Recent estimates show that Dota 2 had surpassed League of Legends in usage, which stirred up some controversy within the gaming industry. The important thing for investors is that these games embrace a free-to-play model, which is becoming popular among gamers. Traditional companies like Electronic Arts (NASDAQ:EA) and Activision Blizzard (NASDAQ: ATVI) will need to navigate this transition to maintain relevance, and both continue to explore freemium titles.

In the following video, Fool contributor Evan Niu, CFA, and Eric Bleeker, CFA, discuss where the video game industry is heading.

Eric Bleeker, CFA has no position in any stocks mentioned. Fool contributor Evan Niu, CFA has no position in any stocks mentioned. The Motley Fool recommends Activision Blizzard. The Motley Fool owns shares of Activision Blizzard. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.