Africa's $1.8 Billion Gaming Boom: Why Microsoft Can't Ignore Mobile

Africa's gaming industry is exploding, and Microsoft Corp MSFT might want to take notes.

A new report from Carry1st and Newzoo shows the continent's gaming revenue hit $1.8 billion in 2024, surging 12.4% year-over-year, according to Techpoint Africa.

But here's the kicker—90% of that revenue came from mobile games. Africa's gaming revolution is happening on mobile screens!

That's right, consoles and PCs are taking a backseat, and Microsoft's Xbox might need a fresh strategy to tap into Africa's mobile-dominated scene.

Mobile Gaming Reigns Supreme

Of Africa's 349 million gamers, 304 million played on mobile in 2024, growing by 32 million from the previous year.

With internet access expanding and smartphones becoming more affordable, mobile gaming has cemented itself as the go-to platform across the continent. Top-grossing mobile games like Microsoft’s Candy Crush and Krafton Inc’s PUBG Mobile pulled in $50 million and $40 million, respectively, proving that in-app purchases are big business in Africa.

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Esports, Content Creation On The Rise

Esports is another arena gaining traction. The Carry1st Africa Cup for Call of Duty: Mobile saw massive participation, further elevating competitive gaming.

African pro gamers aren't just playing—they're making serious money, with some earning over $10,000 in a single tournament.

Gaming content creation is also booming, with African streamers building strong fan bases and raking in sponsorship deals.

Microsoft's Mobile Conundrum

With Sony Group Corp SONY and Nintendo Co NTDOF NTDOY doubling down on their console strategies, Microsoft has already been shifting its focus toward mobile—its $68.7 billion Activision Blizzard acquisition was mainly about getting its hands on King (the maker of Candy Crush).

But in Africa, where PlayStation is king, Xbox needs to think mobile-first if it wants a bigger slice of the pie.

Could an expansion of Game Pass cloud gaming or partnerships with African studios be the answer?

The Bottom Line

Africa's gaming market is evolving fast, and Microsoft has a golden opportunity—if it plays its cards right. With mobile gaming leading the charge and esports gaining momentum, Xbox may need to step outside its console comfort zone and embrace the mobile revolution. If it does, the African gaming boom could be its next frontier.

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