Another proof point around virtualization trends, with games following a route similar to music and movies–digitally downloaded games.

According to the newest data released by NPD, 11 million PC games were downloaded from the internet during the first half of 2010 and there were only 8.2 million physical games discs sold within the same time frame. This is the first time ever that digitally downloaded games outstripped packaged titles in sales.

“The overall decline of PC games when combining sales via both digital downloads and physical retail sales is impacted by the expansion of social network gaming as well as the continued expansion of free game options,” said NPD analyst Anita Frazier.

This figure has led some companies to invest in digital business. There was the recent acquisition of web gaming website Kongregate by Gamestop, and a number of acquisitions for social mobile gaming on Google’s part. This is a big industry shift that forces a restructuring of game development, with an emphasis on mobile markets.

In fact, mobile devices like the iPod touch are gaining as game platforms over consoles like the Xbox, as Steve Jobs was quick to brag during the Apple press event earlier this month.

Google and others, especially Facebook, are anxious to create hubs around this growing gaming trend.  Rumors of Facebook’s mobile phone have gained particular interest amongst gamers, as the social network has made its plans to become a massive mobile game distributor very clear.  Apple is also in a good position to better monetize these trends, as its closed system and stringint distribution partnerships has catalyzed industry-wide shifts in music and film alike.

Beyond mobile, companies like Microsoft and Sony will still be looking to these trends for expanding the personal, home networked cloud.