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Is EA Screwing Up The Planned Move To Games As A Service

December 8, 2017 by  
Filed under Gaming

Every now and then, a major publisher goes through a bit of a rough patch in PR terms; the hits just seem to keep on coming, with company execs and representatives seemingly incapable of opening their mouths without shoving their feet right inside, and every decision being either poorly communicated or simply wrongheaded to begin with. At present it’s EA that can’t seem to put a foot right, from Battlefront 2’s microtransactions to lingering bad feeling over the closure of Visceral; every major company in the industry, though, has had its fair share of turns in the barrel.

These cycles come around for a couple of reasons. Part of it is just down to narrative; once something goes wrong for a company, they are scrutinised more closely for a while, and statements that might have slipped under the radar usually are blown up by the attention. Another part of it, though, is genuinely down to phases that companies go through; common enough periods in which the balance between the two audiences a major company must serve, its consumers and its investors, is not being managed and maintained expertly enough.

Most companies encounter this difficulty from time to time, because the demands and desires of shareholders are often damned near diametrically opposed to those of customers. The biggest problems arise, however, when a firm ends up having to take a Janus-faced approach, presenting a different picture in financial calls and investor conferences to the one it tries to convey in its customer-facing PR and marketing efforts.

That’s broadly speaking the situation EA has found itself in once again; forced to be conciliatory and diplomatic in talking to customers about everything from loot boxes to its commitment (or lack of same) to single-player experiences, while simultaneously being bullish with investors who want to see clear signs of progress in the shift towards a set of business paradigms core consumers volubly dislike.

CFO Blake Jorgensen’s comments at Credit Suisse’s conference earlier this week are archetypal of this genre of corporate communication; from a blunt denial that the company’s microtransaction strategy on Battlefront 2 is changing overall to a throwaway comment about Visceral’s closure being related to declining popularity (by which, being a CFO, he meant revenue) of linear game experiences, Jorgensen spoke to investors in a way that was quite markedly different from how the rest of the company has addressed its actual customers on these issues.

You can argue quite reasonably that this approach is dishonest in spirit if not in substance; even if the words of each statement are chosen carefully so the investor messages don’t technically contradict the consumer messages, the intent is so clearly tangential that consumers have every right to feel rather miffed. I think it’s worthwhile, however, to look beyond that to the motivation and strategy behind this – not just in terms of EA’s month of bad PR, but looking beyond that to the industry as a whole, because pretty much every major publisher is undertaking a similar strategic shift in a direction they know perfectly well is going to annoy many of their core customers, and they’re all going to have their own turn in the barrel as a consequence.

At the heart of this issue lies the fact that for many investors and executives, the business model that has sustained the games industry for decades has started to look frustratingly quaint and backwards. “Games as a Product”, whereby a game is made and sold, perhaps followed up by a handful of add-ons that are also made and sold (essentially smaller add-on products in their own right), is a model beloved of core consumers – but business people point out, not entirely unfairly, that it has many glaring flaws.

Some of those flaws are very real – the product model creates a high barrier to entry (you can’t attract new customers without convincing them through expensive marketing to spend $50 to $60 on trying out your game), hence limiting audience growth, and has not scaled effectively with the rising costs of AAA development. More controversially, they dislike the fact that the product model creates a relatively low cap on spending – after buying a game, there’s only so much money a consumer can spend on DLC packs (each of which has its own associated development costs) before they hit a hard limit on their purchases.

Hence the pressure to move to a “Games as a Service” model, which neatly – if not uncontroversially – solves each of these issues. The service model can be priced as low as zero to create a minimal barrier to entry, though for major titles with a big brand attached publishers still show a preference for having their cake and eating it, charging full AAA pricing for entry to an essentially freemium-style experience. An individual player’s spending may be theoretically limitless, as purchases of cosmetic or consumable items could run to many thousands of dollars in some cases – hence also allowing the game’s revenue to scale up to match the huge AAA development and marketing budgets that went into its creation.

