Gaming Industry Spreads its Wings into the Middle East

The gaming industry in the Middle East is currently valued at around $5.71 billion, but experts predict it will reach more than $9.6bn by 2028.

That accounts for an impressive annual growth rate of 11 percent between 2023 and 2028, which is fuelled by several factors, including the COVID-19 pandemic.

The lockdown during that period forced people to turn to gaming for entertainment. When restrictions were lifted, online gaming had taken root in the region.

The United Arab Emirates (UAE) is leading the charge in the Middle East’s fast-growing gaming market, after pouring billions of dollars into the industry.

They have operated a blank cheque policy in a bid to bolster their status as a hotspot for gaming, and it has worked a treat, putting them on the map as a premier gaming destination.

They also plan to nurture local talent, which points to a promising future for the gaming sector, and it wouldn’t be surprising if it became the next big thing in the Middle East.

The Emergence of eSports in the Middle East

Professional gaming is one of the fastest-growing sectors in the Middle East. There are over 377 million gamers across the region, making it one of the most exciting new markets.

Riyadh recently hosted the first-ever eSports World Cup (EWC), bringing together thousands of players, fans and gaming companies from around the world.

The successful EWC came on the back of last year’s Gamers8 festival, which put $45 million up for grabs in Saudi Arabia, showing just how serious the region is about eSports.

Saudi Arabia will come to the fore once again next year, with the Kingdom set to host the first-ever Olympic eSports Games.

Qiddiya City will launch the world’s first Gaming and eSports District, featuring four venues and providing room for 73,000 spectators.

Meanwhile, the UAE isn’t far behind, with True Gamers announcing plans for a $1bn‘eSports island’ in Abu Dhabi. The island will include a digital technology workspace, a resort, training and meeting spaces, and a multi-use eSports arena.

Abu Dhabi has already hosted international eSports events such as the Blast Premier World Final, and the new island is expected to attract even more global attention.

iGaming Could be the Next Big Thing in the Middle East

The iGaming sector is on track to become more mainstream in the Middle East, given the regulatory wind sweeping through the region

Unlike eSports, the Middle East has traditionally had a complicated relationship with gambling, but countries are starting to warm up to its potential benefits.

Saudi Arabia is one of those that have maintained their stance on gambling despite watching the UAE legalise lotteries and casino-style gambling.

Their strict restrictions due to religious and cultural laws have made it difficult for iGaming companies to operate directly within the country.

However, Arab players to get in on the act can still find an online casino in Saudi Arabia, although they are regulated by foreign operators, which allows players to circumvent domestic rules.

Many of these gambling sites are licensed in jurisdictions such as Malta, Gibraltar and the United KIngdom, which are regulated environments that prioritise fair play.

This set-up allows Saudi citizens to enjoy the thrill of casino gaming within a controlled and regulated framework, albeit through foreign operators.

The demand for gambling and other related activities in the Middle East is growing, especially among the younger, tech-savvy population.

The UAE have already made the bold move, and once they start reaping the benefits, other nations will likely follow in their footsteps.

A Region Set to Redefine Global Gaming Trends

Major corporations are taking notice of developments in the Middle East, with Saudi Arabia’s Savvy Games Group pouring nearly $38bn to develop the industry further.

The Gulf Cooperation Council (GCC) countries, especially Saudi Arabia and the UAE, are driving much of this growth and are working together to establish the region as a global eSports centre.

Dubai’s Crown Prince launched a $1bn gaming initiative to boost the city’s economy, while Saudi Arabia wants to attract 250 gaming companies and create thousands of jobs by 2030.

Unsurprisingly, technology has also had a hand in reshaping the gaming scene. Mobile gaming has become highly sought after by people of all ages thanks to smartphone usage, which has reached an astonishing 92% percent of people in the Middle East.

Meanwhile, eSports and brand partnerships with brands such as KitKat and Crocs show the rising influence of gaming in marketing.

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