Halloween is a scary time of year, no less when you’re posting a $310 million net loss. EA CEO John Riccitiello sees “weakness” at retail in October and we’re betting this isn’t the end of the road of sorrow for game publishers around the globe.
Electronic Arts isn’t unfamiliar with bad times and we’re sure to see them make constant adjustments to their headcount, game releases and press as the economy goes into a bit of a slump. Although the game industry won’t see as big a hit as the financial market, everyone is going to watch their spending during slower economic times.
That slowness is a red flag for the mega-publisher, which says it’s “proactively making cost adjustments now.” One of those adjustments is the axing of some 600 EA employees across the globe. (Kotaku)
Last year Electronic Arts lost a “small” $195 million during the same time, not exactly a gold star on the financial records but it sure looks better than this loss. A few games may crumble under the economic pressures, Tiberium for example, but let us not forget the good times! EA posted some nice figures for Spore, Madden NFL 09, Warhammer: Age of Reckoning and Mercenaries 2: World in Flames.
So, they mixed a few sequels with a few new franchise hits and gave gamers some pretty hot titles for the year. Of course, hot titles in our hand do not always translate to positive revenue in theirs.
Hi guys.
Thanks a lot for your work with this episode!
It’s always fun listening to you guys talking about the different games and all the stuff around it 🙂
I did not play that much pc or video games lately, because I was a lot in the road for concerts. I played a lot of Pokémon Go because I am waking around a lot (about 15 kilometers a day), just to be not in my apartment and to set my mind free (I hope that’s the correct translation).
I want to play BG3 as well but first I want to finish some other games (God of war (not the last one … the one before that!!!)and True Colors)… I hope time will come when I sit down and relax … maybe if I move to a new apartment.
This week there will be games con here in cologne. Does anyone of you plan to visit? Or did visit, depending when you read this 🙂 ).
Greetings from Germany,
Ralf!