Smart Business Choices During Economic Downturns

Many game studios are being dropped following a bit of an economic downturn in the United States and globally. Activision has to deal with being agile enough to survive the economic times like anyone else and has dropped a few games that had great potential.

Gamers continue to ask the question, “why?” when some of their highest potential games were dropped to the floor. Ghostbusters and BrĂ¼tal Legend are a couple examples of games with eager fans already salivating prior to its launch. Some of these fans are a bit ticked off that Activision named them as dropped franchise opportunities.

People ask why a company holds one “mediocre” title while getting rid of other potentially awesome ones. Don’t forget, this is a business and a good studio/publisher is going to make good business decisions without emotional attachments – those that bring emotions into play may end up with a highly valued product (to them) with no additional potential and lower revenue. This isn’t to say developers cannot be passionate about their games and their industry, they just have to build games gamers will buy and continue to fall in love with release after release.

Activision CEO Bobby Kotick is one of these business savvy individuals who knows where investors will find profits for the future, and he also know how to manage employees, with the use of software like this sample pay stub for payments and more.

“[Those games] don’t have the potential to be exploited every year on every platform with clear sequel potential and have the potential to become $100 million dollar franchises. … I think, generally, our strategy has been to focus… on the products that have those attributes and characteristics, the products that we know [that] if we release them today, we’ll be working on them 10 years from now.” (1up)

Ghostbusters is a great example of a title which could be well received and fun to play but probably wouldn’t be an exploitable franchise. The game, based on a popular movie, has limited potential for yearly releases and huge franchise success. Ghostbusters fans would probably disagree, but that’s when emotion comes into play. Think dollars and cents, not awesome fun gaming.

Oddly enough many of these business decisions from Activision, Electronic Arts and other big publishers arrive when the economy is in free fall and investors are eying your revenue potential. People make their most important and, usually, unfriendly business decisions when their company is at risk.

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It’s sad to think money comes first and entertainment value comes second but we’re not the ones trying to make a profitable living in the industry. Put yourself in Kotick’s shoes as he walks into a board meeting to discuss future plans, road maps and profitability – you’d do what you have to do to keep your job, right?

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We’ve had some time to look through the New Xbox Experience (aka Fall Update 08) for the Xbox 360. There are some goods, bads and oddities about the latest updated firmware and thought it was a good time to share.

The most important feature we’ve found with the new console software is the addition of Netflix. The ability to play software in the “Instant Queue” is excellent, fast and done with high quality. If you have children this may be one of the must-have product features; add a ton of family movies to the Netflix Instant Queue and your children will have hours of entertainment.

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We were a non-Netflix household and recently bought into their second tier program so we can watch instant shows and get one DVD at a time. The NXE has up-sold at least one new Netflix customer, great job Microsoft!

Avatars are another “feature” to the new console software and it all seems very Wii like. Months ago we were kidding about how they’re cloning some features of the Wii but in reality, it’s more a clone than we thought. The sound track while creating your Avatar feels almost ripped from the Wii in terms of cute settling sounds and silly uplifting music. This isn’t your dad’s console anymore Timmy.

The outfits to dress your Mii, oops, avatar in are very limited and you’ll no doubt see a lot of sameness in dress and overall look to the avatars. But, now Microsoft is showing us how to differentiate ourselves by purchasing virtual items to make our avatars cooler. For 250 Microsoft points you can now buy a Ninja Blade theme pack which includes wallpapers and avatar items. Yay. No, seriously, we’re supposed to buy this crap?

The NXE also supports a full system re-design, out with the blades in with the… Cover Flow? The NXE now acts more like iTunes, the iPod and the Apple OS X more than ever. You’ll breeze through your game list, NetFlix Queue, Friends List and other features as if it were Cover Flow album art. Cool in some ways, frustrating in others.

In some ways, item lists are the fastest and easiest ways to view things. For instance, prior to NXE you could tell who was online in your friends list within a few seconds. Now, with NXE you’ll troll through your friends list four-by-four flying through the “art” of your friends avatars hanging out next to a “room” mimicking the game they’re playing. Cute, no doubt, but not an effective way to see who is online.

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The one neglected feature, in my humble opinion, is the “spit and polish” of the new interface. They took some aspects of OS X and some aspects of Wii and mixed them together to make organizational changes, some good and some bad. However, the interface is very flat, drab and boring. There is no real glossy shine to anything, very little in textures for backdrops and windows fixtures and very anti-vista like when it comes down to drop shadows and beauty. A little more glamor, gloss and reflective surfaces would have made the interface look a bit more next-generation in terms of cool factor.

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The Netflix addition is the best part of NXE, but that could have come available without a full user interface redesign. Your thoughts?