According to search firm Ovum, says that digital game revenues worldwide will reach $24 billion for 2011, an increase of 16 percent over 2010. They expect that number to climb to $53 billion by 2016 as more casual, social and mobile games hit the market and with more free-to-play games proliferating.

Ovum also notes that mobile games are expected to increase 26 percent annually between 2011 and 2016. With the margin on digital games increasing over retail from 20-30 percent range to 50-75 percent, the advantages for publishers and developers are many fold. “The use of ‘online passes’ that are increasingly required for network gaming are also reducing the threat posed by pre-owned games,” Ovum notes.

Source: Ovum