Posted Aug 12, 2008 at 07:39AM by Victor B.
Listed in:
News
Tags:
Sony
Ó
|
 Earlier, we wrote about Chris Deering's remarks on the future of console race being a tie between Sony and Nintendo. Well, we have more from Chris Deering; according to him, the current sources of revenue for games will not be sufficient to develop games as the videogames industry develops. Speaking at the Edinburgh Interactive Festival, Deering posits an intriguing figure: that only three in ten games recover their development costs. He notes that these problems will continue as additional players, such as the cable, satellite, and DSL operators and TV networks, enter the market. As for a solution, Deering says that "creative use of hybrid online/offline advertising revenue models" could be used to reduce losses. He added, "Gambling will become a source of development funding. Perhaps not directly, but this area can provide some sources of income which [will] eventually be directed back to the developer.” With games like Fury shutting down and certain titles in development losing their publishers, Deering's remarks certainly bear some weight. That said, an additional revenue stream for games development doesn't seem so bad, so long as it helps bring out good games. Related Articles:
|
|
|
[Via Develop]
Permalink |
Email this |
Linking Blogs
| Digg It!
Bookmark / Find this article on: |
|
24 Comments
|
 |
by Advertising - |
|
 
|
|
by Boots_Megamix - 2008-08-12 |
|
|
» Easy solution to that?
Don't make games that suck.
Don't make games that suck.
|
Re: BananaFish - 2008-08-12 |
|
|
» Well
Do all games that don't sell well suck then?
I suppose Wii Fit and Halo 3 are some of the best games ever are they?
Some brilliant games just don't get the attention and publicising they deserve, whilst others get too much. Sales is hardly a measure of quality.
Do all games that don't sell well suck then?
I suppose Wii Fit and Halo 3 are some of the best games ever are they?
Some brilliant games just don't get the attention and publicising they deserve, whilst others get too much. Sales is hardly a measure of quality.
|
Re: Xastabus - 2008-08-12 |
|
|
» Double edge...
There are tons of under appreciated games, and then there are tons of shovelware. There are largely popular games that release in limited pressings that no one can find after six months, and then there are unpopular games that publishers thought would sell well so they over produced.
There are a lot of hidden factors to why a game doesn't do so well. Too many delays, releasing in the same month as the year's most anticipated blockbuster, lack of advertisement.
One thing I think the industry could do better is balance the economics better. Put less emphasis on the first month sales, lower the price, and release more pressings. I cannot tell you how many times I learn about a game 6 months to a year after it has released, and found stellar reviews of the game, only to find it is no longer available for sale.
I'm glad some old titles are being given a second life through Xbox Live Marketplace, PSN, and Wii Virtual Console.
There are tons of under appreciated games, and then there are tons of shovelware. There are largely popular games that release in limited pressings that no one can find after six months, and then there are unpopular games that publishers thought would sell well so they over produced.
There are a lot of hidden factors to why a game doesn't do so well. Too many delays, releasing in the same month as the year's most anticipated blockbuster, lack of advertisement.
One thing I think the industry could do better is balance the economics better. Put less emphasis on the first month sales, lower the price, and release more pressings. I cannot tell you how many times I learn about a game 6 months to a year after it has released, and found stellar reviews of the game, only to find it is no longer available for sale.
I'm glad some old titles are being given a second life through Xbox Live Marketplace, PSN, and Wii Virtual Console.
|
by MisterAV - 2008-08-12 |
|
|
» they should
use ingame ads in a way similar to MGS4. The use of Apple, Triumph, Regain produts doesn't ruin the experience of the game.
use ingame ads in a way similar to MGS4. The use of Apple, Triumph, Regain produts doesn't ruin the experience of the game.
|
Re: Xastabus - 2008-08-13 |
|
|
» Maybe...
However, I think we will see a decline of in game advertising. It just isn't effective.
If I am playing Crackdown, for example, I really don't care what's on the in game billboards most of the time. That and just because Dodge is advertising in the game isn't going to make me run out and purchase an oversize gas guzzler.
