6,200 Reasons To Buy iPhone/Touch Games

The iTunes App Store is jam packed with video games! There are 6,200 games in the App Store to take advantage of, with 23% of those games for our puzzle gaming friends with arcade following a distance second place with 13% App Store market share. In that bulk of games, 1,485 are free download games but we’re not sure how many are “lite” versions of pay-for-games in the store, with limited game play. If you too are looking for ways to optimize your phone, see here the plans available at Circles.Life mobile.

chart-app-store

Apple could cut down on that clutter if they let developers publish one game with a demo/shareware release and a full release, perhaps than we would be able to wade through a realistic amount of game titles. Of course, Apple isn’t exactly the most friendly of companies when it comes down to allowing us to share our thoughts and opinions of their closed box products.

Unfortunately for the new game developers, they’ve got a few games to compete against in the App Store space. While great games should rise to the top like cream in your coffee, it’s obvious that 6,200 items can clutter up an otherwise friendly space. iTunes tends to have a very unintuitive interface and isn’t really built for great online game shopping experiences, we’re sure they can exploit many of the great games in this archive of titles if they had a bit of a re-design.

You’ll find plenty of educational games in the 6,200 titles, matching if not exceeding that of the strategy genre.
(Thanks, kotaku)

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Wallets Shrink, Used Game Market GrowsWallets Shrink, Used Game Market Grows

Over the last year we’ve seen developers scrambling to find “value add” features to new game purchases. Their goal is to convince the customer to buy new instead of used because developers don’t see a penny from a used game sale. While GameStop sees 48% profit margins from the used game market developers struggle to stay floating in the industry.

for-saleThis is not the fault of GameStop and their 48% profit margins because they’re only getting 7% to 20% profit margins (say analysts) on new game sales. As someone that’s run a game store online, if you’re getting 15%+ on a new game you’ve got some great hookups in the distribution channel or are buying in huge quantities.

Buying games in huge quantities to build profit margins can be a huge mistake in this industry. Gamers are fickle little creatures and they’re going to buy their top tier games for a few weeks and then sales will drop significantly. No retail chain wants to purchase a thousand copies of GTA IV (only as an example) and sell seven hundred over the first few week to be stuck holding onto a few hundred copies when the dust settles. Now you’ll have to put them on sale to get them out of the store because the hardcore gamer have already done their shopping and you’re not going to get any price protection if you’re not a major player in the industry.

Why take 7% profit margins when you can get 48% on a used game? The gamers don’t seem to mind because they’ll trade in a used copy of a sports title like Madden to save $5.00 on the latest franchise release. Gamers will buy Fable 2, beat it in a week and rush to the store to get the “most for their dollar” before the game gets stale and buy-back prices drop like a stone. Why not rent Fable 2 and save yourself $50.00? Of course, renting pisses off developers as well because they see no additional revenue.

While the economy struggles and consumers fight for their jobs, the entertainment side of life continues to grow. People would rather “cocoon” in their homes playing video games and watching movies on their brand new HD television because it takes them away from the low points of the economy if only for a few hours. History has shown us trends in entertainment during the down points of economies, it’s natural to want to get away for a bit.

But, consumers want to play these games on the cheap because their job may not be there tomorrow. Saving $5.00 knowing the store just took the title in for half the price doesn’t bother you; $5.00 in your pocket is better than in their pocket right? The fact that they just pocketed upward of 40% on the game doesn’t matter to you — it’s all about your bottom line!

While we’re bargain hunting during the recession developers are going to try and up sell you to a new copy of the game. If that means giving you special game items and features with a “one time code” upon purchase, it will be up to you to decide if it’s valuable. All the while GameStop will lock out the game industry from selling used games because 42% of their overall gross profit is from used game sales.

You, the consumer, benefits from a slightly cheaper game, bargain bin fire sales and additional game features if you do choose to buy new. The economic down turn is a great time to be a gamer, as long as you remain employed.

PlayStation 3 Online Community Matches 360PlayStation 3 Online Community Matches 360

Although PlayStation 3 is still third in worldwide sales, behind the Xbox 360 by about 5-million units, the PS3 community services now have as many online gamers as Xbox 360 says Sony. Sony posted on their blog saying, “with 14 million active accounts and 273 million pieces of content downloaded, we know that you’re thirsting for this digital entertainment.”

Although US sales of the 360 are killing the PS3, the community membership does give gamers a reason to get online with the PS3. Nobody wants to buy into a console that has very few active online games or an easy way to find friends (*cough* Wii). Having 14-million users helps them bridge the sales gap by building gamer confidence. Social networking is the new term; gamers want to socialize with each other online and with their consoles.

Microsoft recently announced their 14-million subscriber base and continue to update folks when they hit big milestones. The main difference, LIVE is a subscription system — those 14-million gamers are also paying for the service (we’re not sure if silver memberships count in that figure) and this means income for Microsoft while Sony does their service for free.

Although Microsoft is making money on their service, no doubt Sony will bypass their total membership because it has no cost barriers to play. The biggest cost barrier to get on Sony’s network is the PS3 itself and many gamers hold out for price drops which aren’t coming anytime soon (so says Sony). However, building a larger community on a free network allows Sony to siphon gamers to buy downloadable content, games, music, movies and all the goodies that go with these services.

It seems a better idea to triple your audience with a free service knowing a large amount of “hardcore gamers” attach themselves to the easy to buy content on said service. So, is it better to make US $50.00 a year on half the population or give triple that population an opportunity to spend more money on content?

“Thanks to all of you, PS3’s momentum is stronger than ever. There are nearly 17 million PS3 systems around the world, and in the United States, PS3 hardware sales are up nearly 100 percent from where we were at this time last year. Software sales have tripled from a year ago. Yes, we’re proud about everything we’ve accomplished, and we’re even more psyched about where we’re going with our holiday software lineup” (playstation.com)

Eventually gamers may have access to Sony’s Home project, which could raise the community figures and give Xbox 360 something less to brag about. Although, we’re sure Sony would rather be boasting “number one” console again, at least they’ve finally got a win on their side because 14-million users is only the beginning for them.

Plus, it’s hard to argue free.

Has Rare Lost Touch With The Gaming Industry?Has Rare Lost Touch With The Gaming Industry?

In an interesting interview this week at 1up.com, Peter Moore, now at Electronic Arts, believes the skillset that Rare holds is a bit dated for our gaming industry. Moore, best known in his role of VP at Microsoft in their Interactive Entertainment Business division, understands how great Rare and their games once were but seems to believe the industry has passed them by.

Looking at their latest Microsoft titles, mainly Perfect Dark Zero, Viva Pinata and Kameo: Elements of Power, it’s not hard to believe his statements as fact. None of the titles have blown away a market full of Grand Theft Autos, Halo’s and other top selling titles. None of their games hit the epic review scores of Bioshock or Crysis. It’s not all first person shooters are taking the big sales numbers; Spore was given rave reviews by online review sites (sans Amazon) and that’s a completely different style of game.

Popcap’s Peggle has had more fame and glory than some of the bigger titles from Rare, probably made with less money. Is Rare a dying breed of developers with no good direction to react to the changing ways of the game industry?

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