According to an article on BusinessWeek, the still young videogame industry is growing. Bigtime. From the article:

Interestingly, and perhaps not surprisingly, it’s the video game industry that is expected to be the fastest-growing component of the media sector worldwide. Double-digit growth is expected to be propelled by sales of the upcoming next-generation consoles, online and wireless Internet access spending and online advertising.

Most of those expected gains appear to be in China and India, with the U.S. showing the slowest average annual growth rate. And of course to be expected with the new wave of console platform releases, the PriceWaterhouseCoopers report also predicts PC games to continue declining.