Industry News -

Wii vs. PS3 in Japan: The Console SlaughterWii vs. PS3 in Japan: The Console Slaughter

November 29, 2008| schommer| 0 Comment| 2:59 pm

Famitsu Magazine is reporting the Nintendo console, Wii, has managed to sell 7-million units in Japan. This is roughly three times the number of Sony’s PlayStation 3, the console with superior graphics and power.

Japan isn’t about graphics and power or they’re not a fan of the high priced PlayStation 3. The three times factor seems odd, still, considering the PS3 isn’t three times the cost and really isn’t that bad of a console. Unless the titles on Japan’s console are just not as inviting, the PS3 should be keeping pace with the tiny Wii console. Sony is a Japanese company as is Nintendo and both have a very good grasp of the games the Japanese culture is attracted to buying. What’s happening here!?

“The Wii’s 7 million sales put it far ahead of its foes in the ongoing console conflict in Japan. According to Enterbrain figures quoted by GameDaily, Japanese sales of the PlayStation 3 numbered just 2.37 million units as of September 30, when the Wii had sold around 6.83 million units in the territory. Sony estimates the PS3 sold nearly 17 million units worldwide by the same date.” (gamespot)

The Xbox 360 still can’t compete against the PS3 or Wii in overall numbers, regardless to boosts when they put out a game the Japanese actually find interesting. If Microsoft and Sony learn anything from this generation of consoles, it’s that simple makes better. No, we’re not telling the developers to end the goals of hardcore gaming… we’re just wondering if branching out a bit to scoop up some casual gaming interest.

Xbox 360, PS3 and Wii: Who’s Winning And HowXbox 360, PS3 and Wii: Who’s Winning And How

November 17, 2008| schommer| 0 Comment| 2:48 pm

People see facts and figures constantly and brush them off as, well, facts and figures. But, when people see charts and graphs they “oooh” and “aaaah” over them because the visualization is easy to understand. Now, thanks to the NPD Group and Deutsche Bank, people are seeing some pretty graphs about the console battle. These show just how well the race is going on all fronts of the war.

Although the data is fairly small the colors show it all, the Wii crossed over the Xbox 360 numbers in unit sales and hasn’t stopped since the launch. Here we are, on the third holiday season since the Wii launch, and people still cannot find them in stores. Shortage? Doubtful. Considering the massive sales numbers and the fact that they did take the 360 in numbers it seems the supply just can’t meet the over-the-top demands, but why is the demand so high for the little Nintendo bundle of joy? People just can’t get enough Wii.

The Xbox 360 has much to brag about as well, they’re not first in the race but their nearest next-generation graphic console, the PlayStation 3, isn’t even close. The chart shows them both rising in much the same way, with the same “pops” along the sales chart but in a completely different scale. Since Microsoft doesn’t want to consider Wii a competitor, they’re clearly winning the war in their eyes.

Oddly enough, one of the big pops in Xbox 360 sales where around the PS3 launch. Perhaps these consumers were waiting for both consoles to launch before making a decision? More than likely, it was holiday related and had little to do with the PS3 launch but it is fun to ponder anyway.

What about software sales? We’ve heard the Wii has little to offer in terms of games while the 360 wipes the floor with the competition.

Software sales charts, via GameDaily.com

To our surprise, the Wii is rocking the sales figures in terms of software but still doesn’t compare to the Xbox 360. Microsoft pulls out 93-million units while Nintendo takes home a modest 73-million units in software… yet again Sony doesn’t show up to the fight. Looking at November 2007, you can see the Wii jumps significantly in unit sales, no doubt related to the Super Mario Galaxy launch — once they hit that figure they never looked back and continued to climb.

Although a few of us expected Sony’s PlayStation 3 to make huge progress this year, each month they have marginal growth is causing their competitors to excel beyond anyones imagination. We’re starting to wonder how well Sony’s “10 year plan” is going to work out with their competitors taking advantage of the market now when, in 10-years, they will be sitting on their pile of cash to re-invest in the 8th generation of consoles.

(Thanks, GameDaily)

Wrath of the Lich King, Midnight OpeningsWrath of the Lich King, Midnight Openings

November 10, 2008| schommer| 0 Comment| 4:02 pm

It’s almost that time again folks, the next expansion for Blizzard’s World of Warcraft arrives the first minute on the 13th of November. This is the expansion we’ve all been waiting for, climbing the ranks to level 70 so we can enjoy all the fresh new content, preparing ourselves for Dark Knight status.

