Since the first commercially viable console, the gaming industry has never stopped evolving. One could call it a continuing revolution, where newer models used to top their predecessors by doubling up their features. It was a different time when there was still plenty of room for growth in storyline, graphics, gameplay, and multiplayer options.
Definitely, it’s not so simple to do it today, given the level of consoles like PlayStation and Xbox. They can even support games with 8K graphics; think of The Last of Us Part II or Microsoft Flight Simulator 2025. Still, there’s always room for improvement in the digital world. Here are some of the most critical developments in the gaming industry this year, and what the next level looks like.
Entering a New Stage
This may not have been the year when a groundbreaking console came out or when gaming characters that will define a generation, like Super Mario or Zelda, debuted. Still, it has been an eventful year for developers and players alike. Arguably, one of the most consequential changes was the shift towards cloud gaming and AI integration. It can be seen on widely different platforms, from the Arctic Casino to Game Pass.
Undeniably, cloud gaming and AI have greatly improved the gaming experience for customers. Thanks to the first, players no longer need consoles or next-generation devices to play a digital game. Meanwhile, artificial intelligence unlocks unprecedented levels of customization, creating a unique journey for each player based on factors such as tastes and habits.
Additionally, about 52% of developers in this industry use AI, according to a recent survey. This number represents a massive increase compared to the last year. Indeed, it’s hard to imagine a future without AI being involved in every step of the development process, in one way or another.
Parallel Realities
VR and AR used to be very niche (and expensive) gear, but not anymore. These gadgets experienced explosive growth globally in 2025. Competition among big techs has consistently driven prices down over the past few years, thereby expanding the user base. The growing user base for VR/AR devices fertilizes the ground for a new generation of games to sprout.
Marvel’s Deadpool, Civilization VII, and Alien: Rogue Incursion are just some of the titles released in 2025, notable for their VR-first approach. While a VR headset immerses the user in an entirely virtual world, AR glasses project digital objects into the player’s surroundings, whether a living room, a garden, or elsewhere. AR glasses have been commonly used in integration with virtual board games.
User-Generated Content (UGC)
Users no longer want to be passive consumers of content. In fact, a growing number of players enjoy creating their own content in digital studios on Roblox, in Minecraft, or in Fortnite’s Creative Mode. Creating a new game can be a fun pastime or a serious business. In fact, there’s an entire market for UGC game platforms with a projected CAGR of 30% by 2033.
As the numbers suggest, UGC games will likely increase their presence in the market, potentially challenging traditional games in terms of engagement and popularity. The rise of UGC is part of a larger phenomenon, the so-called “creator economy.” Here, individual creators can distribute and monetize their games autonomously.
What Lies Ahead
It can be tricky to play futurology when it comes to technology. The technology that’s commonplace in the industry today would be something akin to science fiction about 30 years ago. However, hinting at the most relevant trends for the next year shouldn’t be that complicated.
Competition Among Platforms
The fierce competition among gaming platforms such as Game Pass, Steam, and PlayStation will likely continue in 2026. Subscription value and game variety remain the core criteria for choosing the best one, such as which one offers the latest title in the GTA franchise.
Developers aim for platforms that treat devices with different capacities and settings equally. However, major platforms (like those previously mentioned) aren’t alone in the game. Fortnite, Roblox, and Minecraft continue to attract players seeking the next top hit before it becomes cool.
Web3
Some platforms have been experimenting with blockchain and cryptocurrency integration, breeding quite innovative gaming formats. Thanks to this integration, players can now claim ownership of in-game assets that have been turned into NFTs. Players can trade them for both crypto and fiat currencies on digital marketplaces; hence the play-to-earn model.
Additionally, this model supports microtransactions, allowing players to spend as little as a penny per transaction. Microtransactions are nearly impossible with fiat currency, but seamless with cryptos and NFTs. Blockchain-based games are still relatively niche, but this reality is likely to change within the next few years.
Hybrid Monetization
Away from the spotlight of AAA games, there’s a humble but vast class of games dominating casual gaming. The so-called “freemium” model is available to download and play for free. Yet they offer premium features and exclusive benefits to those willing to endure lengthy ads. According to a recent survey, nearly 60% of gaming developers also work on freemium projects.
Freemium games represent a significant portion of the mobile gaming market, mostly living from ads and in-app purchases. It’s tricky to find the right balance between monetization and free play; too many ads scare players away, while too few wouldn’t make it commercially viable.
The Player’s Era
Beyond nearly cinematic graphics and (360-degree deep) immersive gameplay, developers endeavor to create collective experiences in the digital world. Playing is no longer a lone activity between a human player (or two) against a machine. Instead, global communities meet in virtual arenas, trade items, and collaborate towards shared goals.
Indeed, gaming has never been so social, and, thankfully, technologies like VR and AR are bringing players even closer together. As this niche continues to expand at staggering speeds, the developments that will likely roll out in 2026 are already happening now. Web3-related innovations like blockchain-based games and microtransactions have already bred new and revolutionary kinds of gaming; who knows what’s waiting around the corner?