I believe a number of studies have shown that in game advertising is much less effective than TV or print advertising. Why would anyone want to advertise in a game when they can reach a broader audience and get more return on their investment from other forms?
However, I think we will see a decline of in game advertising. It just isn't effective.
If I am playing Crackdown, for example, I really don't care what's on the in game billboards most of the time. That and just because Dodge is advertising in the game isn't going to make me run out and purchase an oversize gas guzzler.
I believe a number of studies have shown that in game advertising is much less effective than TV or print advertising. Why would anyone want to advertise in a game when they can reach a broader audience and get more return on their investment from other forms?
|
Re: Mister Common Sense - 2008-08-16 |
|
|
» .
Triumph motorcycles suck. I was disheartened when I saw EVA riding one.
Triumph motorcycles suck. I was disheartened when I saw EVA riding one.
|
by darkgeekrocker - 2008-08-12 |
|
|
» do what movies do
put videoed advertising before the game goes to the menu screen at the begining of the game, and of course certain products that fit in the game, and maybe even funny adervertizing costumes u can unlock, i would like to see a big can of coke replace the barrel in mgs4, lol make it more funny with a octocon face
put videoed advertising before the game goes to the menu screen at the begining of the game, and of course certain products that fit in the game, and maybe even funny adervertizing costumes u can unlock, i would like to see a big can of coke replace the barrel in mgs4, lol make it more funny with a octocon face
|
Re: Nevers - 2008-08-12 |
|
|
» No thank you
unless there's a button option to skip I would not like that at all. GTA's opening sequence tried my patience enough when loggin' in to that game.
But should they decide to do something like that, I think you're right that they need to make it entertaining or tied to the game in some way. Still completely skippable with the touch of a button tho IMHO....
unless there's a button option to skip I would not like that at all. GTA's opening sequence tried my patience enough when loggin' in to that game.
But should they decide to do something like that, I think you're right that they need to make it entertaining or tied to the game in some way. Still completely skippable with the touch of a button tho IMHO....
|
Re: Xastabus - 2008-08-13 |
|
|
» OMG NO...
When I am forced to sit through commercials and previews at the beginning of a DVD, and not allowed to skip to the menu, I am filled with a great urge to shred the DVD and mail it back to the originating studio. I didn't pay good money to have commercials crammed down my throat.
I likewise get upset about having to sit through more than 3 developer, studio, engine logos without the ability to skip to the game. Once again, I didn't pay money to watch crappy logos, I paid money to play a game.
On the other hand, I love the idea of unlockable content as advertisement. The BestBuy and GameStop cars in Burnout Paradise are a great example.
It's funny how there are CompUSA billboards in Burnout Paradise, yet they got bought out and closed most of their physical stores around the time Paradise actually came out.
When I am forced to sit through commercials and previews at the beginning of a DVD, and not allowed to skip to the menu, I am filled with a great urge to shred the DVD and mail it back to the originating studio. I didn't pay good money to have commercials crammed down my throat.
I likewise get upset about having to sit through more than 3 developer, studio, engine logos without the ability to skip to the game. Once again, I didn't pay money to watch crappy logos, I paid money to play a game.
On the other hand, I love the idea of unlockable content as advertisement. The BestBuy and GameStop cars in Burnout Paradise are a great example.
It's funny how there are CompUSA billboards in Burnout Paradise, yet they got bought out and closed most of their physical stores around the time Paradise actually came out.
|
Re: logicbomb.de - 2008-08-13 |
|
|
» ads
"It's funny how there are CompUSA billboards in Burnout Paradise, yet they got bought out and closed most of their physical stores around the time Paradise actually came out."
Yep, but the long-awaited Cagney update swapped out those now defunct Comp USA ads with Denny's and Gillette Fusion ads.
Lots of cool stuff with the Cagney updates, but you get new ads too.
on the other side of the coin, who LMAOd at the Pisswasser billboards in GTAIV?
"It's funny how there are CompUSA billboards in Burnout Paradise, yet they got bought out and closed most of their physical stores around the time Paradise actually came out."
