Brazil is the largest and most influential country in Latin America, with a very dedicated and hardcore base of gamers. The Latin American games market in general is the second fastest growing sector in the world (Dring, 2016). The region, which includes Argentina and Mexico, was projected to generate $4.55 billion in revenue in digital gaming in the year 2020. By 2023, that value is expected to grow to $6.29 billion (Statista, 2022). While the console segment, of which PlayStation is a part of, continues to grow in the region, mobile has been and continues to be the fastest growing video games segment (Dring, 2016).

With regards to the singular Brazil itself, 74.5% of the population play electronic games, with 62.7% of players being middle class. Lower-middle class account for 11.6% of players in the country (LABS, 2022). Mobile is the preferred gaming platform of choice, with 48.3% of gamers using smartphones. Computers (PCs) and consoles follow with a usage rate of 23.3% and 20%, respectively (LABS, 2022). Further, as quoted by LABS:

“It is also on mobile that Brazilian players spend more time. Those who play daily do so mainly on their smartphone (33.2%). Computers and consoles only stand out when the game period is longer (one to three hours in a row). Brazilian gamers are also increasingly used to playing online: 36.9% play online daily, and 28.7% play online three to six days a week” (LABS, 2022).

With the extremely high import taxes on products levied by Brazil, there is little traction gaining for the newest consoles due to unattainable pricing for the majority of Brazilian gamers (DFC, 2013). They are not particularly interested in adopting the current generation of consoles, and are perfectly content with staying a generation or two behind (Dring, 2016). This is also a possible reason as to why mobile adoption is significantly higher than console—mobile is more affordable and has more versatility as a general utility device as opposed to a games console.

Outside of the gaming space, Brazil has the largest online population in Latin America, with 51% owning a smartphone and 152 million people connected to the internet (Ebanx, n.d.).

These unique factors present a unique opportunity for SIE to expand its services and operations in Brazil that could yield substantial revenue and pave the way for a similar business model to be repeated in other emerging regions with similar circumstances such as South Asia. India, in particular.