You can “blame” mobile games for this if you wish, but in a sense they were merely the canary in the coalmine; the speed with which the mobile gaming market converged on the F2P model and the aggression with which it was pursued was a clear sign that the rest of the industry would eventually try to move in a similar direction. The reality is that mobile games shone a light on something a few industry types had been saying for years; that there was a massive, largely untapped audience for games out there, who would never climb over the barriers to entry to the traditional market but who could potentially be immensely valuable customers of games with lower barriers to entry.

The correct height for those barriers turned out to be “free games for devices you already own”, and yet this market did turn out to be enormously valuable; and now much of the industry is eyeing up the model that works on smartphones, looking at their own rising costs and shrinking slice of the pie, and wondering how to get from over here to over there.

The problem is that making that crossing – from being a successful creator or publisher of core games to being a successful company in a smartphone-style paradigm – is damned tricky to do when the business model you (and your investors!) want to have is anathema to many of the customers you actually have right now. Not all of them, by any means – plenty of core gamers are actually pretty relaxed about these models, for the most part – but enough of them to make a lot of noise and to potentially put a major dent in the bottom line of a company that genuinely manages to drive them away.

Hence, much of the approach we’ve seen in 2017 (and prior) has really been akin to the parable about putting a frog in cold water and gradually raising the heat; companies have slowly, softly been adding service-style features and approaches to their games, hoping that the slowly warming water won’t startle its occupants too much.

When things spill over as they have done for EA in the past month, it tends to indicate that someone got impatient; that investors were too demanding or executives pushed too hard, and the water started to heat up too rapidly. The course will be corrected, but the destination remains the same. Short of a really major pushback and some serious revenue damage across the board from these approaches – which bluntly seems unlikely to materialise – the move towards games as a service is inexorable, and 2018 will bring far, far more of the same. Whether you view that as the industry’s salvation or its ruin is really a matter of personal perspective, but it’s a new reality for AAA titles that we’re all going to have to make some kind of peace with.

Mass Effect: Andromeda PC Specs Revealed

March 6, 2017 by  
Filed under Gaming

EA and Bioware have released official PC system requirements for its upcoming Mass Effect: Andromeda game that has gone gold and will be launching on March 21st.

According to details provided over at EA’s Origin site, those looking to play the new Mass Effect game will need at least an Intel Core i5-3570 or AMD FX-6350 CPU, 8GB of RAM and Nvidia Geforce GTX 660 2GB or AMD Radeon HD 7850 2GB graphics card.

The recommended system requirements rise up to an Intel Core i7-4790 or AMD FX-8350 CPU, 16GB of RAM and either an Nvidia GTX 1060 3GB or AMD RX 480 4GB graphics card.

Both minimum and recommended system requirements include at least 55GB of storage space as well as a 64-bit version of Windows 7, Windows 8.1 or Windows 10 OS.

The official release for the game is set for March 21st in the US and March 23rd in Europe and it will be coming to PC, Playstation 4 and Xbox One. Those with EA Access and Origin Access should get the game five days earlier.


Is Electronic Arts Bullish On Next Quarter?

November 7, 2016 by  
Filed under Gaming

The second fiscal quarter is historically the quietest stretch for Electronic Arts, but the three months ended September 30 gave the publisher reason for optimism heading into the crucial holiday season. The company today released its second quarter results, beating its net income guidance and showing strong growth in its EA Sports Ultimate Team efforts.

“Q2 was an excellent quarter for Electronic Arts, led by breakthrough new EA Sports titles engaging players across console and mobile,” CEO Andrew Wilson said. “We are in an outstanding position for the quarter ahead, with two of the highest-rated games of this console generation in Battlefield 1 and Titanfall 2, global competitive gaming tournaments underway, and our first virtual reality experiences coming soon. Across all platforms, this holiday season will be a fantastic time to play.”

