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?
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Hi guys.
Sorry for not commenting the last few episodes, but much trouble going on in real life, did noit find enough time to listen and enjoy your podcast 🙁
I played a lot of Magic the Gathering becuase its short and i could play it on my own. Besides i played some WoW Classic WOTLK. And some time i spent with Life is strange true colors (still did not finish it)
Dorfromantik: I told you its addictive .. i love it as well 🙂 Its easy to calm down and play a round, easy listening smooth music … and you dont get anrgy if it ends .. you dont “loose” or get killed or stuff like that.
Krypto Stuff: i will not miss if if it would be gone. I am still not into it and i dont think i will be the next time … so … i dont care 😀
Demon Souls / Dark Souls: OMG … this games freaked me out … i tried them so often but they are so damn hard … did not finish any (besides Bloodbourne if this counts).
System Shock / Bio Shock: never played System Shock and only some hours of BioShock 1…
So long .. stay healthy guys and thanks for your effort you put in any episode <3
Greetings,
Ralf