Video game company sales hit historic highs of $10.9 billion in the US as people are forced to remain home during coronavirus lockdown
- Video game sales have exploded to historic highs in the US this quarter
- Analysts say sales hit $10.86 billion, which is a 10 percent increase over last year
- The boom is attributed to heightened demand amid coronavirus lockdown
- Here’s how to help people impacted by Covid-19
Coronavirus-driven lockdown has been a boon for at least one industry.
According to a quarterly analysis from market research group NPD, video game spending in the US, which includes sales on games and merchandise, hit historic highs in the first quarter of 2020, reaching $10.86 billion – an almost 10 percent increase over last year.
Of that total about $9.5 billion was directly related to the purchasing of video game content, NPD reports.
As noted by TechCrunch, the research firm says that lockdown measures are no doubt behind the significant uptick in sales.
Nintendo’s Switch console has been among the major beneficiaries of an increased demand for playing and buying video games
‘Video games have brought comfort and connection to millions during this challenging time,’ NPD analyst Mat Piscatella told TechCrunch.
‘As people have stayed at home more, they’ve utilized gaming not only as a diversion and an escape, but also as a means of staying connected with family and friends. Whether it was on console or mobile, PC or virtual reality, gaming experienced play and sales growth during the first quarter.’
Increased game sales, in particular sales of Animal Crossing: New Horizons, have also driven an uptick in the console market, as well.
Recently, Nintendo’s Switch console became the company’s best selling console of all time and last month the gaming giant reported sales had doubled year-over-year.
Online gamers have been among the parties putting strain on the network (stock)
The latest installment of Nintendo’s Animal Crossing franchise – the first to be released on a console since 2008 – also became the best selling game of 2020 and the best selling Animal Crossing game of all time.
The influx of interest in buying and playing video games has also been realized elsewhere during lockdown, particularly in its effect on internet bandwidth.
PlayStation and Microsoft have both been forced to reduce download speeds as a result of an added number of users playing online.
Both companies joined other tech giants like YouTube, Amazon and Netflix in reducing the quality of their downloads in order to cope with increased demand.