It’s official, EA has given up their talks with Take-Two and, as a result, the stock of both companies is falling like a stone. While gamers may cheer knowing the Grand Theft Auto and 2K Sports product lines will continue to compete with EA products, share holders are doing a WTF?
Take-Two has had its share of financial difficulties, but nothing shakes up a stock more than a break in discussions when the words acquisition have been spoken. It causes uncertainty and lack of understanding on the part of the game industry and share holders. EA’s stock dropped 2.7% upon opening this morning but has begun to stablize as it’s clear EA isn’t in any financial peril from this breakup in discussion.
Take-Two’s stock, however, is in epic free fall with a 25% decline since the discussions ended. One theory is that, “is taking a huge beating as everyone and their mother tries desperately to sell the shares the figured EA was going to to buy.” (kotaku)
As the game industry gets more competitive, builds bigger bank-roll and becomes a staple entertainment icon there is always more business savvy people getting into the game trying to make a fast buck. In this case, the shareholders obviously aren’t pushing for Take-Two’s future decisions or product launches — this is the reaction of business folks trying to make money.
There is huge risk with block buster 100-million dollar titles and all the crazy hype involved with some of the biggest games in history. They break sales records, smoke box-office numbers and bring new gamers into the industry but it’s all at risk when money gets involved. One bad move and a company making a title like GTA can find themselves in financial peril.
With risk comes reward, but failure is always sneaking up around the corner so watch out!
@Wii U sells 1.2 games per console
Hmm, lemme see, what would that be … I say it is that the bundle was so very compelling. Yep. Trust me.
Not!
While we’d all like to make our choices based strictly on the experience we’d get from a product, price does matter.
@BioWare was planning spy action title in 2009
Oookay … so? I also wanted to buy an SUV in 2009, but that doesn’t mean I now own one.
I did hear and play NOLF around 2007, but mainly to see what the LithTech engine could do; back then I was into modding, and the game I was interested in used the same engine.
@Hitman Facebook app removed for off-color joke
The app is actually funny! I guess if they just re-worked the hit message things would have worked out differently.
@Activision: Black Ops II grossed $1 billion in 15 Days
This is ridiculous. This will definitely shift the focus from movies to games, for all major entertainment companies. I mean come on, 1 billion bucks!
Regarding SP versus MP, I do play the campaigns. I guess it’s a scar of my internet-less past :P. Thing is, even now I prefer a good SP story over a good MP.
@What’s the most offensive thing you’ve seen in a videogame?
Hmm … dunno. I mean since it’s a video game, I don’t really think of them as offensive.
I guess me. I’m the most offensive thing I saw in STALKER Clear Sky. The god damned guide kept asking me “What’s with the stalling?” and “Is this a starring contest?” while I was minding my own business investigating my inventory . So I pulled out the handgun and put a bullet in his head.
@Nintendo Weakness
Since I missed out last podcast, I never read Nintendo Power. I used to read the Official Nintendo Magazine which was aimed at the UK gaming market. Since we only get like a 1/4 of Nintendo games that come out in US, there was no point in reading an import mag.
@Wii U tanking harder than Titanic
I read the Famitsu report. 7th best launch in Japan. Just to tell you how bad it is, PS Vita was 6th. In UK every store bundled the Wii U with a whole bunch of games. You can’t buy a premium unit for £300. You have to buy it for £400+ with a boatload of games you probably don’t want. Because there is only one game worth of anyones attention. The Mario game which is a remake of a remake of a remake of a remake.
@Hitman
This is a blatant publicity stunt. No way can I believe that serious men sitting around a table would decide that this app was a good idea.
@Record breaking
“And now in other news of 2015, Call of Duty: Black Ops 3 grossed $3 billion dollars from pre-order deposits alone.” I don’t expect this record breaking to persist. Call of Duty is running out of steam. At least that’s what it feels like.
@QOTW
Since I am Russian I get a little offended when shooting games portray us as low-intelligent over-violent trigger happy brutes. Then again, it’s less of an issue these days since the US started an open season on Arabs.
One thing I do remember was when I was playing House of the Dead: Overkill on the Wii. During the first level cutscene you are introduced to the main bad guy talking to a paralysed kid in a wheelchair. The bad guy smacks him on the face with his cane and calls him a cabbage. I know that this game was specifically built to offend the soft audience of the Wii. But there are some jokes that are just in poor taste.