Mobile downloads fall 25% as games shift to deeper monetization

Mobile gaming revenue is increasingly disconnected from download volume. Global mobile downloads fell 25% year over year in the first half of 2026, while cost per install rose 30% to $0.56. Despite the decline, mobile revenue is forecast to reach $121.1 billion in 2026, growing 6.8%.

The shift reflects a broader change in how players engage with games across platforms. Newzoo's latest forecast shows the global games market will reach $213.9 billion in 2026, up 6.1% year over year, with growth fueled by an expanding player base and deeper monetization of existing audiences.

PC, console and mobile are following distinct growth paths. PC revenue is forecast to rise 5.3% to $45.9 billion, with premium and mid-priced games sustaining full-game revenues as microtransactions regain share. PC has the highest player-to-spender conversion rate at 55%. Console revenue is expected to grow 5.1% to $46.9 billion, driven by major launches, the Switch 2, multi-game subscriptions and higher prices for games and services.

Mobile remains the largest platform by player base, forecast to reach 3.1 billion players in 2026, up 3.9% year over year. The platform has the lowest player-to-spender conversion rate of the three, but deeper monetization is offsetting download declines.

"These differences reveal there is no single model for growth," said Newzoo principal games market analyst Michiel Buijsman. "Strategies that succeed on one platform may not translate to another, even when their topline trajectories look similar."

Geographic shifts are also reshaping mobile growth. Central and Southern Asia, Southeast Asia and the Middle East & Africa are expected to account for 80% of the 117.8 million net new mobile players added in 2026. Direct-to-consumer channels are becoming more important, with four of five tracked publishers generating at least 39% of gaming revenue directly from consumers by Q1 2026.