70 Online Experiences Are Becoming More Immersive And Monetizable History suggests that deeper immersion leads to higher monetization. After computer graphics expanded the market beyond text- based adventure games in the 1980s, gaming revenue soared 19% at an annual rate, from $6 billion in 1985 to $24 billion in 1993. Now, multimodal AI—text, images, audio, and video—are creating more immersive and interactive experiences that should expand the market. Video Games Evolution* Gross Platform Monetization Rates** S Text Games (LHS) All Other Games (LHS) Text-based AI Streamed Audio Video Games R E Gaming Revenue (RHS) Streamed Video Dating Apps M U S 100% $45 $10 N $10.000 CO $40 r $1.40 L d 80% u A e $35 * o T e * H $0.15 $0.23 I as $1 )* $1.000 G e nu r $0.07 l $30 e ns e DI e 60% v P R e io $25 l n s R il e B io $0.0016 $0.1 $20 ing 3 at $0.100 Gam40% 2 iz 0 t f $15 Gam2 ne O ($ o e 20% $10 M $0.010 har t $0.01 S $5 e N 0% 5 7 9 1 3 5 7 9 1 3 5 7 9 1 3 5 $- 7 $0.001 19 '7 '7 '8 '8'8 '8 '8 '9 '9'9 '9 '9 '0'0 '0 $0.001 *”Text games” refer to both text-based and spreadsheet-based games. “All other games” exclude arcade game releases. Gaming revenue captures PC and console gaming revenue only **We estimate various platforms’ ability to monetize on direct consumer spend only.. ***Revenue figures have been inflation-adjusted to 2023 US Dollars. Sources: ARK Investment Management LLC, 2024. This ARK analysis is based on a range of underlying data from external sources, which may be provided upon request. Forecasts are inherently limited and cannot be relied upon. For informational purposes only and should not be considered investment advice or a recommendation to buy, sell, or hold any particular security. Past performance is not indicative of future results.