BRAZIL is the seventh biggest country by population and the fifth largest by size, and yet gaming has almost no presence in shops.
It’s not because Brazilians are simply less interested in video games than other regions, but because of issues with taxing and prices.
In 2018 a report revealed that the PS4 was three times the cost in Brazil as it was in North America thanks in part to a 20% import tax, a 33.5% VAT and a 50% luxury goods tax.
These unobtainable prices meant that many players turned to piracy, which in turn led major publishers to leave the market.
Nintendo officially pulled out of Brazil in 2015, with the company’s general manager for Latin America, Bill van Zyll, saying: “Brazil is an important market for Nintendo and home to many passionate fans.
“Unfortunately, challenges in the local business environment have made our current distribution model in the country unsustainable.”
Brazilian gamers are as passionate as ever, and a huge reduction in tax rates for consoles has breathed life back into the industry.
Nintendo returned to Brazil with the launch of the Nintendo Switch, and the country is now the world’s 10th biggest gaming market.
It seems that everything has fallen into place for one of the world’s biggest gaming conventions to enter the South American market, as Gamescom Latam landed in São Paulo last month.
Over 100k people from 70 countries descended on the city to check out what Brazilan developers have in store for the gaming industry.
In particular, Nintendo’s booth was one of the highlights for gamers as we saw legions of fans crowd around eager to go hands-on with the Switch’s library.
With events like Gamescom and Summer Game Fest’s Latin American showcase, Brazil is an up and coming region for developers, and in five to ten years, we expect the country to be a major player in the industry.
The list of games developed in Brazil is currently pretty slim, but there are gems in there like the Momodora series, Blazing Chrome and Unsighted.
But with Brazil’s recent access to more affordable consoles, and the lower cost of living in the country, it will take just a few years for major games to come out of the country.
The vibe at Gamescom Latam is young and fresh, with both developers and gamers full of passion and excitement for what’s to come.
Following the trend, Brazil, like China before it, could become gaming’s next big gaming hub.
If you want to read more about upcoming games, check out our Zenless Zone Zero review.
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