War On Video Game Exclusives

Typically, we have “exclusive” fallout from the console war which forces the hand of the consumer to purchase all consoles to play all the games they love. Many hardcore gamers are into first person shooters like Halo and Gears of War but also like their Grand Theft Auto and Final Fantasy fixes. In years prior, you’d have to invest in Microsoft and Sony’s solutions to get your fix. Now things are changing.

With these third party developers playing neutral in the war on consoles, Microsoft and Sony are forced to rely on near “first-party” titles to keep their army strong. Metal Gear Solid is a Sony exclusive and Gears of War and Halo have been Microsoft’s hype babies for a year or so now. The problem? Many of these exclusive games are not divisions, subsidiaries or in any way under the wing of the console makers.

Nintendo holds exclusive rights to almost all their hard hitting titles. Mario, Link, Zelda, Samus Aran and all their mascot style characters are designed, developed and marketed under the name “Nintendo.” These characters are all part of Nintendo’s lineup of solid best selling titles including the Metroid, Zelda and Super Mario Bros. series and all their spin-offs. Nintendo has the power to re-implement their characters into games like Mario Party, Mario Kart, Links Crossbow, Metroid Prime, Metroid Pinball and a huge array of other first party titles.

Microsoft and Sony must continue to play nice with Konami, Bungie, and Epic Games to keep their exclusivity. What happens if one of these developers “betrays” their console and starts shipping multi-platform?

Epic Games and Konami are big time developers with their own independent thinking, would they ever push away from their exclusive deals with their partners? Bungie is no longer part of Microsoft but is bound, in some ways, to deliver Halo products on Microsoft’s console (for now). If these hard hitting blockbuster titles go multi-platform the war would get bloody.

These major publishers could indeed ship non-exclusive product lines in favor of a wider audience if, in fact, the console units grow closer in sales numbers. Sony’s PlayStation 3 console slowly creeps up to the sales figures of the Xbox 360 which means publishing a title on one console may only net you 50% of the possible audience (assuming a small number actually own both consoles). Given both are “hardcore” consoles, this also means those gamers are ready and willing to buy 2-3 video games a quarter for their console(s).

Why would a publisher settle for half the audience when they can ship on two platforms and grab a bigger piece of the pie? The console developer, Sony or Microsoft, would have to bribe pay the publisher money for an exclusive or timed exclusive deal. That’s all fair in business, but what if the competition becomes heated enough that a paid exclusive pays out less than selling on both consoles?

If the major publishers backing Microsoft and Sony opt to ship on both consoles this will force Sony and Microsoft to form higher end first party development teams (or buy them) in order to solidify real exclusivity. In essence, expanding teams (in all gaming genres) like the Microsoft Game Studios to ship more games per year as a sharp weapon against the competition.

The only other option for the console makers would be to let the “exclusives” model die and develop a game industry of watered down consoles with the only major difference being the logo and design of the box.

It might be a hard pill to swallow, but the only way to hold up the highest degree of competition and first party titles is to force everyone to want to buy all consoles.

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Nintendo 3DS Gets Price SlashedNintendo 3DS Gets Price Slashed

The Nintendo 3DS has struggled since its launch, and Nintendo has announced a severe price cut of $80 to $169.99, down from $249.99. The price cut will be implemented on August 12, 2011.

If you bought your 3DS before August 12, the 3DS Ambassador Program will offer 3DS owners 20 free digital titles.

According to the press release:

“These free games are available to anyone who owns a Nintendo 3DS system and uses a wireless broadband Internet signal to connect to the Nintendo eShop at least once before 11:59 p.m. Eastern time on Aug. 11. These users will automatically be registered in the Nintendo 3DS Ambassador program.”

