$20 billion revenue for loot boxes expected by 2025

It comes following a report exploring the impact of loot boxes

The inclusion of loot boxes in games is expected to generate around $20billion (£14.4billion) in revenue by 2025, according to a new report.

The report, published by Juniper Research and detailed on gamesindustry.biz, explored the impact loot boxes have on the spending habits of gamers, with 5 percent of all gamers purchasing the boxes by 2025. This accounts for around 230 million people.

The majority of these loot boxes will be purchased by people living in the Far East and China, according to the projections, with North America coming up behind.

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In 2020 alone, the randomised boxes generated revenue of $15billion (£10.8billion), seeing another 5 percent jump from the year before. Despite this, the report projects a slowing of growth over the years. This is due to “consumers become fatigued with loot boxes and legislative constraints limiting the market.”

Last month, Epic Games announced compensation in the form of V-Bucks would be given to Fortnite players who purchased loot boxes. This was the result of a class-action lawsuit brought against the company over boxes being sold to minors.

In a recent interview, EA Sports president Peter Moore claimed he does not view loot boxes as a form of gambling, comparing them to ramdomised packs of trading cards. “People loved it. I think that sense of uncertainty and ‘What are you going to get?’ and then bang, Ronaldo or Messi would roll out and that’s a wonderful thing,” he said. “You’re always getting something. It’s not like you opened it and there’s no players in there.”

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