The video game industry has come a long way since Pong and Tetris. Estimated to have generated $108.9 billion in 2017 alone, video games bring in roughly double the revenue of the global music1 and movie2 sectors combined. The industry serves 2.2 billion gamers, and it’s only expected to grow: researchers forecast that it will be a USD 128.5 billion market in 20203. This explosive commercial success is owed largely to the industry’s willingness to embrace change. From pioneering the use of countless cutting-edge technologies, to evolving into a dominant cultural medium, the video games business consistently pushes the envelope in its quest to challenge and excite us. Today’s rate of innovation is simply unprecedented, and it’s no accident that the growth of the video gaming industry is matching its pace. As always, video games are among the first to experiment with and adopt the newest tools and ideas. In short: we’re in for a wild ride. This paper takes a close look at the state of the video game industry today, identifying some of the key challenges that it’s grappling with. More importantly, it explores the technologies and trends that are sweeping the sector, and offers game makers an insight into how they might be harnessed.