Jan 23 Reuters A recovery in the global videogame market is expected to pick up pace this year on the back of strong sales of Microsoft39;s Xbox and Sony39;s PlayStation 5 consoles, according to research firm NewZoo.

The market is set to grow 2.8 to 189.3 billion in 2024, after it rose around 0.6 last year and ended a postCOVID decline that had led to layoffs at several videogame firms, NewZoo said.

After two years of pandemicfueled growth, the gaming market fell 4.3 in 2022, according to an earlier NewZoo report, as gamers grappled with high interest rates, stubborn inflation and a lack of big titles.

The recovery in 2023 was driven by the release of several big titles, including Electronic Arts39; Star Wars Jedi Survivor and FC 24 soccer title, as well as Hogwarts Legacy from Warner Bros Discovery.

Even though this year39;s release catalog is expected to be less impressive than 202339;s absolutely packed schedule of muchanticipated hits, liveservice games and back catalog sales will drive growth in console sales in 2024, NewZoo said in a report.

The prediction mirrors the view at Sony, which expects to sell 25 million units of its PlayStation 5 in the 12 months ending March thanks to a new, slimmer version of the device.

Liveservice games, such as Epic Games39; Fortnite, have become a major driver of gaming revenue in recent years as their freetoplay model and content updates attract a large number of users and keep them engaged.

But there are signs the model…