Yep, but the long-awaited Cagney update swapped out those now defunct Comp USA ads with Denny's and Gillette Fusion ads.
Lots of cool stuff with the Cagney updates, but you get new ads too.
on the other side of the coin, who LMAOd at the Pisswasser billboards in GTAIV?
|
Re: Xastabus - 2008-08-14 |
|
|
» logicbomb.de
Thanks, I didn't know that. I haven't really looked at the billboards since Cagney came out. It sorta makes me wonder if that's how they're funding the new content.
As for GTA, I don't have IV, but that is funny. A pretty obvious stab at Saint's Row. Fake in game advertising is so much more entertaining than real in game ads.
I think the radio ads in GTAIII were some of the funniest.
Thanks, I didn't know that. I haven't really looked at the billboards since Cagney came out. It sorta makes me wonder if that's how they're funding the new content.
As for GTA, I don't have IV, but that is funny. A pretty obvious stab at Saint's Row. Fake in game advertising is so much more entertaining than real in game ads.
I think the radio ads in GTAIII were some of the funniest.
|
Re: Xastabus - 2008-08-14 |
|
|
» Er...
wasser, not watter. That's a beer parody, right? Ok, never mind the Saint's Row thing. Dyslexia strikes again.
wasser, not watter. That's a beer parody, right? Ok, never mind the Saint's Row thing. Dyslexia strikes again.
|
by damonous - 2008-08-12 |
|
|
» 3 in 10?
While it's clear that when game development now tallies into the millions, much like a Hollywood blockbuster ......they're still not as costly to produce as a Hollywood blockbuster. And the take is not a few dollars a head on a showing, but probably significantly more per sale on a single unit.
I won't presume to know all the economics of it, but --come on-- if only "3 in 10" broke even on development costs alone ....exactly why would so many companies be investing so much money back in, in order to make *MORE* games that have a 70% chance of failing to make a profit?
Either this guy is full of a steaming pile, .... or the take from the 30% of titles that DO strike gold, strike a long-running and overflowing MINE full of gold to more than carry the load of the flops.
One has to question when these industry types come on and try to make it sound like they're doing everyone a 'favor'. I'm sure the developers are generally in it for the passion, and maybe some execs .....but these 'bottom-line' type guys are in it for the money. And if there were no money to be made, they wouldn't be in the game. (pun intended)
While it's clear that when game development now tallies into the millions, much like a Hollywood blockbuster ......they're still not as costly to produce as a Hollywood blockbuster. And the take is not a few dollars a head on a showing, but probably significantly more per sale on a single unit.
I won't presume to know all the economics of it, but --come on-- if only "3 in 10" broke even on development costs alone ....exactly why would so many companies be investing so much money back in, in order to make *MORE* games that have a 70% chance of failing to make a profit?
Either this guy is full of a steaming pile, .... or the take from the 30% of titles that DO strike gold, strike a long-running and overflowing MINE full of gold to more than carry the load of the flops.
One has to question when these industry types come on and try to make it sound like they're doing everyone a 'favor'. I'm sure the developers are generally in it for the passion, and maybe some execs .....but these 'bottom-line' type guys are in it for the money. And if there were no money to be made, they wouldn't be in the game. (pun intended)
|
Re: emcp - 2008-08-12 |
|
|
» true
absolutely true,
highly unlikely that statement is true
anyway to the guy above NO, that would ruin game experience
what customers want is to benefit from advertisements, this also creates a better rep for the company
because if someone throws something straight in my face, i dont care if it can turn leed into gold, id tell them to ***** off
anyway bilboards, is what i think should be incorporated, where advertisers could advertise food and drink, such as dominoes pizza, you click the billboard a menu appears, choose your pizza in deducts the money from your card and the pizza is delivered to the door, by using PSN ID details
its a win win for all
absolutely true,
highly unlikely that statement is true
anyway to the guy above NO, that would ruin game experience
what customers want is to benefit from advertisements, this also creates a better rep for the company
because if someone throws something straight in my face, i dont care if it can turn leed into gold, id tell them to ***** off
anyway bilboards, is what i think should be incorporated, where advertisers could advertise food and drink, such as dominoes pizza, you click the billboard a menu appears, choose your pizza in deducts the money from your card and the pizza is delivered to the door, by using PSN ID details
its a win win for all
|
Re: Xastabus - 2008-08-13 |
|
|
» Or...
