Apple's Revenue From Gaming In FY19 Is Greater Than Microsoft, Sony, Activision And Nintendo Combined- Header

Apple’s Revenue From Gaming In FY19 Is Greater Than Microsoft, Sony, Activision And Nintendo Combined

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Apple’s profits from gaming outweighed some of the major gaming companies, a report claims.

According to a report, Apple has earned significantly from the games on its App Store in the fiscal year 2019 than companies like Microsoft, Sony, Activision and Nintendo combined.

A vast amount of data and evidence was discovered during the Epic vs. Apple lawsuit. Close examination of these data and insights have indicated that the latter’s profits from gaming, overtakes the revenues accrued by several heavyweights in the gaming industry; that includes Microsoft, Sony, Activision and Nintendo.

According to an analysis made by the Wall Street Journal, the operating profits that the company had collected in the fiscal year 2019, from gaming amounts to $ 8.5 billion. This analysis had, however, been discarded by the company during the trial stating that these margins were not correct and were significantly higher than the real numbers.

This report has claimed that the figure based on gaming is an estimated $ 2 billion higher than the operating profit that Microsoft, Sony, Activision and Nintendo generated collectively in the same twelve month long period, from games. While the data from the gaming companies were collected from their company filings, the data for Microsoft was arrived at from an analyst estimate.

Apple's Revenue From Gaming Greater Than Several Major Names In The Gaming Industry

Apple's Revenue From Gaming In FY19 Is Greater Than Microsoft, Sony, Activision And Nintendo Combined- Inner

On Friday, Apple stated that the operating margins that had been discussed during the trial were obtained from an analysis and it hadn’t taken into consideration the various joint costs which are associated with its App Store. In all effectivity, this analysis had included every game related revenue however it included only an insignificant fraction of the cost possible.

The analysts opined that gaming makes up the majority of the revenue collected from the App Store. According to data from Sensor Tower, Apple had received from the App Store, an estimated revenue of $ 15.9 billion for the year. About 69% of this total figure came from gaming alone. Taking into consideration the data from the court as well, it was implied that the operating profit for the App Store for the year was $ 12.3 billion. This accounts for about one-fifth of the total operating profits.

Irrespective of the manner in which this breakdown is performed, it is clearly evident that Apple is a very major and indeed significant force in the gaming industry. The company has even outpaced the mainstay companies that are synonymous and big names in console gaming.

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Source: Wall Street Journal