While Battlefield 1 and Titanfall 2 launched after the second quarter, EA used the report to tout the games’ early achievements. For Battlefield 1, the company said the total player base during the first week of release nearly doubled that of 2013’s Battlefield 4. As for Titanfall 2, which just launched last Friday, the company said dozens of press outlets had given review scores the equivalent of a 90 out of 100 or above.

As for the releases actually covered by EA’s second quarter results, they would include EA Sports mainstays Madden 17 and FIFA 17. The company said “20% more players were engaged” in FIFA 17 during its first week than in the first week of FIFA 16, but made no mention of specific performance for Madden. However, the EA Sports Ultimate Team game modes appear to be healthy, as EA said Ultimate Team’s net sales between the FIFA, Madden, and NHL series are up 15% year-over-year on a trailing 12-month basis.

For the second quarter, EA reported net revenues of $898 million, up 10% from last year, but short of the $915 million it had given as guidance. However, the company’s net loss for the quarter of $38 million was a significant improvement on the previous second quarter’s net loss of $140 million, and better than the projected $51 million net loss.

EA gave the early performance of FIFA 17 and the holiday slate of releases as reason enough to adjust its full-year expectations, with the company now expecting net revenue for the year ending March 31, 2017 to be $4.775 billion, up from $4.75 billion. Net income for the year is also projected to reach $848 million, compared to the previous guidance of $809 million.

Update: On the earnings call, EA CFO Blake Jorgensen addressed the early feedback on Battlefield 1 and Titanfall 2, noting that it’s too early to update any sales projections but that there’s “incredible excitement” around both and the company is “very optimistic” not just for this holiday season but for the longer term. Citing the fact that “quite a few players” were still playing Battlefield 4 years after it released, Jorgensen said he expects similar long-term interest in both titles. More generally, looking at EA’s business, Jorgensen is also encouraged by the opportunity that this generation’s consoles and the mid-cycle upgrades affords a big publisher like EA since the console installed base is already up 33% in the West compared to the previous generation, he said.

Interestingly, when asked about one of EA’s big upcoming titles, Mass Effect: Andromeda, Jorgensen effectively said that EA is not afraid to push the title back yet again (it was originally scheduled for 2016 but is now loosely slated for Q4, which ends next March). While that shouldn’t be read as a sign of trouble – Jorgensen said Mass Effect is “tracking extremely well” – it appears EA wants to be 100% sure that the game does not need any additional time before it commits more fully to a release date.

Star Wars Battlefront May Not Arrive Until 2015

August 5, 2013 by  
Filed under Gaming

For those like us who are excited about the DICE reboot of Star Wars: Battlefront, EA revealed during a stockholders call that everyone is going to have a bit of a wait. The new rebooted Star Wars: Battlefront is targeted for release around the summer of 2015, but that date could change.

During the call EA also talked about the fact that Star Wars: Battlefront would be the first of a number of Star Wars titles that the company is planning. EA also said that it is planning Star Wars releases for mobile and handheld devices as well as the console systems.

While the summer of 2015 is a long way off, we want DICE to get it right. Everyone needs to be patient and wait, but we do have a good feeling about a DICE developed Battlefront title that is for sure.



Does Activision’s CEO Think The Competition Games Are Crap?

August 6, 2012 by  
Filed under Gaming

Following Activision Blizzard’s earnings announcement, the publisher held its investors call to discuss its results and the industry at large. Chief Executive Bobby Kotick was asked by an analyst about the challenging marketplace this year and why sales have been down at retail.

“You have a very difficult macroeconomic environment, when you look at the things that can generally have an impact on the consumption of entertainment – unemployment data is very concerning, and when you look at the challenges in Europe there are a lot of things that are going to affect the macroeconomic outlook. We are also at the late end of the cycle, and the late end of a console cycle is always going to have its share of difficulties,” Kotick began.

He then proceeded to lay some of the blame at the feet of his competitors, which he said are not necessarily doing the industry justice by shipping less than stellar games.

