Well what Apple is not a video game creator, like Fortnite, or consoles like Xbox, but their benefit with them is great. Is such that made more in 2019 than Microsoft, Nintendo and Sony combined.
One thing is clear in all this, and that is that the Chief Executive Tim Cook has made the creator of iPhone on one of the biggest video game companies of the moment.
The key is App Store, his digital store, in which he sells and distributes thousands of games from other companies. From Fortnite, from Epic games, until Honor of Kings by Tencent; and takes 30% of sales.
This would explain the battles he has with other rivals, since Apple makes more profits from Microsoft, Nintendo, Activision Blizzard and Sony together. This was in fiscal year 2019, according to a Wall Street Journal analysis based on the figures from the company’s antitrust lawsuit.
According to WSKJ figures, Apple had total gaming profits of $ 8.5 billion. This exceeds the combined revenues of other companies in the same period of time.
The tech giant defended itself by stating that these operating margins were flawed and therefore too high. Although the Apple’s dominance is now threatened by other factors.
Its position as gatekeeper in game economics is in conflict with Facebook, Microsoft and Epic, since each company keep thriving in VR; many digital activities could be done within games in the next few years.
It is expected that gaming revenue to nearly double, to 198 billion in 2024, compared to 2016, according to estimates from the technology consultancy Activate.
Most of the growth would be from mobile games, where Activate predicts that will generate $ 103 billion in 2024.
Source: Wall street journal