I think there should always be a distinction between meditation and activities surrounding daily life, particularly entertainment like video games, music, television, etc. It's also worth mentioning that concentrating on objects is not the goal of vipassana, which is more about seeing things clearly as they are moment to moment and re-affirming those moments with sati. There is a lot that goes into playing video games: seeing, hearing, sensations in the hands, liking, disliking, emotions, thinking. In order to make this a meditation exercise, you would have to be aware of all these different things about once a second while playing the game, but this is still also sort of problematic because you won't entirely be able to disentangle yourself from the desire to meditate while playing video games.
In short, while any experience can (and should) be noted through the four satipatthanas, the purpose of formal practice is to limit sensory input and avoid attachment surrounding concepts. I hope this has been helpful and accurately represented the dhamma.