South Africa has the largest economy on the continent in terms of nominal GDP, and its companies are positioned advantageously in a range of industries. Online gaming is no different. Although they are closely followed by Nigeria and Egypt, which have fast-growing economies, South Africa remains the hub for several Africa-based industries.
Online gaming has more of an online, global presence than one specific to South Africa. While some laws and regulations help to provide a foundation and blueprint for online gaming companies, particularly for online gambling companies looking to set up and thrive in SA, they are primarily competing against a broad global market.
That’s not to say that nuances in the SA market haven't helped shape it into the multibillion-dollar, thriving industry it is today. However, the rise of online gaming in South Africa coincides with and mirrors the global trend. Online casinos are a microcosm of the international market, but the same statement applies to online video gaming.
Early days of online gaming
In the formative years of the online gambling market, the first country to make a serious mark was the UK, which launched the UK Gambling Act 2005. Several countries quickly took this as an example and regulated their industries. South Africa was one of the first in Africa to follow suit when the National Gambling Amendment Act 2008 was enshrined into law.
As this trend continued to grip the online market, more countries soon followed. More recently, the US and Canada have become two of the biggest economies that have embraced the idea of a fully functioning and regulated online gambling market. South Africa positioned itself early, and this early conviction has paid dividends.
Mettlestate and 24 Bit Games are the providers that are allowing the South African gaming market not to become too overly reliant on casino gaming, ensuring that it becomes multifaceted and internationally competitive on several fronts.
Signals of market strength
A multibillion-dollar market doesn’t simply emerge overnight – there are a multitude of factors that lead to the creation of such a flourishing industry. Online gaming in South Africa might follow the same playbook as other countries that launched online gambling beforehand. However, casino gamers in SA also benefit from having expert opinions and reviews at their fingertips.
Over many years, the experts at playcasino.co.za have collated a range of variables that they deem the basic requirements that signal a casino has a bit more to offer ahead of its competition.
Expert review sites specialize in and review South African providers. However, with the broader online gaming world collectively moving toward review sites and seeking out expert reviews, this has resulted in a glut of casino experts throwing in their two cents about the latest platform or gaming innovation.
Not only does this allow South African casino gamers to understand the variables that constitute a highly rated platform, but it adds further legitimacy to the sector, with a raft of experts now reviewing casino gaming platforms as their full-time jobs. Expert review sites started to appear in the mid-2000s, but they now make up a significant part of research and allow consumers to make informed decisions.
The broader online gaming market in South Africa has different strengths, with social media influencers, Gen Z game designers and overseas investment signaling just how confident the market is that it will continue growing over the next decade.
The rise of the smartphone
We can’t discuss the rise of online gaming in South Africa without exploring how smartphones have transformed the market. Some gamers and those in the industry place online gaming on PCs and video gaming consoles, and smartphone/mobile app gaming into two distinct cat\
Although South African smartphone ownership is much smaller than in countries like the US and the UK – it is still around 40% – it’s a number that continues to rise. That’s not to say that all South Africans who own a smartphone will play mobile games or gamble using their smartphone, but given the ease of use and the fact that investment has continued to soar, the future of the industry in South Africa is looking bright.
The future of online gaming
Experts are divided on which element of online gaming will become the most influential. Some say AI, while others believe VR could make the biggest changes. It’s likely to be a combination of the two.
AI investment has dominated the business news over the last year or two. While it will play a big role in gaming development, the more evident changes could be in VR gaming, if headsets take hold in the South African market.
At the moment, the VR headset theory seems unlikely, given how expensive they are. They might have come down in price over the last 18 months, but that’s because the market is becoming saturated with the devices, and there’s currently a surplus. These are not the symptoms you would expect to see in a budding market, but as we know, the market can turn quickly with gaming trends.
Final thoughts
Irrespective of whether it’s home video console gaming or the more specific areas of online casino gaming, there’s no denying that many parts of the South African gaming market have ridden the wave and followed the pathway that larger gaming markets such as the UK and US have set over the last 30 years.
Online gaming in South Africa continues to be a huge part of the entertainment industry. While SA might not be a global leader for now, there are more than enough pioneering companies and innovators for it to become a hub of gaming creativity on the continent.
As we move into the future, the development of South African gaming is unlikely to deviate from the broad global trends, simply because that is where the bulk of the investment will lie. A mountain of investment is being poured into AI and VR, so the next logical step from here is that the gaming industry will follow suit – and if it does, then the South African market will follow the same route.