Fortnite console revenues dip in January 2020, drop segment earnings

Fortnite revenues dip on the game's most lucrative platform, causing substantial slide in digital F2P console earnings.

@DeekeTweak
Published Fri, Feb 21 2020 1:16 PM CST   |   Updated Sat, Aug 8 2020 10:29 AM CDT

On the heels of Fortnite's big season 2 reveal, analyst firm SuperData notes a marked drop in digital revenues through January 2020.

Fortnite console revenues dip in January 2020, drop segment earnings 37 | TweakTown.com
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Still a titan of the industry with $1.8 billion earned in 2019, Epic's battle royale sensation Fortnite kicked off 2020 with reduced revenues. The weight of Fortnite's earnings slide has pulled down the entire free-to-play console segment by 42%, analyst firm SuperData notes.

"Console spending was down a steep 42% in the free-to-play segment (due to lower Fortnite revenue) and down 19% in the premium space," the firm wrote in its recent January 2020 worldwide spending analysis.

This earnings dip continues a trend loosely hinted by Microsoft throughout 2019. In its Xbox earnings report, the company cited losses of platform revenue due to the absence of a big third-party title, which was likely Red Dead Redemption 2, as well as a reduction in the F2P sector.

It's possible that Fortnite's popularity is waning--at least on the Xbox console platform.

Fortnite's big season 2 update should boost earnings for a while, at least temporarily. It's worth noting the game's earnings are in flux and shift depending on the AAA games market, but on a whole the BR delivers consistent revenues that help drive both the PlayStation and Xbox Stores.

A 13% mobile earnings spike helped offset this drop in the F2P segment, and all-told the global digital games market pulled in $9.4 billion in January 2020, up 3% year-over-year.

The arrival of Activision's upcoming free-to-play Call of Duty Warzone battle royale game could massively catalyze console F2P earnings throughout the year, but the mode isn't expected to arrive until March.

Fortnite console revenues dip in January 2020, drop segment earnings 235 | TweakTown.com
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Derek is absorbed with the intersection of technology and gaming, and is always looking forward to new advancements. With over six years in games journalism under his belt, Derek aims to further engage the gaming sector while taking a peek under the tech that powers it. He hopes to one day explore the stars in No Man's Sky with the magic of VR.

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