Japan's gaming industry, traditionally dominated by mobile gaming, is witnessing a significant surge in the PC gaming sector. Recent industry analyses reveal that the PC gaming market in Japan has "tripled" in size over the past few years.
Japan's PC Gaming Scene "Triples in Size" After Consistent Growth
PC Gaming Makes Up 13% of Japan's Overall Gaming Market
In recent years, Japan's PC gaming market has experienced consistent growth, with year-on-year increases in revenue. According to industry analyst Dr. Serkan Toto, data from Japan's Computer Entertainment Supplier's Association (CESA) indicates that the PC gaming market has "tripled" over the past four years. Leading up to the Tokyo Game Show 2024, CESA reported that Japan's PC gaming market reached a value of $1.6 billion USD, approximately 234.486 billion Yen, in 2023.
Although the market only saw an incremental increase of about $300 million USD from 2022, this consistent growth has elevated the PC gaming segment to 13% of Japan's gaming market, which is predominantly driven by mobile gaming. Dr. Toto points out that while the dollar figures might seem low, "the Japanese yen has been extremely weak over the last years and still is," suggesting that the spending in terms of local currency is significant.
Japan's mobile gaming market, which includes online sales like microtransactions, reached $12 billion USD, approximately 1.76 trillion Yen, in 2022. Dr. Toto emphasizes that "smartphones remain Japan's biggest gaming platform." Moreover, Japan's "anime mobile games" market constitutes 50% of the global revenue, according to Sensor Tower's "2024 Japan Mobile Gaming Market Insights" report.
(c) Statista Industry analysts attribute the significant growth in Japan's "Gaming PCs & Laptops market" to "customer preferences for high-performance gaming equipment and the increasing popularity of esports." Statista Market Insights forecasts that Japan's PC gaming market revenue could reach 3.14 billion Euros, approximately 3.467 billion USD, this year. The company also predicts that the number of PC gaming users in Japan will grow to 4.6 million by 2029.
Dr. Toto highlights Japan's rich history with PC gaming, which began with home-grown computers in the early 1980s. He notes that although consoles and smartphones later took over, "PC gaming was really never dead in Japan and its niche character has always been a bit exaggerated in my view." He lists several factors contributing to the PC gaming boom in Japan:
- Rare but existing home-grown PC-first hits like Final Fantasy 14 or Kantai Collection
- Steam's improved store front and expanded presence for the Japanese audience
- Smartphone hits increasingly available on PC, sometimes on day one
- Improved local PC gaming platforms and Steam's enhanced offerings for Japanese users
Xbox, Square Enix, and Other Gaming Giants Expand PC Segment
Games associated with the esports scene, such as StarCraft II, Dota 2, Rocket League, and League of Legends, continue to dominate in Japan, reflecting the growing popularity of competitive gaming. In recent years, major game developers and publishers have increasingly focused on the PC platform, aiming to capture the growing Japanese PC gaming audience.
For instance, Square Enix released Final Fantasy 16 on PC earlier this year and plans to adopt a dual-release strategy for console and PC. Meanwhile, Microsoft, through Xbox, is expanding its footprint in Japan. Xbox executives Phil Spencer and Sarah Bond have been instrumental in promoting Xbox and Microsoft Gaming in the region, securing partnerships with major publishers like Square Enix, Sega, and Capcom. Xbox Game Pass has been a significant factor in driving these collaborations.
