Business Report Opinion

Gaming as strategy: how a fast-growing sector could leapfrog South Africa forward

Bandile Phuthuma|Published

Gaming today is a billion-dollar industry, says the author.

Image: AFP

South Africa is standing at a defining moment. For generations, our growth has been tied to mining, manufacturing, and heavy industry — vital sectors, yes, but costly, resource-heavy, and often slow to create the kinds of broad, future-facing jobs our young population needs. Meanwhile, a new global engine is roaring ahead: gaming.

Once dismissed as teenage pastime, gaming today is much more. It is a billion-dollar industry, a platform for technology innovation, a competitive sport, a tourism drawcard, and even a classroom tool. With the right choices in policy, education and investment, South Africa can do more than join this global wave — it can ride it to rebrand itself as Africa’s creative-technology hub, unlocking jobs, exports and skills development along the way.

A booming market we cannot ignore

The numbers alone tell a powerful story. In 2024, the South African gaming market was worth just over $1 billion — and it is on track to more than double within a decade. Across Africa, mobile-first adoption, fintech innovation and growing infrastructure are fuelling double-digit growth. Globally, games remain one of the strongest pillars of the trillion-dollar entertainment sector, strengthened by digital platforms and artificial intelligence.

The video game industry is bigger than film, music, the NFL and the top 5 European Soccer Leagues combined, an industry that cannot be ignored. In South Africa we have more than 26 million people playing games, 3.38 billion people play games that is half of the world population play video games. Africa & Middle East have the second highest population of Gamers globally and the fastest growing market globally!

Africa & Middle East generate lowest revenues globally but still fastest growing.

Opportunity: Localisation of gaming content could significantly influence this positively if we focus on catering for local market over long term (10 – 15 years). If we start now we will be the leader in Africa! Gaming Revenue in South Africa R5 billion (2022). Revenue from the South African market is going offshore. In other words: gaming is not a side-show. It is one of the defining industries of the 21st century.

Why gaming is a strategic lever

Gaming matters not because it entertains, but because it connects — across skills, industries and communities.

 Building skills for the future: Designing a game calls for coding, storytelling, 3D art, animation, sound engineering and user testing. These are the same skills our digital economy is desperate to cultivate. In classrooms, game-based learning can make maths, science and problem-solving engaging in ways textbooks rarely can. Investing in gaming education means investing in a workforce that can thrive in an AI-driven economy.

 Engaging youth through esports: Competitive gaming is no different from traditional sport in its structure — leagues, sponsorships, media rights and careers for players, coaches and content creators. Imagine South African schools with esports leagues feeding into national competitions, providing young people with purpose and career pathways.

 Tourism and events: Local conventions such as rAge Expo, Comic-Con Africa, AfricaGames Week, AVIJZO and Joburg Games Fest already draw tens of thousands of attendees. These aren’t just weekend distractions — they are magnets for tourism revenue, platforms for showcasing local studios, and opportunities for South Africa to put itself on the global entertainment map.

 Cultural exports: Games are digital goods that scale globally. A well-designed title rooted in African mythology, languages or aesthetics could resonate with audiences worldwide, while also giving South Africa a differentiated edge in the creative economy.

South Africa’s head start

We are not starting from zero. Our universities are producing skilled coders and designers. Our fintech sector enables easy micro-transactions. Our festivals already prove the size and energy of our gamer community — rAge alone has seen over 30 000 visitors, while Comic-Con Africa pulls tens of thousands more. Events like Africa Games Week show that regional collaboration is already under way. These are strong foundations.

The education-first playbook

But to transform gaming into a true engine of growth, South Africa must put education first:

 Curriculum integration: Treat games as a learning toolkit, not a distraction. Introduce game design, coding, 3D art and project-based learning early, creating a progressive pathway into tertiary studies.

 Vocational pipelines: Not everyone will be a lead developer, but many can become technical artists, testers or event technicians. Structured apprenticeships can bridge school to studio.

 Game labs and hubs: Shared facilities in major and secondary cities can reduce costs, foster collaboration and attract investment.

 Esports in schools: Certified coaching, leagues and tournaments can professionalise the sector and create future career opportunities.

 Authentic African storytelling: Grants should prioritise games that celebrate local languages, histories and cultures — a competitive strength in a crowded global market.

Policy and investment enablers

Government has a critical role to play:

 Tax incentives for game production, similar to those already boosting the film industry.

 Broadband investment targeted at gaming clusters.

 Matched funding for indie studios.

 Public procurement of games for education, training and tourism promotion.The private sector must also lean in. Universities should expand game design programmes; banks and investors should develop finance models tailored to the unique revenue timelinesof game projects.

Festivals as proof points

Our festivals — rAge, Comic-Con Africa, Rush, Joburg Games Fest ,Africa Games Week —are more than fandom gatherings. They are talent scouting grounds, business expos, and investor showcases. By scaling them into year-round hubs with regional feeders, South Africa can build a sustainable ecosystem rather than episodic bursts of activity.

The moment is now

The global gaming industry is not slowing down — and neither should we. With our mix of creative talent, cultural richness, digital payments ecosystem and proven festival scene, South Africa is uniquely positioned to become more than a consumer. We can be a producer, an exporter, and a skills leader in interactive entertainment. But this won’t happen by chance. It requires coordinated strategy: education reform, targeted funding, policy incentives and public–private partnerships. Done right, gaming can become South Africa’s fast lane into a digital, job-rich, globally competitive future.The prize is clear: jobs for our youth, new exports for our economy, and international recognition as a place where African stories come alive in world-class interactiveexperiences. The time to act is now.

Bandile Phuthuma is an advocate for creative-technology policy and economic transformation

Image: Supplied

Bandile Phuthuma is an advocate for creative-technology policy and economic transformation. He writes on innovation, education and the digital economy.

*** The views expressed here do not necessarily represent those of Independent Media or IOL.

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