-quality titles, while live-ops, premium casual, and short-form content are boosting retention and monetisation.
    • Developers are prioritising payment flexibility, onboarding speed, and automation to reduce friction and improve margins.
    • Investment remains selective, with $193 million in VC funding in Q2 2025, with Asia and North America leading in activity by region and deal count.
  • Event Takeaways:
    • ChinaJoy: SDK-direct monetization, curated supply paths, and premium ad formats point to long-term value and transparency.
    • Gamescom: Alternative payments, cloud distribution, and faster, automated integrations emerged as near-term differentiators.

“This year has been one of steady momentum across every major gaming market,” commented Chris Hewish, President at Xsolla. “Our State of Play report delivers the data and the context developers need to make decisions with confidence from payments and distribution to engagement and retention so they can scale thoughtfully in the months ahead.”

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