Microsoft Activision Blizzard Ushers in New Era for Game Industry

The completion of the Microsoft acquisition of Activision Blizzard launches a new era for the video game industry.   After years of struggle Microsoft has bought itself a position as a leading industry force.  The overall impact will be huge but remains uncertain.  However, we can start sketching out the major players and how this battle for market control is likely to play out. Microsoft is Now Largest Video Game Publisher In recent months, DFC Intelligenc.....
Nvidia Grows Beyond Games

Nvidia Grows Beyond Games

On March 22, DFC Intelligence had the privilege to join a private analyst briefing with Nvidia CEO Jensen Huang.  This was an opportunity to ask Huang detailed questions following his keynote at the Nvidia GTC conference the previous day. The focus was almost entirely on Nvidia’s future in AI.  The key takeaway from the keynote and briefing was that Nvidia is in the process of its most expansive growth of business model ever.  That expansion is into AI which is hitting.....
Nvidia Game Revenue Declines 28% in FY 2023

Nvidia Game Revenue Declines 28% in FY 2023

For the fiscal year ending January 29, 2023, Nvidia (NASDAQ: NVDA) saw its gaming revenue decline 28% from FY 2022 to $9.1 billion.  Overall annual revenue was flat at $27 billion.  For fiscal 2023 net income was down 55% YOY to $4.4 billion. Analysis The past year was rough for Nvidia, but the company is clearly poised for strong growth in coming quarters.  Investors are once again bullish as the company stands to benefit from the growth of the artificial intelligence .....
Nvidia Due for a Comeback in 2023

Nvidia Due for a Comeback in 2023

Hardware companies in the DFC Intelligence Video Game Stock Index were hammered in 2022 and Nvidia (NASDAQ: NVDA) was no exception.  Nvidia stock was down 52% from January 2022 to January 2023.  This was after a slight rally toward the end of the year. The big growth area for Nvidia has been data centers.  In the last quarter, Nvidia’s data center revenue was up 31% over the previous year quarter while ga.....
Nvidia Data Center Revenue Soars Past Gaming

Nvidia Data Center Revenue Soars Past Gaming

Nvidia (NASDAQ: NVDA) revenue for the third quarter ending 10/31/22 was $5.93 billion, down 17% from the previous year quarter.  Data center revenue was up 31% to $3.83 billion while gaming revenue was down 51% from the previous year to $1.57 billion. Analysis Nvidia has had a rough year in its game segment.  Shortages led to high prices and it was hard to find graphic cards in the first part of the year.  Going into the second half of 2022, many consumers were .....
Nvidia Terminates Acquisition of Arm

Nvidia Terminates Acquisition of Arm

Nvidia has announced they are terminating the deal to acquire Arm Limited from the SoftBank Group.  The $40 billion deal faced significant regulatory challenges.  Arm is now looking at potentially spinning off from SoftBank in an IPO. Analysis The acquisition of Arm was announced in late 2020.  However, in recent weeks there were .....
Video Game Hardware Forecasted to Reach $135 Billion

Video Game Hardware Forecasted to Reach $135 Billion

It has always been a great irony that, as video game software has gone digital, spending on hardware to play games has soared.  Unlike other entertainment industries, video game hardware is definitely not a commodity.  DFC Intelligence forecasts that global spending on video game hardware will grow from $82 billion in 2021 to $135 billion in 2026.  This includes console systems, PC hardware used for games and accessories such as controllers, headsets, gaming keyboards an.....
Soaring Video Game Accessories Market Reaches $11 Billion

Soaring Video Game Accessories Market Reaches $11 Billion

According to the latest report from DFC Intelligence the video game accessories market soared to $11 billion in 2020. While much of this growth was driven by stay-at-home orders and new console systems, long-term growth is expected to continue. By 2025, DFC forecasts the video game accessories market will reach $15 billion. The video game accessories market sa.....