Subscriptions, live service games will slow down in 2024 | Newzoo

Newzoo today released its Market Trends report for the games industry in 2024, in which it predicts ways in which the industry will change in the coming year. The primary takeaway from this year’s report is that Newzoo believes the industry will become leaner as it stabilizes from 2023’s chaos. It predicts that major trends such as live service games and subscription models will cool off and see lower growth than they have in the past few years.

“After 2023, when the industry faced a series of unfortunate layoffs and many big gaming bets didn’t pay off, this year will be lean for many companies,” say Newzoo’s analysts. “The cash and investments that flooded the market during the pandemic have dried up considerably, and funding massive new projects is no longer a top priority. Games companies will employ risk reduction strategies like avoiding new IPs. Instead, they’ll focus on sequels and leveraging existing IPs.”