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!
Paul should stay because he loves Amibos and there’s nothing like collecting them. Can’t wait for Disney Infinity 3.0 and please, please, please stay, Paul. We need you!
Great long episode with many topics to respond to!
@Gamergate at E3: I agree with Paul women have been in gaming since their was video games. I’ve grown up with Rosella of Daventry, Laura Bow (From Dagger of Amon Ra and Colonel’s Bequest), Final Fantasy 6’s Terra and Celese, Crono Trigger’s Luca, Ayla and Nadia/Marle, Jill of the Jungle, Chell from Portal, etc. The list of characters goes on and there are many of those available online, not to mention all the games that allow you to choose your gender. So really there shouldn’t be any of this “worry” or “hesitation” when games with female leads do fine.
Also in Fallout 3 you can play female, here’s my daughter’s character Stella:
http://steamcommunity.com/sharedfiles/filedetails/?id=469288564
I made an error on last episodes comments I meant that Fallout4’s Boston will be 2x the size of Skyrim and was commenting on Jonah’s feeling burned out on huge Open world games.
While still on the topic of Fallout Paul I’m sorry if you feel snubbed but you made your disdain of the series pretty clear, I didn’t think you would be interested at all.
I’ve never liked this mentality and have rebelled against the idea that hardware should be replaced after 2 years. I know my Nes and Super Nes lasted MUCH longer than 2 years.
@QotW: I think Nintendo should represent it’s self, I would still want to know what games they are working on for current hardware.
Great and entertaining episode guys!
This is the first time I’ve written in, and I just have to ask this of Paul: which are you more into, Disney or My Little Pony?