Burgeoning smartphone and tablet markets have fuelled the growth in mobile gaming

IN THE US, 72 per cent of households play computer games – about 42 per cent of them women aged over 18 – according to the latest research from the Entertainment Software Association.

What has been evident at E3 this week is that mobile gaming is taking a bigger slice of that business. Sales of digital games, add-on content, mobile apps, subscriptions and social network gaming accounted for almost a quarter of game sales last year, worth about $5.9 billion in revenue.

The rapidly expanding smartphone and tablet markets have helped fuel the growth in mobile gaming, with Facebook proving a useful platform for games firms, giving them access to 500 million registered users.

Even the more traditional gaming companies are getting in on the mobile act.

Nintendo’s new Wii U controller appears to have drawn some inspiration from tablets, enabling users to make video calls and play games right on the controller.

Besides announcing the official name for its new PlayStation Vita handheld console, which will also include a 3G enabled option that will be tied in to ATT in the US, Sony Computer Entertainment president Kaz Hirai discussed the company’s plans to bring PlayStation games to Android devices.

Speaking at the PlayStation briefing, Hirai said mobile devices are ready for a PlayStation experience.

The company has previously discussed plans for the PlayStation Suite, which will see certain hardware certified by the company as capable of powering the games. Sony Ericsson has already launched its Xperia Play phone, which will offer PlayStation titles.

There was little detail on the PS Suite at the expo, but Hirai promised more information in “the very near future”.

A tour of the exhibition floor revealed tablets are creeping into a number of games displays. At the Disney stand, tablets nestled alongside TVs as the company showcased its upcoming games.

Mobile gaming is expected to grow in popularity, a situation that Irish firm BoxPay is hoping to capitalise on in the future. The company offers a payments system that can be used for in-game purchases. Instead of requiring a credit card, the BoxPay system uses SMS technology, allowing players to charge purchases direct to their phone bills.

BoxPay is a start-up, only a few months old. The payment platform is ideal for app developers who want to implement micropayments, typically less than $15. It can be used for browser-based games, including Facebook apps.

“From iOS, the challenge we have is that Apple controls the payment gateway,” said company co-founder Gary McConnon. “If it’s a browser-based iPad or iPhone application, we can do the charging through the browser. But if it’s a native app, we can’t.”

A pin code is sent to the user’s mobile number before any charge is made.

“People are worried about security at the moment, what with the PlayStation hack. Your phone number is a public piece of information. People don’t mind giving it out,” said McConnon. “It also opens up users who would be traditionally unbankable.”

Elsewhere, cloud gaming company OnLive unveiled plans to move into the mobile gaming arena. Onlive offers access to top-end video games through a PC or Mac via the cloud. It will also bring the same games to your TV with Onlive Games System.

And now, the OnLive Player App, which will be available for both iPad and Android, will bring almost all OnLive games to tablets and smartphones.

The company offers a wireless controller for players, or they can simply use the touch interface. The Player App also allows the tablet to be combined with a HD TV or computer to function as a touch and motion controller, or to be used as a second screen for gaming.

“The power of the cloud is definitely the theme this week, displacing what had been assumed to be platforms that could never be displaced,” said OnLive chief executive Steve Perlman.

He believes the question that should be asked is whether consoles will be able to catch up to cloud gaming, rather than the other way around.

A noticeable absentee from E3 were the large social gaming companies such as Zynga. It was left up to established companies to carry the flag for social games.

With a small dig at Zynga’s Farmville game, EA announced it would be bringing the Sims to Facebook, with a new Sims Social game. Due to land this summer, the game will be available in five languages, and will also come with a companion app for smartphones.

Sony Ericsson had its own stand tucked away in one of the halls, while games publisher THQ showed off social game Margaritaville Online at its stand, which will be available for Facebook and Apple devices.