Niko Partners predict new phase of MENA gaming boom
The big question around MENA gaming is no longer whether the region has a place in the global games industry. That shift is already underway. The more interesting question now is what the next phase looks like.
Some of the answers are beginning to emerge. Major esports events have given the region global visibility, but the focus is shifting toward building year-round participation and commercially viable local organisations. Governments and investors are putting substantial capital into gaming, while the industry is increasingly asking how that money can translate into sustainable studios, experienced local talent and companies capable of operating beyond individual projects.
At the same time, changes in regulation are creating new possibilities for international publishers, while Arabic localization and deeper culturalization are becoming increasingly important to reaching players across the region.
What's next for MENA's gaming boom
The developments in the region point to the MENA games industry entering a different stage of its evolution. The opportunity is no longer simply about bringing more games, tournaments and investment into the region. It is about building the infrastructure, talent and commercial ecosystem that can sustain them.
Niko Partners, a games market intelligence and consulting firm focused on Asia and MENA, has been tracking many of these changes through its research into player behaviour, spending and market development. Its data provides a useful view of how the region's individual markets are evolving and where the next opportunities are emerging for publishers, developers, investors and other industry stakeholders.
According to Danial Ahmad, Director of Research and Insights at Niko Partners, MENA is increasingly becoming part of the global games industry conversation across publishing, esports, investment and development. GCC markets bring high per-capita spending, strong government support and high internet penetration, while wider MENA offers large youth populations and deeply rooted community gaming cultures.
That combination is creating a market with considerable room to develop. The question now is how effectively the region can turn its current momentum into a lasting games ecosystem.
MENA's gaming market is growing, but its trajectory matters more than its size
Niko Partners expects MENA-3, comprising Saudi Arabia, the UAE and Egypt, to remain the second-fastest-growing region by gaming revenue behind India. Player spending across those three markets is projected to reach $3 billion by 2030, while annual average revenue per user is expected to increase by $10 over the next five years.
Against a global games industry worth more than $190 billion, that $3 billion figure remains relatively small. Daniel's point is that the opportunity lies in the growth trajectory. That trajectory is already attracting substantial investment, particularly in Saudi Arabia and the wider GCC. The next question is what happens after the money arrives. "Investment is sustainable if it can successfully create a self-sustaining ecosystem that moves beyond individual events, games, or developers," he said.
For that to happen, the region needs local studios, experienced management, publishing expertise, technical talent, education, financing and routes into international markets. The focus, he argues, is gradually shifting from the amount of capital being deployed to how effectively that capital develops companies and people capable of operating independently over the long term.
From gaming consumer to game producer
MENA remains predominantly a consumer market for international games. There are, however, signs that local development is beginning to take a larger role.
Daniel points to projects such as 1001 Threads of Mizan, recently showcased by MBC Group, as an example of the region's emerging ambitions around large-scale game development. At the same time, another part of the strategy has involved acquiring established global studios and giving them additional funding and talent, with Savvy's expansion serving as one example.
The transition from consumer market to sustainable development ecosystem will depend heavily on people. "Entry-level talent is growing, but the region still relies on imported talent to a high degree," Daniel stated.
He highlighted the development team behind 1001 Threads of Mizan, where leadership comes from the West, as one example. Yet the talent pipeline is beginning to develop through greater investment in incubators, local studios and acceleration programmes, including the current push from Merak Capital.
That makes talent development one of the clearest long-term opportunities for the region. More experienced local developers can eventually feed into studios, publishers, esports organisations and other parts of the wider games ecosystem.
Arabic localization is becoming a commercial advantage
For international publishers, reaching MENA audiences also means understanding that localization is about considerably more than translating dialogue. Niko Partners' 2026 gamer behaviour survey across MENA-3 found that accurate text translation ranked as the third most important localization factor for players before engaging with a game. Stable connectivity and dedicated servers ranked first.
A more recent survey found that 52% of players expressed a preference for Arabic when considering all available language options. That creates a clear opening for publishers willing to invest in regionalization. "Localization also goes beyond text translation: Ramadan and Eid events, Arabic voice acting, right-to-left interfaces, local payment methods, and culturally appropriate marketing can materially improve engagement," Daniel said.
The commercial impact is already visible. Niko Partners' analysis of 10 Japanese franchises launched with Arabic localization and local GCC support found a 33.2% uplift in GCC sales share compared with previous non-localized entries. All 10 franchises recorded an increase in share.
For him, the Japanese experience offers a useful framework for other global gaming companies. MENA audiences have demonstrated interest in both Western and Eastern intellectual property, creating opportunities for companies from across the global games industry. "An authentic presence can help close the gap between demand and supply by supporting accurate localization, regional operations, distribution, brand building, and audience development," he said.
Women and younger players are expanding the audience
Another shift taking place within MENA gaming is the changing composition of its audience. Women now account for more than 37% of the MENA-3 player base, according to Niko Partners' survey data, up from 32.6% in 2023. Daniel sees the increase as part of a broader expansion in access and inclusivity.
That has implications for both audience growth and employment. Expanding access to gaming, esports pathways and game development careers can increase the available player base while widening the industry's talent pool.
He also identifies multi-platform gaming and deeper culturalization as trends that could shape the next three to five years. Developers that treat MENA as a distinct market rather than simply translating existing text are likely to have more opportunities to build stronger connections with local players.
Esports needs a year-round ecosystem
The region has already demonstrated its ability to host major international esports events. The challenge now is creating an ecosystem that continues between those events.
"Major events such as the Esports World Cup create international visibility," Daniel said, "but long-term sustainability will depend on year-round participation, commercially viable local organizations and expansion across multiple Arabic-speaking countries."
That approach would give local organisations, players and communities more opportunities to develop beyond individual tournaments. It would also help connect the region's substantial event infrastructure with a deeper base of recurring participation.
Regulation is another area where the market is evolving. The Director of Research and Insights points to the introduction of a 21+ age rating in Saudi Arabia, which is higher than PEGI's 18+ rating, as a notable development. He says it can allow games such as Grand Theft Auto to launch without major content modifications, potentially giving publishers a clearer route into the market for titles that might previously have faced approval barriers.
The next chapter is about building on what already exists
MENA's gaming story is increasingly difficult to reduce to a single market narrative. Saudi Arabia, the UAE and Egypt have different player behaviours, spending patterns, demographics, motivations and barriers to play. At the same time, they sit within a wider regional ecosystem where Arabic localization, international investment, local development and esports can reinforce one another.
Daniel believes one of the biggest misconceptions among global gaming companies is that the region lacks a gaming culture or that games are viewed negatively by the broader population. He also cautions against treating Saudi Arabia, the UAE and Egypt as interchangeable markets.
The opportunity ahead, then, is less about proving that MENA can become a major gaming market. The player base, spending growth and commercial activity are already pointing in that direction.
The bigger opportunity is building the structures around it: local talent, sustainable studios, regional publishing expertise, culturally relevant games, year-round esports and stronger connections with the global industry.
That is where the next phase of MENA gaming is likely to take shape.
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