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!
Did someone say Yoga? I have returned from my deep educational derangement, securing my graduation and unemployment. Now that I am a professional vagabond with a smexy new Xbox One, I will dedicate more time to gaming and ultimately this podcast. Don’t go Paul. Here is some love. Manly comrad-like non-platonic love.
@Non-tangible gaming
I purchased the Xbox One Titanfall bundle and had to endure a 4 hour download of the game. I fully understand why console gaming is still disk based. On the other hand, my Steam library has 170 titles which I can download at high speed at a moments notice. Until my Xbox can pull off that kind of performance at Steam like prices, I don’t think I will download that many console games. I have loads of digital PS3 titles for that very reason.
@Gaming conventions
Never been to one purely dedicated to a single game. Never really been that dedicated to just one game. Here in UK it’s rare to find a gaming convention at all. Even major events tend to skip out a year or two. I know there are some dedicated communities in London but it’s easier to buy weaponised uranium then to find one. However, if I could ever go to one, it would most likely be about Elder Scrolls or Halo.
PS: City of Heroes was made in the dark days of gaming when homophobia was supreme and untraditional sexual orientation was frowned upon. Allowing a city full of adolescent boys running around in coloured briefs would be marketing suicide. It’s quite amusing. Since then homosexuality went mainstream and even became a marketing selling point for some games. It’s only a matter of time until you can create a transgender 5th generation foxkin character in an RPG.
Another good episode guys and I’m glad you enjoyed the Princess Bride reference.
@Console Digital gaming: I’m all for this as I really do enjoy not having to worry about where disks are. I have quite a few in digital format on my PS3.
@Sims4: I agree with Jonah, it’s one thing to re-write the mechanic on how something works in a game like with Civ V’s Espionage and Religion being vastly different to how it worked in previous games. To just stripping out features that you know will be repackaged into a expansion pack not looking much different or better for it’s delay. All the things that have been left out has had us feel like we’re going back to Sims 1.
@Youtube offline: Hey if they want to give me free music who am I to complain? heh
@QotW: I almost went to a Minecon in Orlando since that’s near to where I live. However it was really hard to get tickets. They sold them in groupings of 3k and they all went in seconds. Freaking jackals.
heyaaaaa xD after 2 years lol downloading an episode here feels like a trip to memory lane haha not sure if u remember me xD