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Amidst a extra optimistic prediction that, in comparison with 2024, the worldwide PC gaming {hardware} market “will grow 35% in 2025 to $44.5 billion”, Jon Peddie Research also foresees a “significant decrease in entry-level PC gaming over the next five years.”
Dr. Jon Peddie, the analysis centre’s president, explains: “We are forecasting a significant decrease in entry-level PC gaming over the next five years, with a projected reduction of the entry-level PC gamer population by approximately 13%. Included in this drop are over 10 million people leaving the PC platform entirely. Consoles, handhelds, and mobile all offer compelling value for the budget-limited gamer.”
It’s not all right down to folks upping and leaving, although: “A few million entry-level defectors are not actually leaving the PC platform but are migrating to the more expensive hardware tiers of midrange and high-end PC hardware.”
JPR appears to place no less than a few of this right down to the upcoming ending of support for Windows 10:
“Never before in the history of the Microsoft Windows operating system has there been a forced hardware migration requirement. And this cannot be solved by swapping out a graphics card. It requires a CPU upgrade for over 100 million gamers, which, in turn, requires a motherboard upgrade and most likely RAM as well.
“We are observing that most PC gamers are simply buying new prebuilt systems. The DIY gamers are also prepared for this transition, and many have been building new computers alongside their existing Windows 10 PCs, instead of trying to Frankenstein their current systems. This allows them to continue using their PC until their Windows 11 builds are complete.”
JPR is here referring to the fact that Windows 11 has stricter hardware requirements than Windows 10. Windows 11 officially requires TPM 2.0, one thing that solely comparatively newer CPUs and motherboards assist, which supplies a further layer of hardware- or firmware-level safety.
As such, those that are utilizing an previous system with Windows 10 put in must improve their total {hardware} platform in the event that they need to improve in an official and commonplace technique to Windows 11 and preserve their OS updated.
These older techniques will, by right now’s requirements, most certainly be entry-level ones. This is why JPR predicts a “significant decrease” in gaming on such techniques, as many who really feel compelled to improve to get onto Windows 11 will “migrate to the more expensive hardware tiers of midrange and high-end PC hardware.”
Much will depend on how we’re defining “entry-level”, “midrange”, and “high-end” right here, in fact. In the present market, even with many GPU costs seeming to return to MSRP, it is onerous to not grimace at calling any piece of current-gen or previous-gen {hardware} “entry-level.” Still, that is the truth.
It’s price noting, although, that Windows 10 avid gamers do not have to improve their {hardware} to get onto Windows 11. You can simply modify the Windows 11 set up file a bit of to skip the TPM requirement test, or edit a few registry keys to the identical impact. I’m unsure whether or not JPR has accounted for the likelihood that some Windows 10 avid gamers may try this.
Whatever the case, the forecast for the general PC {hardware} market outlook is nice: Up from lower than $34 billion in 2024 to over $44 billion in 2025, $46 billion in 2026, after which round these $44–46 billion ranges for the couple of years thereafter. That’s a lot better than it going the opposite manner.
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