“I also think you’ve had, unfortunately, a stream of products that are less than adequate from some of our competitors. The demand in the marketplace is for great quality products. If you look at the success we’re having it validates that there is an opportunity for great quality products but I think at this stage in the cycle, it’s challenging for anything other than great quality products,” he said.

Kotick added that other sectors, particularly mobile, are having an impact on how much money consumers are willing to spend. Beyond that, many gamers are happy to keep playing online games for longer stretches of time instead of rushing out to buy new products.

“There’s also a lot of competition for entertainment dollars – you look at mobile games and what’s happening there and the pricing there that’s having an impact,” he continued. “And I also think that a lot of the games we make, like Call of Duty, that are multiplayer games offer a lot of replayability, and when you have the opportunity for replayability in an economic environment like this, you’re going to spend more time playing the games that you have.”

“But I will say that if you look out at the next five years, there’s a lot of reason to be hopeful and enthusiastic, but the next few years are going to be challenging,” Kotick concluded.



Did Activision Pay Big Money To Settle The CoD Lawsuit?

August 1, 2012 by  
Filed under Gaming

A new report from Cowen and Company states that the recently settled case between ex-Infinity Ward studio heads Jason West and Vince Zampella and Activision settled to the tune of ‘tens of millions.’ Analyst Doug Creutz believes that while the settlement was undisclosed, the two Call of Duty executives walked away with a very healthy sum.

The comments from the firm come just a few days shy of financial reporting for Activision. Creutz notes that Activision will more than likely ignore the settlement when discussing the outlook for the company during the earnings call as it feels investors will see the sum as negligible going forward.

Activision is looking at healthy sales overall from the Blizzard side, thanks in part to an expected 8 million units sold for Diablo III, says Creutz. The game pushed past 6 million units sold in May, beating out earlier predictions of only 5 million forecasted. Blizzard’s next release, StarCraft 2: Heart of the Swarm, is more than likely not going to ship until 2013, adds Creutz.

EA is also gearing up to release its financial report as well. Creutz believes that EA will be reducing sales forecasts for upcoming titles, notably Medal of Honor: Warfighter. The game is expected to only sell 1.44 million units, a sharp decline from Creutz’s previously forecast 2.33 million. The analyst also had sobering news for BioWare’s The Old Republic, which he believes will continue to see rapid declination in subscribers to around 500,000 users overall.



EA Thinks Gamers Will Continue Playing SWTOR For 10 Years

June 19, 2012 by  
Filed under Gaming

Star Wars: The Old Republic got off to a hot start when it launched, quickly gaining a million subscribers, hitting a peak of 1.7 million players but then more recently seeing a drop off to 1.3 million subscribers. It’s clear that the BioWare MMO is facing increasing pressure from other MMOs and free-to-play online games, but EA is prepared to do anything to ensure that gamers enjoy being in a galaxy far, far away for a long, long time. EA labels boss Frank Gibeau recently discussed.

“We’re really proud of Star Wars. We’re really excited about the launch. We’ve had tremendously positive feedback from our fans and our subscribers. You’re right, it is a complex and difficult market out there on the PC because of the availability of free-to-play products like our own, like World of Tanks, League of Legends… WoW is a free download that you pay a subscription to after a period of time. We’re cognizant – we see that,” Gibeau told us.

Gibeau stressed that EA will continue to evaluate the business around Star Wars and implement changes as needed, so free-to-play isn’t out of the question at all (indeed, BioWare recently said as much too).

“We’re going to be in the business from a long term standpoint so absolutely we’re going to embrace free access, free trial, ultimately some day we can move in and embrace that model. It’s all a matter of timing and thinking things through. We have a great business right now and we’re not looking to make any abrupt changes. We made some good announcements in terms of giving you the first few levels free, because our telemetry told us that if we can get you to around level 8 or 9, you stick with us for the long term. So really the strategy right now is about opening up the funnel at the top so we can acquire more customers who are interested in Star Wars who perhaps aren’t ready to pay the full price,” Gibeau continued.

