Gamers around the world are going to feel the pain in the 2009 holiday season after the economy shakes apart many great development studios. Electronic Arts feels the pain of being a public company as their investors complain about lackluster revenue, THQ deals with closing studios to extend their runway and other firms will lose more headcount in the coming months.
It’s not all bad. But, it’s going to get ugly before it gets better.
The financial market has played tricks on everyone in our global economy and companies across all industries are going to feel a bit of a tightening around the belt. Investors are shaken and doing their best to protect their investments and cutting loose those that aren’t projecting profits in the near future. Game studios are going to slow their financial burn rates, trim a bit of the fat and hunker down the long term. The end result, next years holiday season will have a few less games because those games are being dropped to the floor now.
Mid-sized studios within larger firms may find their projects canceled or put on hold and their employees re-structured or let go while big studios assess what projects will make the long haul. This is the ugly side of the business, having to make a decision on what games stay and what games go with the grief of having to tell some of your best talent “goodbye.”
The bad part of the industry is occurring today, with publishers posting mediocre profits and trying to convince their investors to be patient and trust they’ve got a firm hold on their destiny. The game industry is not alone in this, many firms are reducing head count and many startups are finding themselves without series A or B funding; they’re closing their doors because the money is being directed to more stable ventures.
What’s the good in all of this?
(more…)
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