EA and Take-Two Stock Falls Fast

It’s official, EA has given up their talks with Take-Two and, as a result, the stock of both companies is falling like a stone. While gamers may cheer knowing the Grand Theft Auto and 2K Sports product lines will continue to compete with EA products, share holders are doing a WTF?

Take-Two has had its share of financial difficulties, but nothing shakes up a stock more than a break in discussions when the words acquisition have been spoken. It causes uncertainty and lack of understanding on the part of the game industry and share holders. EA’s stock dropped 2.7% upon opening this morning but has begun to stablize as it’s clear EA isn’t in any financial peril from this breakup in discussion.

Take-Two’s stock, however, is in epic free fall with a 25% decline since the discussions ended. One theory is that, “is taking a huge beating as everyone and their mother tries desperately to sell the shares the figured EA was going to to buy.” (kotaku)

As the game industry gets more competitive, builds bigger bank-roll and becomes a staple entertainment icon there is always more business savvy people getting into the game trying to make a fast buck. In this case, the shareholders obviously aren’t pushing for Take-Two’s future decisions or product launches — this is the reaction of business folks trying to make money.

There is huge risk with block buster 100-million dollar titles and all the crazy hype involved with some of the biggest games in history. They break sales records, smoke box-office numbers and bring new gamers into the industry but it’s all at risk when money gets involved. One bad move and a company making a title like GTA can find themselves in financial peril.

With risk comes reward, but failure is always sneaking up around the corner so watch out!

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Asassin’s Creed 2, Ubisoft’s Future ProjectAsassin’s Creed 2, Ubisoft’s Future Project

We received a new franchise in 2007 called Assassin’s Creed, it was way hyped and released with mixed success, you either love it or you were bored to tears. We loved it, but many were bored to tears. Many assume Ubisoft learned a lot from their first release and will fix some of the repetition from the initial game with Assassin’s Creed 2 if one were to be created.

Ubisoft was asked by gamespot if they’d release a date or confirm the 2010 release of Assassin’s Creed 2 and Ubisoft had a very simple answer: “we’re not answering that question” and “what we just can say is that we are working hard on the product.”

They won’t promise a date for Asassin’s Creed 2 but this at least gives us an indication that they’re working on a game to follow up the initial release. There are plenty of creative concepts that can be done even better in a second game release including branching out the quests to make them a bit less tedious and repeating. The graphics were stunning, the moves were fluid and the battles were a dance of blades.

We’re waiting. Bring it on Ubisoft.