Arcade game revenue rose 14.8% year over year to about $176 million, while other genres — from casual to RPGs — declined. Racing games saw the biggest decline, with revenue down 28.8% year over year, and geolocation augmented reality games fell 26% over the same period.
In addition to falling income,cell phoneGame downloads also fell 2.5% year over year to 2.4 billion. Revenue in the second quarter of 2022 alone fell 11.4% to $5.6 billion, though downloads were relatively flat at 1.2 billion.
Agency Sensor Tower attributed the overall decline in the mobile gaming market to a variety of headwinds and challenges, including inflation, the lifting of COVID-19 lockdowns, and privacy changes such as the scrapping of the IDFA (Identifier for Advertisers) label.
Sensor Tower wrote: “This does not mean that game publishers cannot succeed, and whether an industry-wide rebound in the second half of the year can be achieved may depend on improving macroeconomic factors and whether publishers can adapt to privacy challenges.”