If you’re in the New York area, you’ll have a chance to meet CEO Mike Morhaime and executive VP of product development Frank Pearce. They’ll be a New York Best Buy signing copies of the title if you’re lucky to be in the area and plan to go out at midnight to get it. We’re not that lucky, but we’re also not standing in line this year for an event.

We’re trusting in Amazon and their promise to have the game at the door step on release day. If this isn’t the case, we’ll be playing some Burning Crusade content instead. If you want to join in the New York festivities read on for their full press release.

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Fanboy Turf Wars and Metacritic’s The TurfFanboy Turf Wars and Metacritic’s The Turf

November 8, 2008| schommer| 0 Comment| 1:27 pm

Gamers are passionate about gaming, love their games, follow the industry all while living and breathing all things game. This is the green pastures upon which fanboys are born. As we’ve seen at gamingpodcast.net, where we were hit hard by fanboy rage a few days ago the blood boils with hate and rage.

Although our site only received 30+ comments, other sites whom picked up the article have 100+ comments on the article about Blu-ray and my opinions of it. PS3 fanboys ran wild telling me how my name has been “dragged through the mud” followed (and preceded) by many curse words and name calling, many of which I simply refused to post because of the vulgar content.

They have moved on to larger more popular platforms to voice their opinion, by dinging Gears of War 2 prior to the games release on metacritic.com dolling out a 3.5 user submitted review (which has since gone up upon the release). Why did they target GoW2? Because the 360 fanboys nailed LittleBigPlanet with crappy reviews, says smashpad.com.

The response was to hit Resistance 2 for another bad user review score all while forcing metacritic to change their user review process to only allow users to post reviews after a game has hit store shelves. Metacritic isn’t to blame here, although it is sensible to only allow reviews prior to a games release, the fanboys have found a way to hold their turf wars.

Who’s next? Amazon.com allows reviews as well and, as we saw from Spore, it can get pretty dirty there too. Now that Metacritic is altering their review process will gamers wait until they’re allowed to spam with bad reviews to do so, or will they hunt for new social networking proving grounds to give games a bad name?

Perhaps they’ll compete for google keywords to rank #1 for a fraud review of a title to beat out other sites or they’ll find another popular user-generated review site to scar the name of a to-be released title.

There is a gang war on the Net and it involves fanboys finding social media outlets to spread their hate and deception on the opposing consoles. For us, we’ll stick with gaming and leave the rage to someone else.

Smart Business Choices During Economic DownturnsSmart Business Choices During Economic Downturns

November 6, 2008| schommer| 0 Comment| 1:46 pm

Many game studios are being dropped following a bit of an economic downturn in the United States and globally. Activision has to deal with being agile enough to survive the economic times like anyone else and has dropped a few games that had great potential.

Gamers continue to ask the question, “why?” when some of their highest potential games were dropped to the floor. Ghostbusters and Brütal Legend are a couple examples of games with eager fans already salivating prior to its launch. Some of these fans are a bit ticked off that Activision named them as dropped franchise opportunities.

People ask why a company holds one “mediocre” title while getting rid of other potentially awesome ones. Don’t forget, this is a business and a good studio/publisher is going to make good business decisions without emotional attachments – those that bring emotions into play may end up with a highly valued product (to them) with no additional potential and lower revenue. This isn’t to say developers cannot be passionate about their games and their industry, they just have to build games gamers will buy and continue to fall in love with release after release.

Activision CEO Bobby Kotick is one of these business savvy individuals who knows where investors will find profits for the future, and he also know how to manage employees, with the use of software like this sample pay stub for payments and more.

“[Those games] don’t have the potential to be exploited every year on every platform with clear sequel potential and have the potential to become $100 million dollar franchises. … I think, generally, our strategy has been to focus… on the products that have those attributes and characteristics, the products that we know [that] if we release them today, we’ll be working on them 10 years from now.” (1up)

Ghostbusters is a great example of a title which could be well received and fun to play but probably wouldn’t be an exploitable franchise. The game, based on a popular movie, has limited potential for yearly releases and huge franchise success. Ghostbusters fans would probably disagree, but that’s when emotion comes into play. Think dollars and cents, not awesome fun gaming.

Oddly enough many of these business decisions from Activision, Electronic Arts and other big publishers arrive when the economy is in free fall and investors are eying your revenue potential. People make their most important and, usually, unfriendly business decisions when their company is at risk.

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It’s sad to think money comes first and entertainment value comes second but we’re not the ones trying to make a profitable living in the industry. Put yourself in Kotick’s shoes as he walks into a board meeting to discuss future plans, road maps and profitability – you’d do what you have to do to keep your job, right?

