IHS Markit: Cloud gaming earned $387 million in 2018, and could grow to $2.5 billion by 2023

Cloud-based gaming is starting to heat up. In a new report from market research firm IHS Markit, cloud gaming earned $387 million in 2018, and the company predicts that number will balloon to $2.5 billion by 2023.

The massive number helps put into perspective why the industry has seen a sudden surge in cloud gaming products. Most notably, Google announced its Stadia streaming platform earlier this year, which it will reveal more information about in the summer. And Sony and Microsoft recently entered a surprising partnership where the two companies will work together on cloud-based gaming and entertainment services.