Quick Stat: U.S. Virtual Goods Market To Hit $1.6B in 2010

By Chris Sherman On January 27, 2010 · Leave a Comment

The U.S. market for virtual goods will reach $1.6 billion in 2010 with $835 million of that total generated by social gaming revenues, according to the latest virtual goods report by Inside Network. This market valuation is consistent with Engage! Digital Media's finding that $1.38 billion was invested in virtual goods-related businesses in 2009.

"With tens of millions of returning users, and millions of new visitors daily, it is no wonder that the social gaming industry saw significant M&A activity: an up-to-$400 million acquisition of Playfish by Electronic Arts, and hundreds of millions of dollars in additional venture investments. Social games are now impacting businesses across the media landscape," said Charles Hudson, VP of Business Development at Serious Business and report co-author, in a press statement.

The $1.6 billion market valuation for 2010 is up from an estimated $1 billion market valuation in 2009. Sales of virtual goods in social games were predicted as the main growth engine for virtual goods in 2010 in that report, a prediction that appears to be born out by recent growth and acquisition activity in that space.