Gaming is huge and growing. There are ways to make arcades work, it's just not a straight rehash of the 80s arcades.

Take gamecenterarcade.com in san mateo. You might not know it's there but it's full most days for various game specific meetup/tournaments. Turns out their niche is giving the community a space to exist. They mostly charge on entry instead of play, and it seems like most gameplay is done on consoles not coin-op.