“[We want to give them] an opportunity to try and it and say, ‘You know, I really do like this. I’m going to make that commitment.’ MMOs, obviously, are a big commitment of time and money and so giving people an opportunity to access it for free, try it, we found in our telemetry and our experiments is a really good strategy and a good tactic. We’re going to do that. We also announced a… mass amount of content thats coming for the service, so we’re going to be in the Star Wars business for ten years, who knows? We’re still publishing Ultima Online for seventeen years. So we’re definitely going to be in the Star Wars business for a long time and if the business changes in accordance with how the market is reacting, then that’s just good process for us since we’re trying to create the best possible service for our gamers.”

We asked Gibeau if he’s absolutely confident that a decade from now EA would still have people playing Star Wars: The Old Republic. He answered, “I am, actually. We’re still playing Dark Age of Camelot, we’re still playing Warhammer, we’re still playing Ultima Online, we’re still playing Runescape, we’re still playing Lineage. What’s beautiful about an MMO is that when you get to a certain scale it stays with the program for a long time.”

Part of lasting a decade or more will obviously involve being flexible with business models. “The advent of free-to-play is certainly a change in the dynamic of the PC market. I don’t think subscriptions ever go away, but when you have an IP as broad as Star Wars, we’re definitely going to look at opportunities to grow that business and look at different ways of bringing customers in and serving them,” Gibeau said.


Is Star Wars-The Old Republic In Decline?

April 25, 2012 by  
Filed under Gaming

Last week, an analyst report from Cowen and Company suggested that BioWare’s Star Wars: The Old Republic is losing subscribers and would drop from a peak of 1.7 million recorded in February to 1.25 million by the end of EA’s fiscal year. BioWare has now come out to deny that its MMO is in decline.

Speaking to PC Gamer, BioWare’s Daniel Erickson said that the company’s subscriber numbers for the game haven’t dropped but he did admit that concurrent users at peak times has been down. Erickson said that this is why some players have been experiencing “light” servers, and BioWare may consider merging some servers.

Erickson also commented that BioWare is doing “anything and everything” to boost its concurrent users number. “Nothing is off the table when it comes to making sure our communities are strong and active on each server,” he said.


Can SWTOR Maintain Its Subscribers?

March 5, 2012 by  
Filed under Gaming

EA BioWare’s Star Wars: The Old Republic is off to a good start, “with more than 1.7 million active subscribers and growing,” according to CEO John Riccitiello. While player churn is always a concern in MMOs, DFC Intelligence does see long-term success for the title.

The market research firm noted that The Old Republic “has the potential to be a successful long-term online subscription PC game… despite a general decline in high-end subscription game products and growing competition from numerous free-to-play games like Riot Games’ League of Legends, War Gaming’s World of Tanks, and S2 Games’ Heroes of New Earth.”

DFC, which conducted the study in conjunction with Xfire, tracked game usage data from the launch of the MMO on December 20, 2011 through February 20, 2012 and also surveyed over 4,000 Xfire users in January 2012. Based on this data, DFC believes that Star Wars can indeed reach over one million long-term paying subscribers (defined as a subscriber that pays for over six months).

“The current trend among large massively multiplayer online games is to have strong initial sales, after which users quickly lose interest and are not converted to long-term paying subscribers,” said DFC Intelligence analyst Jeremy Miller. “While early signs are fairly positive, over the next few months the plan is to closely monitor usage and consumer reaction to gauge how well Star Wars: The Old Republic performs over time.”

Miller added, “The next three to six months will be critical to determine if the game can attract a large and sustained paying subscriber base.”

DFC said that this study is part of an “ongoing initiative” with Xfire to better understand the core PC gaming market.

