As console games slide, online games increase 22 percent compared to a year ago

online-game-sitesThe number of online game players rose 22 percent in May compared to a year ago, drawing more than 87 million players in the U.S., according to market researcher comScore.

That improvement is a stark contrast to the slide in overall console game revenues in the U.S., which fell 23 percent compared to a year ago in dollar sales, according to market researcher NPD.

The comScore analysis showed that gamers are increasingly opting for cheap entertainment alternatives, driven by the recession. Some analysts are expecting console games to post a 20 percent drop in game sales in June, compared to a year ago. Later in the year, a rebound is expected. NPD numbers for June console sales will be out on July 16.

Yahoo Games ranked No. 1 in the category with 19.4 million visitors (up 6 percent from a year ago), or roughly 22 percent of the online game market in May. It was followed by EA online with 18 million visitors, up 34 percent from a year ago, Nickelodeon Casual Games with 14.8 million visitors, and WildTangent Network with 13.8 milli0n visitors, up 16 percent.

GSN Games Networks grew 563 percent to 6 million visitors, thanks to the addition of partners WorldWinner.com and CrazyMonkeyGames.com. Online games are growing at 10 times the rate of the overall U.S. Internet population, said Edward Hunter, comScore director of gaming solutions. The category is expanding both through the growth of web sites and through the growth of widgets that allow games to be distributed across a variety of sites.

Viral distribution of games (where a company’s game appears on numerous different sites) is catching on. MochiMedia reached a combined audience of 16.9 million in May, greater than all but two sites in the online gaming category. Games2Win reached 1.8 million people, which compares favorably with the top 20 sites in the category, while Tetris Online reached 165,000 people.

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About the Author, Dean Takahashi

Dean is lead writer for GamesBeat at VentureBeat. He covers video games, security, chips and a variety of other subjects. Dean previously worked at the San Jose Mercury News, the Wall Street Journal, the Red Herring, the Los Angeles Times, the Orange County Register and the Dallas Times Herald. He is the author of two books, Opening the Xbox and the Xbox 360 Uncloaked. Follow him on Twitter at @deantak, and follow VentureBeat on Twitter at @venturebeat.

  • I'm surprised Facebook isn't mentioned in this mix.
  • The trend would continue. The quality of flash games is getting better.
  • Brad
    Facebook measurement needs to happen. Zynga is 200 on alexa....
  • enzogames
    All of this brought to you by the commoditization of flash games that hurt flash developers. Heck, casual games are going that way too. So quality increased but revenue went down and drove out a lot of developer(some made crap, some did not). The frequency of releases will probably go down due to the low returns, and only the big boys will be standing. I'm thinking BIgFish and Reflexive all over again.
  • lightz08
    Wow. I didn't know that console games would be affected this much by online games. Oh well, even if you ask me I'd go for online games since there's more interaction specially during grinding wow gold and raids in Ulduar.
  • fettspielen
    some are missing: addictinggames.com, y8.com, andkon.com.
  • Harvey
    Has anyone done a story about Worldwinner canceling the $100K Wheel of Fortune tournament? They announced it in a January 27 press release that's still on the website. One of the site's best Wheel of Fortune players even delayed his military enlistment so he could be around in September to play and maybe win the top prize.

    But Worldwinner decided not to run the tournament, but they didn't tell anyone. They just quietly took it off of the schedule.

    Nice.
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