Users Pwn MetaCritic Review SubmissionsUsers Pwn MetaCritic Review Submissions

November 5, 2008| schommer| 0 Comment| 11:34 pm

Although we’ve found Metacritic a userful resource for game reviews, many folks have gone on a user submission rampage to discredit games that haven’t even launched yet. Their first attack was on LittleBigPlanet followed by Resistance 2, now their hitting Gears of War 2.

While Gears of War 2 has a Metacritic score of 94/100 the user’s have reviewed it to be a 3.5 out of 10, with a bright red box around the user review due to its low nature we’re sure. Although users are free to give their own honest representation of the game from their perspective, Gears of War 2, as of the review dates, hasn’t been released yet – these reviews are bogus.

This style of attack was popularized in Spore, when Amazon got nailed with poor reviews of the game because Spore’s “Draconic” DRM made people angry. However, it’s more reasonable for people to voice their opinion on a known issue with a game; Gears of War 2 review spamming is just mean.

We use Metacritic as guidance when we do our gaming podcast to understand what games are rated in the industry, but we don’t use user reviews as our main guide. There are plenty of folks out there that may utilize these reviews in more seriousness because they may feel journalists reviews are tainted by advertisers or “the man” and want the common gamers opinion.

The common gamer cannot possibility be reviewing Gears of War 2 before the title has arrived. This is bogus. Metacritic has this to say:

“My advice for our faithful users is to focus your attention on the Metascore for this game and not the thousands of user votes, most of which have been submitted before said users have played the game. This is a gaming community, and if people want to stuff the ballot box, there’s not much I can do at this point. When we upgrade the registration requirements for participation on the site in the near future, this type of thing won’t happen. We’ll post the full legitimate user reviews upon the game’s release. As always, thanks for using the site.” (1up)

So, to those looking for holiday gaming gifts, keep this in mind while you start hunting down games you’ll want to buy.

38 Studios Pulls EA and Blizzard Talent38 Studios Pulls EA and Blizzard Talent

November 4, 2008| schommer| 0 Comment| 1:57 pm

Formerly Green Monster Games, 38 Studios is growing a large pool of talented folks for their MMO endeavor. First, we heard R.A. Salvatore (writer of the Dark Elf series) was heading over to work on a story, art direction by Todd McFarlane (creator of Spawn) and now Irena Pereira from Blizzard and a sound designer, Aubrey Hodges.

Hodges has done sound for games like Kings Quest, Quake and even Madden NFL. Pereira was a World of Warcraft interface designer which allows us to invision a bit about what 38 Studio’s MMO may look like from a user interaction perspective.

The MMO, currently titled Copernicus has a tentative launch date of 2010, which seems short for a full MMO design but they’ve been hard at work for roughly two years. Not too shabby a team for a privately held company founded by baseball star Curt Shilling.

It’s important to note Shilling is an avid gamer and loves massive multiplayer online games. What else does a man with a lot of money do as a side project? Fund a company based on the hobby he loves! If anyone knows the best directions and qualities of an MMO it should be an experienced team guided by someone with a passion for the game genre.

We’ll have to wait and see!

Read on for the full press release

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Studios Closing: The Good, Bad and UglyStudios Closing: The Good, Bad and Ugly

November 4, 2008| schommer| 0 Comment| 10:50 am

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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Circuit City Denied Sony Shipment, In TransitCircuit City Denied Sony Shipment, In Transit

November 3, 2008| schommer| 0 Comment| 4:29 pm

Circuit City seems to have a problem paying their bills or so it seems, as Sony stopped their shipments mid-transit and returned them before hitting the distributors command center. In this unfavorable market climate, with the holidays around the corner, it seems bad for Circuit City to lose the trust of Sony.

Sony is afraid, “Circuit City couldn’t pay for the shipments” so the merchandise was turned around and returned home. Considering Sony, more than likely, wouldn’t have shipped the products to start with unless Circuit City was in good standing suggests things might have been “learned” after the shipment left the docks.

Circuit City’s been in some bad situations before, having a rough time dealing with competition in a very low margin, high volume, world of electronic retail. I’ve witnessed CompUSA disappear after the local Best Buy moved in and now Best Buy sits about 80 yards from Circuit City.

This is unfortunate because Best Buy can use some competition before they take over the bulk of this industry leaving only Wal*Mart and a few smaller stores to keep them in check. Considering I just purchased a 2-year warranty on my Rock Band 2 drum kit at Circuit City I’m fearing I’ll have to break the hardware sooner than later!

(Thanks, Gizmodo)

EA Feels The 310 Million Dollar DaggerEA Feels The 310 Million Dollar Dagger

October 30, 2008| schommer| 0 Comment| 9:05 pm

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.