Pull up to a drive through, ala Saints Row, and actually order takeout.
Hehe. Or like that one April Fools that WoW did saying you could order delivery from Panda Express by summoning a panda NPC in game.
That would be cool!
Pull up to a drive through, ala Saints Row, and actually order takeout.
Hehe. Or like that one April Fools that WoW did saying you could order delivery from Panda Express by summoning a panda NPC in game.
That would be cool!
|
by Fenix1186 - 2008-08-12 |
|
|
» Great...
Well to begin with, if video games get any more expensive it going to move away from mainstream and into an area where only some people who can afford the costs will buy and play games. They CANNOT raise prices any further. It would be too much on people's budget. And the majority of games that do come out are crap. There are only select gems that come out and deserve their praise and that is only about 1 in 5 or possibly 1 in 10. Stop releasing CRAP!
Well to begin with, if video games get any more expensive it going to move away from mainstream and into an area where only some people who can afford the costs will buy and play games. They CANNOT raise prices any further. It would be too much on people's budget. And the majority of games that do come out are crap. There are only select gems that come out and deserve their praise and that is only about 1 in 5 or possibly 1 in 10. Stop releasing CRAP!
|
by du.der.icio.us - 2008-08-12 |
|
|
» News Flash 7 out of 10 gams suck a$$
That's right ppl,
Why would I buy a port of a 1980's game to a new platform?
Why would I buy a movie based game that sucks (Transformers).
Why would I buy any of your games to roll the dice that I'm going to luck out and get that 1 game in 3 that didn't suck donkey!
I just wonder ...
I just wonder ...
I just wonder ...
If your QC was better ...
If you said ...
NO
That game doesn't meet our standards ...
If people knew that buying a game meant that it was of a particular standard ...
I wonder if more people would actually BUY them!?
-- dude
That's right ppl,
Why would I buy a port of a 1980's game to a new platform?
Why would I buy a movie based game that sucks (Transformers).
Why would I buy any of your games to roll the dice that I'm going to luck out and get that 1 game in 3 that didn't suck donkey!
I just wonder ...
I just wonder ...
I just wonder ...
If your QC was better ...
If you said ...
NO
That game doesn't meet our standards ...
If people knew that buying a game meant that it was of a particular standard ...
I wonder if more people would actually BUY them!?
-- dude
|
Re: RommelTJ - 2008-08-12 |
|
|
» Good points
Those are some good points.
Publishers like EA don't care about their products, as long as 33% of them sell, and sell well. Why? Because that way they can get a bigger pie of the market, even if it means losing money. They can always recover it with the next Madden.
Yet, you see some smaller publishers and studios that cannot get the money to release good games.
All I can see is keep an eye on Interplay! They are making a comeback.
Those are some good points.
Publishers like EA don't care about their products, as long as 33% of them sell, and sell well. Why? Because that way they can get a bigger pie of the market, even if it means losing money. They can always recover it with the next Madden.
Yet, you see some smaller publishers and studios that cannot get the money to release good games.
All I can see is keep an eye on Interplay! They are making a comeback.
|
Re: logicbomb.de - 2008-08-13 |
|
|
» great point!
unfortunately, QC mostly just checks for game breaking bugs and glitches.
And most of the time they can't even get that right.
unfortunately, QC mostly just checks for game breaking bugs and glitches.
And most of the time they can't even get that right.
|
by Grizraz - 2008-08-12 |
|
|
» Marketing:
There are a lot of good points listed above. Some companies like to push crap by the shovel full to the masses, no regards to quality of their product, if they can dupe enough people into buying a few of their titles, they consider it a good job. Others rely on quality. A quality title is a lasting title that gets played and then replayed while the crap gets recycled at the local used game store.
