Tim Merel's Blog
Tim Merel is Founder/CEO of Eyetouch Reality and Digi-Capital
“Stop calling Pokémon Go AR” say the purists. But who cares what you call something that is so successful? Just be glad it happened, and let’s figure out what the mainstreaming of AR means for the AR/VR industry.
Games industry M&A across all sectors hast hit another record, topping $25 billion between January and July 2016. The latest $4.4 billion acquisition of Playtika by a Chinese consortium led by Giant is yet another sign of late stage market consolidation.
Games M&A hit a record $18.6 billion in the first half of the year, in a clear sign of late stage market consolidation. Mobile deals with Supercell, King, CMGE, Gameloft and take private/share buybacks led the charge, with more consolidation possible.
Last year was the worst games deals ice age in a decade, but the topline numbers in Digi-Capital’s Games Report for Q1 2016 make it look like there has been a thaw. However, the buoyant waters of the first quarter hide rocks beneath the surface.
Games investments, M&As and IPOs deal value dropped 81% in 2015 vs 2014. Games investment value fell 30%, games M&A deal value dropped 75% (excluding Activision-Blizzard/King which hasn’t closed yet), with games IPOs at the lowest level in a decade.
Digi-Capital's new Games Report 2016 forecasts games growing from $90B in 2016 to $115B by 2020, mobile games going from $35B in 2016 to $48B by 2020, with VR (and AR) games rising from hundreds of millions in 2016 towards the $10B range by 2020.
Tim Merel's Comments
[Blog - 08/18/2016 - 04:20]
@Krzysztof Lewicki Thanks for your ...
@Krzysztof Lewicki Thanks for your comment. When Apple 's CEO describes Pokemon Go as AR, and hundreds of millions of people using Pokemon Go think it is AR, then the terminology discussion starts to look a bit academic in practical terms. That doesn 't mean it can 't be debated. ...
[Blog - 03/01/2016 - 03:36]
Thanks for the kind references, ...
Thanks for the kind references, but you are using old, out-of-date forecasts. So your quotes and charts from us and any copies of them are all out of date and do not reflect our current thinking. You can see our current forecasts at http://www.digi-capital.com/news/2016/01/augmentedvirtual-reality-revenue-forecast-revised-to-hit-120-billion-by-2020/ r n r nOur investment analysis ...
[Blog - 01/14/2016 - 07:44]
For VR: r n r ...
For VR: r n r nWould love to know the data sources for your statistics on smartphone peripheral adoption, as your 3 to 5 estimate produces a bigger market than we 're forecasting. Would also love to know your methodology for mapping falling mobile peripheral prices to mobile device adoption, ...
[Blog - 11/04/2015 - 08:58]
@Krzysztof Lewicki Thank you for ...
@Krzysztof Lewicki Thank you for your comment. Maybe you 're right theoretically, but we couldn 't see the pixels : r n r nYou can also see discussion about that sort of thing here http://www.theverge.com/2015/6/17/8794907/oculus-rift-touch-virtual-reality-hands-on-e3-2015
[Blog - 10/19/2015 - 05:58]
@Ramin Shokrizade The last letter ...
@Ramin Shokrizade The last letter of the second link keeps getting changed by the system here, so please go to the third page of our blog from here http://www.digi-capital.com/news/. The second post is about 2/3 of the way down on the third page. r n r nAnd on games stocks, ...
[Blog - 06/26/2015 - 08:17]
@Jesse Schell It 's rare ...
@Jesse Schell It 's rare to see such a clearly thought through approach to the practical realities of VR design. This should be required reading for all VR designers, from novice to expert. Great