One of the biggest storylines in gaming and across the world in 2020 was COVID-19. The global health crisis was and remains a gigantic issue that has thrust the world into a new paradigm. This has affected the video game business in a multitude of ways.
One of those was how it forced the cancellation of, or resulted in major changes to, multiple major video game events, the first major one of which was PAX East in Boston.
The event was scheduled for the end February, and while it did in fact go ahead, many publishers and developers pulled out. The companies behind Cyberpunk 2077, The Last of Us Part II, and PUBG all cancelled appearances and events for the convention, while numerous others chose not to attend due to concerns about the virus.
The string of cancellations for in-person gaming and entertainment events continued from there. With the virus spreading, the organizers of E3 2020 announced in March that the annual gaming event in Los Angeles would be cancelled due to concerns over health and safety. It was a momentous change, as E3 had been held annually and continuously for 25 straight years before this. While E3 2020’s in-person show was canceled, the summer was not without news events.
Instead of a concentrated week-long run of news briefings and press conferences, publishers like Microsoft, Sony, Ubisoft, Devolver, and others held their own individual virtual events that were spread through the summer months and streamed online. These events brought news about the prices and release dates for the PS5 and Xbox Series X|S, the announcement of games like Skate 4 and Far Cry 6, and new footage and details on Cyberpunk 2077, among other games.
COVID-19 also led to major changes in how developers operate. At various points in the first half of 2020, developers big and small shifted to a work-from-home setup. With physical recording studios closed, . Due to the challenges of working in this environment, multiple major games faced delays, including the marquee Xbox Series X launch title, Halo Infinite, as well as The Last of Us Part II, Wasteland 3, NHL 21, World of Warcraft: Shadowlands, Far Cry 6, and Rainbow Six Quarantine. Some game developers, like Square Enix, have announced plans allow their developers to work from home permanently as a result of the pandemic, and more may follow.
Despite the challenges related to COVID-19, both Microsoft and Sony successfully released their next-generation consoles, and both are selling well. In fact, they have been so popular that both companies have sold through all their stock and new orders sell out immediately. The consoles haven’t been without issue, however, as reports have emerged about various issues such as crashing and problems with the PS5’s rest mode, in particular. Whether or not these issues are related to COVID-19 or are just the normal teething issues with new hardware, it’s not immediately clear.
With so many people staying home during the pandemic, either voluntarily or under shelter-in-place orders, time spent gaming and revenue from gaming increased dramatically. All major publishers reported a surge in sales and play time due to the virus. Gaming revenue is expected to reach new all-time records for sales this year due to the pandemic.
