The State of Gaming in 2026: Insights Into Revenue Growth and Trends

The State of Gaming Report 2026

In a pioneering move, Sensor Tower has released its highly anticipated State of Gaming report for 2026. This annual overview highlights crucial trends in the gaming industry, revealing that the gaming landscape generated a staggering $94 billion in revenue in 2025. With total downloads reaching an impressive 52 billion across mobile, PC, and console platforms, it is clear that gaming continues to flourish, albeit with some significant shifts in player engagement and monetization strategies.

Mobile Gaming Gains Momentum

The mobile gaming sector remains a powerhouse, accounting for the majority of downloads with an astounding 95,000 new mobile games being downloaded every minute. However, it is worth noting that the growth in downloads has slowed when compared to previous years. Despite this, mobile game revenue increased by 1%, totaling around $82 billion, indicating a focus on generating revenue through engaging and retaining existing players rather than merely attracting new users. Developers have concentrated their efforts on strategies such as live events and collaborative partnerships to match the demands of a mature market, thus transforming their approach to gameplay.

The Rise of PC and Console Games

On the other hand, PC and console gaming is witnessing a renaissance, showing a double-digit increase in revenue, which soared by 13%. Downloads and new releases saw steady growth of 7% and 8.4% respectively, underscoring the sustained demand within these platforms. The surge is largely fueled by the popularity of AAA titles and independent games, particularly action genres. Notably, indie games like R.E.P.O. and PEAK have captured significant attention, indicating a shift in player preferences towards co-op experiences that are both engaging and suitable for multiplayer interactions.

Oliver Yeh, CEO and Co-founder of Sensor Tower, noted, "The year 2025 proved that the potential of the PC and console ecosystem was strong, bolstered by viral indie hits and consistent AAA releases. The top-selling title of the year, Battlefield 6, exemplifies this trend, and with the anticipation surrounding GTA VI, this forward momentum is expected to carry into 2026."

Strategic Insights for Mobile Growth

While PC and console platforms experience robust growth, mobile gaming faces unique challenges. The report indicates a paradigm shift in how these games are marketed, focusing more on retaining and monetizing established players rather than accumulating new downloads—which have plateaued. To adapt, game developers are honing their strategies, blending traditional gameplay with innovative techniques such as webstores and IP partnerships to drive sustainable growth.

Advertising Spending Trends

Another crucial aspect discussed in the report is the change in advertising dynamics. Although YouTube remains a leading avenue for advertising in the gaming sector, it has seen a notable shift from PC and console advertising expenditure toward mobile. This shift aligns with the overall trend of prioritizing targeted monetization over broad download strategies.

Genre-Specific Performance

Among the various genres, strategy games have emerged as top contenders in the mobile space, showing growth in both revenue and player engagement. Games like Last War Survival and Whiteout Survival dominated the revenue charts, emphasizing the effectiveness of the strategy genre in attracting and retaining users. Additionally, the success of games like R.E.P.O. and PEAK reflects a broader trend among gamers towards titles that enhance social interaction and enjoy a multiplayer-centric approach.

As we look ahead to 2026, the insights presented in Sensor Tower’s report underscore the evolving landscape of the gaming industry, marked by a refined understanding of player needs and preferences. With a focus on retention strategies and a willingness to adapt to market changes, the gaming sector is poised not only for survival but for thriving in a competitive digital economy.

For more detailed analysis and updates as they happen, keep an eye on Sensor Tower’s upcoming reports, full of valuable insights and forecasts.