Finally, the pandemic may lead to the normalization of esports. Analysts have described esports as being “popularized and legitimized in an unpredictable and profound way”, thanks to the unprecedented (and accidental) adoption of esports by broadcasters, leagues and athletes seeking to engage fans.

The second long-term trend is the widening of monetization avenues through subscription and free-to-play models. Subscriptions provide a reliable path to monetization for smaller, quality games that otherwise lack the marketing or monetization nous to break into the mainstream.

For the wider gaming industry, coronavirus makes temporary delays in the production of gaming hardware more likely as factories around the world face supply chain interruptions. Furthermore, game developers are preparing for a loss in efficiency as more employees work remotely.

This said, gaming is not immune to the coronavirus. Esports, with its reliance on live events, has been one of the first parts of the industry to be affected. Most esports events have been cancelled or postponed, though some are taking place without audiences. “We have directors, producers, broadcast engineers and professional gamers all working remotely to recreate the excitement and quality of a live event,” says Sepso. “Esports has been able to continue while traditional sport has not because the playing field is virtual and can be replicated online; however, nothing can truly replace the social richness of the live experience.”

Asian gaming giants Nintendo and Tencent both saw sales increases during the first quarter. The former sold almost half of its games digitally, a record that helped increase profits by 41%, while Tencent's year-on-year online games revenue increased by 31%. Analysis from GamesIndustry.biz shows that sales across 50 key markets rose by 63%. Even games released during the pandemic are performing well, with titles as varied as Doom Eternal (a first-person shooter) and Animal Crossing (a world-building simulation) both breaking sales records after launching. This is reflective of data from Comcast that shows how new game downloads have increased by 80%, compared to a rise of ‘only’ 50% in total gaming downloads.

A separate part of gaming is esports, which refers to organized, multiplayer video game competitions. This sector is forecast to grow to just over $1 billion in 2020. Business models in esports closely follow professional sports – though competitions are far more fragmented – with the majority of revenue coming from advertising and broadcasting. Although relatively small in comparison with the overall gaming market, esports is relevant here because it appears connected to the continued growth of gaming.

Gaming revenues are almost entirely driven by consumer spending, but the business model has evolved significantly in recent years.

The global video game market is forecast to be worth $159 billion in 2020, around four times box office revenues ($43 billion in 2019) and almost three times music industry revenues ($57 billion in 2019). The biggest market by revenue is Asia-Pacific with almost 50% of the games market by value. North America accounts for a quarter of revenue.

The distortion had been seen in individual esports athletes and teams as well. As the lockdown came into picture, team members had to move to their individual residence forcing them to rework their training routines and other operations. Such things affect their performance as not all places are equipped with stable internet connection. Other than that esports is not just a virtual activity it demands both mental and physical involvement, playing in homes doesn't always provide a favorable environment for an efficient gameplay and such things become a challenge for gamers. The mental attitude of some players also got deferred due to the disturbing occurrences happening around them due to the pandemic.

Fortnite, League of Legends, FIFA 20, Hearthstone, Apex Legends, Call of Duty, Rocket League and other key esports games' tournaments have been postponed or cancelled due to concern of the COVID 19 health risks.

Most significant hit to the industry is on the live events, such events collect revenue through sales opportunities and extra content of the partners such as musical performances, meet-and-greets, booths for activities and merchandise leading to loss of millions of dollars.

The increasing demand for video games, online content and live streaming contributed to the growth of industry.