End of 100 Million Dollar Games?

Gigaom had a great writeup about how Grand Theft Auto IV marks the end of “next generation” as we know it, stating, in more words or less, the game is a failure. GTA: San Andreas sold 21.5 million copies during its time on the shelf while GTA IV has sold roughly 9 million copies as of June 7th.

Granted, the game is still on the shelves and will still get sales, but the mass of “hardcore gamers” have had their fill and either purchased it or will not. The end result? A huge tapering of sales numbers for the graphically impressive game. Take-Two spent USD $100 million to develop the game which had great opening sales records but has gone down drastically since.

Imagine the title gains them USD $30.00 per sale in profit (considering distributors get the game for roughly USD $45 to $48.00 USD), taking into account shipping of the product, marketing and all the materials that go into producing a copy, they’d have to sell a large quanity of game titles to break even, which I think they have done.

Nobody is in this industry to break even. A block buster title should make block buster profits, right? Else, why bother to spend the 100-million when a Wii title can double or triple the profits with six months of development?

“Despite being part of one of the most popular video game series of all time, the arrival of GTA IV failed to boost sales of new next-generation consoles. (PS3 and 360 are defined as “next-gen” for boasting the best and latest graphics features.) Meanwhile, sales of the non-next-gen, GTA IV-less Nintendo Wii were double that of PS3/360’s numbers combined. If Grand Theft Auto can’t move more machines, nothing can. Which not only suggests that the market for next-gen consoles has been exhausted, but that the audience for big budget, AAA next-gen titles has been tapped out, too.” (gigaom)

Well, holy crap. We’re all so facinated by the game, the graphics, the sales figures but when you sit back and do the numbers, it’s not all that impressive. This is both unfortunate and surprising because they worked so hard and received such great scores on most review sites.

Gigaom predicts this will mark an end to such block buster titles and the result will be lower budget products with more downloadable content and micro-transactions with products having a broader target audience. For instance, Rock Band, Guitar Hero and other innovative titles.

Is this the end of the block buster franchises? Are we going to see a new evolution of gaming for the next generation? Perhaps, it won’t all be about graphics but about technology, control schemes and thinking “outside the box” rather than enhancing a pre-existing franchise?

So many questions, one must wonder, what does the landscape to next-generation gaming really look like, sales figures don’t lie…

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The American Entertainment Industry is Contributing to Global Piracy!The American Entertainment Industry is Contributing to Global Piracy!

Believe it or not, there are many gamers that live outside the United States. Those of us that do not live in Japan and the US aren’t always a first priority for the entertainment industry when it comes to hot new releases, yet everyone feels the power of the marketing dollar… we’re just not all “privileged” enough to experience it on day one… or year one. Here is one such story, written by rover on of our forum posters, explaining how this leads to piracy in our global economy…

Let us pretend for a moment the best motion picture of the year ranked 10 out of 10 stars on imdb.com and was released in November 18th 2007. While the United States had access to the movie all year, distributors announced a European premiere on June 16th 2008. Months after North American the release, Europe may see this blockbuster movie in its region, leaving everyone to ask themselves, “how do I see this wonderful film now?”

The world isn’t as it once was. Years ago we found ourselves lining up on an early Saturday morning in the freezing rain just to buy a new CD or rent the latest movie on VHS. Today, people expect to get what thy want NOW. We see a spot during a commercial on TV for a new CD, movie or perhaps a TV show which spark our interest and what do we do? We can wait six days to watch the next hit TV show prime time episode or line up at CD MegaWorld Monday morning at 7am to buy the CD, or we do something entirely different: we go online. Most of us would go to amazon.com to find that excellent new artist, or perhaps itunes.com to find the latest episode of our favorite TV show.

Online is the way to go. We don’t mind paying for quality entertainment; the only thing we ask is to get some flexibility to our time schedule. Some of us may watch our hit prime time TV show at 1 AM or listening to our favorite music on the bus at 5 AM. The question is “can I?” and the answer is, “yes you can!”

Now here’s where problems arise. The “yes you can” statement only applies to one group of people, specifically the North Americans. You watched this seasons first episode of “Lost” on TV, you can go online and find out there are three full seasons of 22 episodes already aired. Great! Now all I must do is pay up roughly USD $1 per episode and I’ve got the ability to download all episodes and watch them at my own leisure… right?

(more…)

Episode 441: No IntroEpisode 441: No Intro

No, that’s not a clever pun. For whatever reason, the opening intro is missing from the file. It’s just not there – perhaps the recording software was late in starting.

Regardless, the crew discuss the Palmer Luckey scandal before moving head with a new segment, just to discuss random stuff they’ve seen that isn’t on the news docket.

Speaking of which, the news includes:

  • Beyond Good and Evil 2 is happening, original game free on PC next week
  • The Witcher 3 success “marred my books,” claims author
  • October has arrived, and the Nintendo NX has not
  • Fallout 4/Skyrim mods are back on for PlayStation 4, with one big caveat

All this and Listener Feedback!