The free downloadable titles will be released in two stages:

  • Starting Sept. 1, Nintendo 3DS Ambassadors will be able to download 10 NES™ Virtual Console™ games at no charge and before they are available in the Nintendo eShop to the general public. These games, including Super Mario Bros., Donkey Kong Jr., Balloon Fight, Ice Climber and The Legend of Zelda, are slated to become paid downloadable games, but Ambassadors get them early for free. Once the paid versions of the games are posted to the Nintendo eShop later in the year, the updated versions will be available to Ambassadors for download at no cost.
  • By the end of 2011, Nintendo will provide Ambassadors with 10 Game Boy Advance Virtual Console games. These include games like Yoshi’s Island: Super Mario Advance 3, Mario Kart: Super Circuit, Metroid Fusion, WarioWare, Inc.: Mega Microgame$ and Mario vs. Donkey Kong. These games will be available exclusively to Ambassadors, and Nintendo currently has no plans to make these 10 games available to the general public on the Nintendo 3DS in the future.

Let us know if the cut to $170 will influence you to pick up a 3DS, or if it’s just too much – or if the games you’re waiting for have yet to be released.

[UPDATE: “Never in Nintendo’s history have we lowered prices to such an extent, less than half a year since the product launch,” [Nintendo CEO Saturo] Iwata said. “But we have judged that unless we move decisively now, there is a high possibility that we will not see many of our customers enjoying a Nintendo 3DS.” ]

Episode 739: Jordan’s BackEpisode 739: Jordan’s Back

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Jordan’s back, as the four of us discuss topics like the fact No Man’s Sky has reached a Very Positive rating on Steam, Russian disinformation is trying to spark a boycott of Stalker 2 by claiming it’s going to draft you into the war in Ukraine somehow, a new Pokémon project in the works with Wallace and Gromit maker Aardman and Sony confirms interest in buying FromSoftware.

In other news:

  • Vision of Mana director quits NetEase to join Square Enix
  • Intel CEO resigns after a disastrous tenure
  • Baldur’s Gate 3 will add cross-play and 12 new subclasses in 2025
  • Dragon Age: Inquisition‘s final expansion originally forced you to blow up Skyhold

Let us know what you think.

The post Episode 739: Jordan’s Back first appeared on Gaming Podcast.

Small Games Make Big WavesSmall Games Make Big Waves

The game industry is doing “okay” in this bad economic time compared to other industries.  Primarily, Nintendo is rocking the house with their games, hand-held’s and consoles while mobile developers are showing some great successes in the industry. Many success stories in our industry are based on small titles, downloadable games of the more “casual” style while a few larger titles are experiencing slower than expected sales trends.

wiiwareWe’ve mentioned this in the past, but the tough economy gives many smaller developers great opportunities for success. While big publishers struggle to look good in the eyes of the investor, tiny developers can produce quality titles for minimal cash investment and time to market. Ten years ago, smaller developers tried to compete with the big boys making larger titles, cloning successful titles or simply asking investors to put it on the line for their game. Today, developers can create a small iphone app, a cute WiiWare title or exploit the XNA efforts of Microsoft for Xbox Live Arcade and actually have a chance.

There are still challenges with these smaller developers when working in the WiiWare and XBLA publishing channels, your game marketing and promotion becomes highly reliant on Nintendo, Microsoft or Sony for PSN. Tom Prata, senior director of Nintendo of America talked to Gamespot about this issue:

“Finally, there’s the problem of promotion. It’s not enough to make a great game if nobody notices it. Prata specifically said Nintendo will be devoting more resources to support the promotion and development of WiiWare games in the future.” (gamespot)

Of course, in the world of smaller game titles and downloadable casual games, you’re going to be at risk of finding a lot of “shovelware” — products that are only released to make a quick dime, often based on some license or popular theme/character. The great game titles will, hopefully, rise to the top and show themselves off amongst all the wanna-be money makers.

Those smaller developers putting a huge passion into their titles actually have a chance in this new industry trend. Game makers, internationally, now have a chance to grasp a small piece of the industry and make their dreams come true. The core audience may see this as a trend of noisly low quality titles, but I believe the industry needs this change to grow a new generation of developers based on niche interests.

While many can wait for their next release of Madden the rest of us will continue to spend a little money to see what the future innovators are going to be bringing to the table.