Q1 2024 Gaming Industry Report Released,
View Here

Konvoy Ventures is a thesis driven venture capital firm focused on the video gaming industry. We invest in infrastructure technology, tools, and platforms.

Console Hardware Spend

Console hardware sales, League of Legends viewership

Console Hardware: U.S. Consumers Waiting

Console consumers in the U.S. are starting to taper off on their hardware spend until the next generation of Xbox and PlayStation come out at the end of 2020. This behavior is expected and is showcased by the decline in console hardware sales in 3Q19 (-22% y/y) compared to 3Q18. Microsoft and Sony have been teasing their upcoming consoles for quite some time now and it looks like the gaming community has finally decided that it’s worth the wait. Nintendo Switch sales also declined by 23%.

However, this didn’t stop U.S. consumers from finding ways to spend their money in the gaming vertical. In Q3, U.S. gamers spent $9.18B led by $8.1B on video game content (up 3% compared to Q3 in 2018) which consists of digital console content, subscriptions, and mobile games.

Takeaway: consumer spending behavior within gaming constantly changes, yet consumers seem to be willing to simply shift that expenditure from hardware to another part of the ecosystem (instead of withholding it altogether).

League of Legends Finals: + 80% viewership

The championship for League of Legends this week saw an +80% y/y increase in peak viewership from 2018 (2M) to 2019 (3.7M). Hours watched was up more than 2x while average minute audience was up 84%.

For context, the NHL finals’ peak viewership was up a similar amount of 92% from 5.4M (2018) to 10.4M (2019). Both the NHL and League of Legends are appealing to an audience that wants a more fast paced viewership experience. It's not suprising to see similar growth rates for each, respectively.

Console Hardware Spend

Console hardware sales, League of Legends viewership

Welcome to Game Changers, the podcast that takes you beyond the games and into the heart of the gaming industry's future. Brought to you by Konvoy, a Denver-based venture capital firm investing in the platforms and technologies at the frontier of gaming. This podcast is your backstage pass to the pioneers, innovators, and visionaries who are redefining how we play and experience these virtual worlds.

In each episode, your hosts—Josh Chapman, Jason Chapman, and Jackson Vaughan, the founders of Konvoy — invite you to join them for candid and open conversations with the industry's most influential leaders. These guests are the “Game Changers”, the masterminds behind the scenes who've built remarkable enterprises and continue to push the boundaries of what's possible for our industry.

Whether you're a gamer, a tech enthusiast, or a startup aficionado, the Game Changers podcast offers valuable insights, inspiring stories, and exclusive access to the minds shaping the future of the gaming industry. Join us as we explore who these Game Changers are, what they've built, and what they're doing now.

Are you ready to level up your understanding of the gaming industry? Subscribe now to "Game Changers" and embark on a journey that goes beyond the screen to uncover the stories behind the gaming world.