“The Xfire user-base is a strong trend indicator for gaming titles like Star Wars: The Old Republic and World of Warcraft,” said Xfire Chief Marketing Officer, Juston Brommel, “One of the core product features that attract gamers to Xfire is the ability for users to track their game hours. This data gives Xfire and DFC terabits of insightful trends into which games users are playing and how often.”


EA Gives One Of Its Studios The Ax

January 6, 2012 by  
Filed under Gaming

Bright List Studios, best known for the Harry Potter games, has been closed by Electronic Arts. Apparently, the axe fell very late last year; and the company was able to keep the entire thing pretty quiet. The exact number of lay-offs is unknown at this time.

Sources tell us that a number of the developers were relocated to other EA studios, with some developers finding a home at Criterion and PlayFish. Other developers apparently opted to get off the EA train and have moved on to Supermassive Games, Jagex, as well as some other studios in the area.

EA is not commenting on any specifics yet, other than to say that the consultation period had ended, and the studio was closed late last year.



SWTOR MMO Has Successful Launch

January 3, 2012 by  
Filed under Gaming

The early success of Bioware and EA’s Star Wars: The Old Republic is an indication of a healthy market for subscription based MMOs, according to analysts monitoring the high-profile release.

Electronic Arts said over the Christmas period that more than one million users had registered for the game, which officially went live on December 20, although it had steadily rolled out early access to the game beginning two weeks before that.

“We view the early success of Star Wars as an indication of a healthy MMO market,” said Baird Equity Research’s Colin Sebastian. “While there is likely some shifting of usage from Activision’s World of Warcraft, we see a viable market for multiple million-user MMOs in the US and Europe.”

Baird Equity estimates that the game has peak concurrent users of roughly 350,000 players.

According to analysts at Cowen and Company the uptake of The Old Republic has had “minimal apparent impact” on Blizzard and Activision’s market-leading World of Warcraft.

But it also noted that it expects a decline in WoW subscriptions the fourth quarter to be higher than 2.5 per cent, following recent trends in the game which have seen players leave the game.

As of December 31, EA has a total of 215 operational Star Wars servers, with 124 in the US and 91 in Europe. That compares to 491 European and US servers for World of Warcraft combined.

Early critical response for The Old Republic has been generally positive, although many outlets are still in the process of reviewing the game. It currently boasts a Metacritic score of 88, but the game has not been without its launch controversies, including gold-farming and bans for players that some have seen as unfair.

All eyes are now on the game to see if it can maintain its subscription business model, with many expecting a shift to free-to-play, as has been the case with multiple MMOs over the past 18 months.




Star Wars: The Old Republic Launches In December

September 26, 2011 by  
Filed under Gaming

Star Wars: The Old Republic will launch on December 20 in North America and December 22 in Europe.

The date was revealed by Bioware co-founders Dr. Ray Muzyka and Dr. Greg Zeschuk during a developer session at the Eurogamer Expo.

Muzyka emphasized the importance of creating a high quality product, and finding “a good window” that would give players time to play it.

“We’re getting more and more confident too because we’ve been testing for many months now with thousands and thousands of beta testers, so we’re doing exhaustive testing of all different aspects of the service,” he said.

“Taking all that feedback to heart and integrating it in and continually making it better, so we’re getting very confident in the quality now.”

The news that Blizzard’s Diablo III – which will also be a persistent online experience – won’t launch until next year may have contributed to the decision to launch this year.

“It would make sense mutually to probably not fall on top of one another, but our primary concerns, like [Blizzard], is to launch a great game first and foremost,” Muzyka added. “If we’re steering clear of great competitors well, so much the better.”

Sony Online Entertainment president John Smedley claimed that The Old Republic has a “legitimate shot” at 2 million subscribers. However, Smedley also said that it will be the last large scale MMO to use a traditional subscription business model.