People are demanding/expecting more and more from the games they buy hoping the gaming technology will at least push their console as well as their thousand dollar HD television, surround sound and all that garb.
Movie to Game titles are generally bad as they are rushed, and rushed hard. No thought behind them for gameplay and content.
In-game advertising? If done in good taste could be a great avenue to generate revenue for future game development. Too subtle and it gets lost in the wash, too strong and its annoying. Different genres mean different advertising styles and options. Could very well be done to work seamlessly in most cases.
There are a lot of good points listed above. Some companies like to push crap by the shovel full to the masses, no regards to quality of their product, if they can dupe enough people into buying a few of their titles, they consider it a good job. Others rely on quality. A quality title is a lasting title that gets played and then replayed while the crap gets recycled at the local used game store.
People are demanding/expecting more and more from the games they buy hoping the gaming technology will at least push their console as well as their thousand dollar HD television, surround sound and all that garb.
Movie to Game titles are generally bad as they are rushed, and rushed hard. No thought behind them for gameplay and content.
In-game advertising? If done in good taste could be a great avenue to generate revenue for future game development. Too subtle and it gets lost in the wash, too strong and its annoying. Different genres mean different advertising styles and options. Could very well be done to work seamlessly in most cases.
|
by God (Unregistered) - 2008-08-12 |
|
|
» Re.
Just keep the adverts in sports games, where they belong.
Just keep the adverts in sports games, where they belong.
|
by akadewboy - 2008-08-12 |
|
|
» I don't understand
I don't understand when he says:
"problems will continue as additional players, such as the cable, satellite, and DSL operators and TV networks, enter the market."
What do they have to do with affecting games?
I don't understand when he says:
"problems will continue as additional players, such as the cable, satellite, and DSL operators and TV networks, enter the market."
What do they have to do with affecting games?
|
Re: Xastabus - 2008-08-13 |
|
|
» ...
Some networks are trying to start game channel services that deliver games to a special set-top-box. A lot of hotels already have something like this in place where you can rent old NES games that download to the TV in your room and run on a built in emulator.
Some networks are trying to start game channel services that deliver games to a special set-top-box. A lot of hotels already have something like this in place where you can rent old NES games that download to the TV in your room and run on a built in emulator.
|
Re: Grizraz - 2008-08-14 |
|
|
» Re:
A cable television provider is advertising a free Wii when opening a new account.
A local hotel offeres N64 rentals while the lounge has Wii games to play.
Sponsers basically. Sign up with internet provider X and you'll get a free Y console.
A cable television provider is advertising a free Wii when opening a new account.
A local hotel offeres N64 rentals while the lounge has Wii games to play.
Sponsers basically. Sign up with internet provider X and you'll get a free Y console.
QJ.NET Blog Network  |
|
| MyQJ | Feed / PDA |
| MyQJ | RSS / PDA |
| Blog of Blogs | Feed / PDA |
| QJ.NET | RSS / PDA |
| Gaming Consoles | Feed / PDA |
| Nintendo DS | RSS / PDA |
| PlayStation 3 | RSS / PDA |
| PSP Updates | RSS / PDA |
| Wii | RSS / PDA |
| Xbox 360 | RSS / PDA |
| PC Gaming | Feed / PDA |
| Age of Conan | RSS / PDA |
| Games for Windows | RSS / PDA |
| MMORPG | RSS / PDA |
| Tabula Rasa | RSS / PDA |
| World of Warcraft | RSS / PDA |
| Science | Feed / PDA |
| Science | RSS / PDA |
| Technology | Feed / PDA |
| Apple | RSS / PDA |
| Gadgets | RSS / PDA |
| iPhone | RSS / PDA |
| Mobile | RSS / PDA |
| Photography | RSS / PDA |
| Tech | RSS / PDA |
Add QJ.NET
User Favorites - November
| Most Commented | |
| (10) | |
| (4) | |
| (4) | |
| (3) | |
| (3) | |
| (3) | |
| (2) | |
| (2) | |
| (2) | |
| (1) | |
| (1) | |
| (1) | |
| (1) | |
User Favorites - November
Titles
Archives
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
