Many game studios are being dropped following a bit of an economic downturn in the United States and globally. Activision has to deal with being agile enough to survive the economic times like anyone else and has dropped a few games that had great potential.
Gamers continue to ask the question, “why?” when some of their highest potential games were dropped to the floor. Ghostbusters and Brütal Legend are a couple examples of games with eager fans already salivating prior to its launch. Some of these fans are a bit ticked off that Activision named them as dropped franchise opportunities.
People ask why a company holds one “mediocre” title while getting rid of other potentially awesome ones. Don’t forget, this is a business and a good studio/publisher is going to make good business decisions without emotional attachments – those that bring emotions into play may end up with a highly valued product (to them) with no additional potential and lower revenue. This isn’t to say developers cannot be passionate about their games and their industry, they just have to build games gamers will buy and continue to fall in love with release after release.
Activision CEO Bobby Kotick is one of these business savvy individuals who knows where investors will find profits for the future, and he also know how to manage employees, with the use of software like this sample pay stub for payments and more.
“[Those games] don’t have the potential to be exploited every year on every platform with clear sequel potential and have the potential to become $100 million dollar franchises. … I think, generally, our strategy has been to focus… on the products that have those attributes and characteristics, the products that we know [that] if we release them today, we’ll be working on them 10 years from now.” (1up)
Ghostbusters is a great example of a title which could be well received and fun to play but probably wouldn’t be an exploitable franchise. The game, based on a popular movie, has limited potential for yearly releases and huge franchise success. Ghostbusters fans would probably disagree, but that’s when emotion comes into play. Think dollars and cents, not awesome fun gaming.
Oddly enough many of these business decisions from Activision, Electronic Arts and other big publishers arrive when the economy is in free fall and investors are eying your revenue potential. People make their most important and, usually, unfriendly business decisions when their company is at risk.
It’s sad to think money comes first and entertainment value comes second but we’re not the ones trying to make a profitable living in the industry. Put yourself in Kotick’s shoes as he walks into a board meeting to discuss future plans, road maps and profitability – you’d do what you have to do to keep your job, right?
@EA selling virtual car for $100:
I was initially shocked, but then I remembered previous examples: Battlefield Heroes rents virtual weapons for real money, WoW has players selling in-game gold for real world currency. Heck, TF2 has a whole economy based on virtual goods.
All these examples point out that there is a lot of spare cash, and enough people having it are willing to spend it on whatever they feel it is valuable.
Hey, Jordan, I proposed a similar measure (tax sales from virtual goods) in episode 240 😛
@Modern Warfare 3 beats Avatar:
Well, I wouldn’t say that the gaming industry beats the movie industry, just based on one game. I think we (or at least I) will need to check more numbers.
One thing to be noted though: Activision made that money, not the original dev team (they left Activision after MW2). So, I’m sorry to say that, but the devs just found out how easy they can be replaced, without major losses from the company …
@Move to next-gen is “terrifying“:
… really? PCs already are next-gen, they always were. And the XBox is always very close to the PC, because of the hardware and software similarities. Terrifying? Yeah, but only for Sony and Nintendo, because they failed to understand the importance of a good platform/framework/API.
@Man sues Sony for ToS update forbidding suing:
Ha ha ha! 😀
Well, you can always choose to not use the console … As for Microsoft doing the same thing (forbidding class action suits), shame on them.
As for the size of DynamicJul’s country, yeah, there are a lot of small countries: Monaco, Lichtenstein, Faroe Islands, San Marino …
@QOTW: a game in the STALKER universe.
:)) so apparently there will be no show until mid January … anyway, Merry Christmas and Happy New Year!
My country is the actually the small island of Malta.
@Naughty Dog: Move to next-gen is “terrifying“: I think that if the PS4 is released in the near future, it will have a launch just as hard as the PS3. Just like Naughty Dog, I think that developers have only just started using the PS3 to its extent and anything new will definitely be a challenge.
@Nintendo only showing E3 Wii U demos at CES 2012: I don’t think this really means anything. I think that they’re just holding everything for E3. First of all, I think that E3 is the most known and the hype that would come from releasing all the information in a few hours would be much greater rather than if they released it over a couple of months.
@QOTW: As far as games that have already been announced, it’s Mass Effect 3. I have already pre-ordered it and hope that it will get me through my GCSEs without me playing any other games.
@Next-gen Hardware:
Maybe they’re skipping a few numbers and working on the PS9 from the PS2 days (http://www.youtube.com/watch?v=jRJXLu3YVpM).
@Paul: Congrats on the move and reuniting with your partner. It’s great to hear queer perspectives on gaming, and I think a lot more people should be coming out as gaymers. 😛
@ ea selling virtual car for $100
I’m not surprised coz most companies do this ,i mean they won’t lost anything physically and its just virtual
@ modern warfare 3 beats avatar
This doesn’t prove that gaming industry is better than the movie industry ,its just one game
@ qotw
I’m most interested in the upcoming transformers game
I wish my classmates know what’s the difference between a flashgame and a title coz they keep teasing that I don’t know games but they’re wrong ,wth they think godswar is a cool game and they compare it to world of warcraft wtf ,btw godswar is a Facebook game mmorpg
@ ea selling virtual car for $100
Yeah virtual items purchases can get real crazy, specially in Online worlds with micro transactions.
About the Entropia Universe space resort the article refers to, it matters to say that those real estates are sources of income. Other players pay a % of their revenue generated on the asteroid. The estate owner could also sell shops and apartments to other players. “Neverdie” announced a few years back that just 6 months after the purchase of the asteroid, he and his investors were already on profit. Personally I felt worse when I saw people spending 30k $ in a handgun.
@ Next-gen and Naughty Dog its not the first time a developer comes out and expresses concerns about how fast we’re moving to a possible next generation of consoles. I think it was last year that Ubisoft said that every time a new generation of consoles comes out, games get more expensive to develop.
Game developers and publishers would like a few more years in this generation before bumping up the investment.
@Star Wars Old Republic
Nice to see its going well for them, but this game was a huge disappointment for me. I was kinda hoping for a massive sandbox mmo like SWG but ah well, just another game that doesn’t really bring anything new other than the conversations with multiplayer.
@Question of the week
Since Skyrim is already here, I’ll go and say Darkfall 2.0 if it ever gets released. Darkfall is a mmorpg sandbox-ish game, with full open pvp and full loot. It is a brutal game where you never feel safe, where you loose whatever you were carrying if someone kills and loots you. One of those games that tried to follow the steps of Ultima Online.