What is Animation, VFX & Game Market?
The display of static images to create the illusion of motion is known as animation. Animation refers to the stimulation provided by a series of images. It is the process of designing, drawing, preparing layouts, and preparing sequences for use in gaming products. Visual effects (VFX) is a process that combines digital and traditional art to create something that is not a character or an object. It has the ability to produce both explosive and enthralling experiences. It is used to keep users engaged and involved in movies and video games. Because of the increased adoption of visual technology, there is a growing demand for animation, VFX, and games. Demand for visual technology services is expected to be driven by a preference for realistic images, films, and games. The consumer gaming experience has given rise to 3D gaming with the help of 3D animation technology, which is expected to increase service demand. This is expected to enable and generate profitable opportunities during the forecast period.
Highlights from Animation, VFX & Game Market Study
|Unit||Value (USD Million)|
|Key Companies Profiled||Walt Disney Animation Studios (United States), Microsoft (United States), Sony (Japan), Warner Bros. (United States), Tencent (China), Activision Blizzard (United States), Nintendo (Japan), Netease (China), NBCUniversal (United States), Framestore (United States) and TOEI ANIMATION (Japan)|
The market has seen a massive investment in technology for better graphics and development which has driven the market growth. Massive investments and disruption of the digitization in the smartphone, PC, and console industries in the market have seen a majority growth in players. Government regulations and interference with mental health have been a challenge for log as well as the pandemic has affected the supply chain of consoles and other hardware. Whereas the big players have tried to develop by mergers and acquisitions and investments in developing better technology to keep up with the competition and hold a higher position in the market. Research Analyst at AMA predicts that United States Vendors will contribute to the maximum growth of Global Animation, VFX & Game market throughout the forecasted period. Walt Disney Animation Studios (United States), Microsoft (United States), Sony (Japan), Warner Bros. (United States), Tencent (China), Activision Blizzard (United States), Nintendo (Japan), Netease (China), NBCUniversal (United States), Framestore (United States) and TOEI ANIMATION (Japan) are some of the key players profiled in the study.
Animation, VFX & Game Market Segmentation:
|Application / End User||Anime, Film, Video and Games|
|Type||2D Animation, 3D Animation, Stop Motion, Motion Capture and CGI|
On the basis of geography, the market of Animation, VFX & Game has been segmented into South America (Brazil, Argentina, Rest of South America), Asia Pacific (China, Japan, India, South Korea, Taiwan, Australia, Rest of Asia-Pacific), Europe (Germany, France, Italy, United Kingdom, Netherlands, Rest of Europe), MEA (Middle East, Africa), North America (United States, Canada, Mexico). Additionally, the rising demand from SMEs and various industry verticals gives enough cushion to market growth.
- Increasing Adoption of Video Streaming Services Has Been Driving the Market Growth.
- Increase in Popularity of High Integrated CGI and VFX Movies and Series.
- High Initial Cost of Investments for Technological Requirement.
- Integration of Advance Graphic Technology and Disruption of Smartphone Industry Will be Generating Many Opportunities for Gaming and Movie Leading to a Need for Better Animation, VFX & Games.
- Not Many People with Knowledge or Skills.
Market Leaders & Development Strategies
AT&T’s WarnerMedia unit and Discovery have completed their merger, the companies said in April 2022. In May last year, the companies set out to merge and become a standalone media business, with AT&T aiming to focus more on its wireless ambitions and Discovery looking to beef up its content library. Warner Bros Discovery’s portfolio includes Discovery Channel, Warner Bros. Entertainment, CNN, HBO, Cartoon Network; streaming services Discovery+ and HBO Max; and franchises like “Batman” and “Harry Potter”.
In April 2022 Indian Government Centre constituted an Animation, Visual Effects, Gaming and Comics (AVGC) Promotion Task Force to recommend ways to realize and build domestic capacity for serving the country’s domestic market and the global demand. The task force will be headed by the Information & Broadcasting Secretary
UK Screen Alliance continues to monitor the ongoing effectiveness and competitiveness of the UK tax reliefs applied to post and VFX, as other territories increase their own incentives. Productions can claim 25% tax relief on their UK spending via the FTR, HETR, ATR, or CTR incentives. However, the relief is capped once production has spent 80% of its budget in the UK. Any UK spending beyond 80% receives 0% relief. Often this impacts the VFX spending in the UK, a part of the production process which is easily transferred to another territory, where further tax incentives can be claimed.
Key Target Audience
Game Developer, Animation Companies, VFX Companies, New Entrants and Investors, Legalized Cannabis Distributors and Suppliers, Venture Capitalists, Government Bodies, Corporate Entities, Government and Private Research Organizations and Others