Like a washed up superstar, Grand Theft Auto IV continues to drop in NPD figures. This Axl Rose of video games came on strong and sputtered out into oblivion with barely a notice, leaving the spotlight and all hype behind it. This drastic fall may hurt any negotiations “behind closed doors” with Electronic Arts and their constant attempts to take over Take-Two.
Prior to the release of GTA IV we, in our gaming podcast, predicted a huge launch would up the anti against the bids on Take-Two from EA but things didn’t work out exactly as we expected. Although the game has sold 8.5-million units, it might not add any new bargaining power to the back door negotiations.
A game company is only as good as their games. A hit title which dies out quick helps financially guide the future of the company; technically the future isn’t so bright. With the title quickly falling off the top game sales charts we may never see it hit record sales figures to match that of smaller titles. Having one hot title every four years that “breaks records” for a week isn’t a strong weapon against a low bid from a larger publisher.
While EA may not have any record setting “one week” sales titles yet, they do have a consistently strong set of titles which stick on the charts for months with newer titles arriving to take their spot when they fade. The same can be said for a few other notable publishers, Activision and Ubisoft. To survive in the hot game industry, especially with market downturns, one must have a cycle of great games to publish throughout the year consistently year-over-year in order to provide evidence of their financial stability.
Assuming the bid won’t raise for GTA IV, where does that leave Take-Two? Perhaps Take-Two is better off under the umbrella of Electronic Arts after all. The waters are getting more hostile in the industry as companies compete for gamers attention with 100-million dollar titles and casual games and game consoles (read: Wii) start to build a whole new none-gamer-style momentum.
Is Take-Two better off under the EA brand?
Most folks in the game industry are already writing off E3 as an actual event to be attending. Even Wedbush Morgan analyst Michael Pachter is calling it “virtually useless” for both retail and investors. The writing is on the wall and the reasons are obvious.
Great episode of Politacast guys (It’s a joke Dan Q would get.)
@Microsoft buying Mojang: A lot seems to have happened or at least gotten confirmation of since the last comment I made. I am glad that Notch sold the company to a buyer that is likely going to do as Jonah mentioned “You go do your thing over there and just make us money”. I remember people having similar reactions to Disney buying Marvel “All our characters are going to be ruined and Disneyfied”. From what I have seen they seem to also be doing the “You do your thing and just make us money”. Microsoft has a confirmed money making game, I don’t think they will ruin that recipe.
One of my friends had suggested that Notch just should have released the source code of the game to the public and turn profits over to charity. My thought on that was that might be “morally” right for Notch but then puts all of Mojang out of a job, which to me is worse than “selling out”. I have no doubt in my mind that Markus cares very much for his Mojang staff and has insured their continuance to work in this deal with Microsoft. I think that Jeb, Dinnerbone and the rest are very passionate about minecraft and want to continue it’s development.
Speaking of passionate Phil Spencer put on a minecraft theme on his twitter page (probably a PR thing but I’d like to think he really is into Minecraft). He’s also stated in twitter that the Youtubers doing videos of Minecraft will be allowed to continue doing what they are doing. I also do know the feature updates will continue as well. He also released a video that stated how important and valued their audience is for the game and that they will listen to said audience. So I’d like to think he really does care about the game and it’s audience and not just the dollar signs.
The thing though I’d like to ask you guys about is people are concerned about Mods and if the game will switch to different programming code than the current Java based one it is on now? People feel if it switches to C++ they won’t be able to do their total conversions of the game. It’s a minor thing to me but I know it’s a major thing to others. Microsoft doesn’t seem too against modding in general since I can find mods for Halo and Fable.
@Conservatives: Politicians really need to keep their noses out of the gaming industry. People seem to love to scape goat as Paul pointed out; everything has been blamed except for the actual causes of these problems. They don’t seem to understand the issue and rather point fingers or sweep it under the rug. The fact that we have Cosplaying women get assaulted at cons, to Youtubers getting death threats means we have a problem here. It’s not the games it’s how we are behaving as a Society as a whole. So yes I pity this woman for not having enough self-reflection on what’s going on around her.
@Violent video games for Ice cream: What do they think we’re all 8 or something? Again another story of a group of people not really fully aware of the situation and what’s causing the problems.
@Game streaming: I don’t much like this idea either I agree that having a feeling of ownership over the game is what I like.
@QotW: So long as bonus content is small stuff like sound tracks or some character skin, it’s fine. A lot of times these pre-order bonuses are never attainable other wise and I’d had the feeling of an incomplete game if I am missing out on a feature. I also don’t like the piece meal feeling of it all being diced up. I just got the full Wasteland 2 and the start-up screen has a joke about DLC with this robot thing and $60 for it.
@Microcraft
I don’t really see a problem here. It’s just successfull business. I think Microsoft knows better then to mess with the much loved brick-stacking formula and will just throw money it’s way. As for Notch, the guy should be respected. It takes a real leader to care for his employees.
@Back to the Stone Age
For fear of choking on my own malice, I will restrain myself from writing too much on the subject. The woman has a belief and has every right to express it. But attacking other groups for their beliefs is politics, undermining her claims. Telling women not to play games is much like saying to an African-Caribbean football player subjected to racial abuse to leave sports (a huge European issue). I disagree with her opinion.
@violent games will make you cream
This initiative would be good in UK, as the price of Ben&Jerry’s here is atrocious. Still, I don’t see the point of their argument. In a country that is proud to send its young men to shoot foreigners, attacking violent video games sounds hypocritical. And pointless. It’s not like it will prevent the young from being exposed to the violent medium.
@QOTW
I pre-ordered quite a few games in my time. Mostly multiplayer games. But I never let bonus DLC dictate where or how I order them. I get the game where it is cheapest or most convenient. I don’t bother with any fancy special editions, as to me the disk is what’s important and extra feely tat is not worth my limited resources.