“Why do I think that? Simply put, the world is moving on from this model and over time people aren’t going to accept this method. I’m sure I’m going to hear a lot about this statement. But I am positive I’m right.” by Matthew Handrahan

EA Sports Launches Season Ticket

August 3, 2011 by  
Filed under Gaming

EA Sports has launched an annual subscription service, Season Ticket, for its core franchises.

The annual fee is set as 2000 Microsoft Points roughly $25.00– at the time of writing an official cash figure wasn’t available – and will give subscribers access to four exclusive benefits across all the four franchises.

“We’ve been talking to consumers in the U.S. and over there in Europe about the type of thing they would like to see that they aren’t currently getting from their EA Sports experiences,” EA Sports’ president Peter Moore told

“It’s very important to communicate that this doesn’t change anything about EA Sports other than to add a layer on for people who are interested in those areas. It doesn’t subtract or detract in any way from the core experience.”

Season ticket holders will be able to download and play the full version of the latest version of each game three days before it is released. The download will expire on launch day, when the user will be able to purchase the game through conventional channels, taking any experience or achievements earned with them.

The other benefits are a 20 percent discount on all EA Sports DLC, including Ultimate Team packs, accelerator packs and gear upgrades; free premium web content; and a membership recognition badge displayed in-game and on the user’s EA Sports profile.

Moore highlighted the early access and discounted DLC benefits as the “brain behind the programme,” and claimed that the initiative is, “not about making a profit in the early going.”

“It’s about figuring out…a price that isn’t going to eliminate a huge amount of people for the value that’s delivered. We took it to the consumers and asked what they thought. The price we landed on is around 2000 points, and we think it’s a great price.”

Season Ticket is further evidence of EA’s commitment to growing its digital business, with EA Sports vice president Andrew Wilson recently speaking at both Develop and directly to on the subject.

The service covers the EA Sports FIFA, Madden NFL, NHL Hockey and Tiger Woods’ PGA Tour franchises. It will be available in North America, Europe, Australia and New Zealand for Xbox 360, and North America for PlayStation 3. by Matthew Handrahan

Star Wars-The Old Republic Pre-Orders, Doing Well

July 29, 2011 by  
Filed under Gaming

It appears that Star Wars-The Old Republic pre-orders are doing quite well. EA reported that the pre-order are breaking records that the company had. An EA spokesperson said “The number of pre-orders is way ahead of our expectations.”

EA’s next closest game in pre-orders is Battlefield 3 and SWTOR is way ahead of that game. Many retailers are confirming that Star Wars is in high demand which is great for a PC title; and are comparing the demand to Word of Warcraft expansion.”

Many hating analysts may question EA’s ability to make money with this MMO title.  Nevertheless, EA continues to be confident that they will be able to make SWTOR profitable for them to operate. Time will tell if they will succeed.  However, with BioWare behind this game that feat should not be difficult.


EA’s Profits Up Due To Consoles

July 27, 2011 by  
Filed under Gaming

Electronic Arts

Electronic Arts has reported first quarter profits of $221 million, more than double the $96 million from the same period last year.

Sales were up to $999 million, compared to $815 million, with 2 million sales of Valve’s Portal 2, Dead Space 2 and Dragon Age 2. Crytek’s Crysis 2 has now sold over three million units since release.

“This was another solid quarter driven by both digital and packaged goods,” commented John Riccitiello, CEO.

“We saw strong digital revenue growth over the prior year. On packaged goods, NCAA is off to a great start and pre-orders for Battlefield 3 are tracking extremely well.”

Breaking down the $999 million sales for the quarter, digital sales accounted for $232 million, up from $176 million. Packaged goods sales were at $647 million compared to $586 million in 2010, and distribution of boxed product hit $120 million, up from $53 million.

EA revealed that FIFA 11 has sold 11 million units across all platforms and Battlefield: Bad Company 2 a total of 9 million since release.

Star Wars: The Old Republic has broken EA’s pre-order records, according to the company, while Battlefield 3 pre-orders are ten times that of Battlefield: Bad Company 2. by Matt Martin

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