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Is Video Game Development Going Truly Global?

July 18, 2017 by  
Filed under Gaming

The international video games industry owes a considerable amount to the efforts of immigrants from countries like Syria.

Companies like AdMob – founded by Syrian Entrepreneur Omar Hamoui, and later acquired by Google for $750 million – have helped reshape the conventions of game publishing as we know it. Steve Jobs’ own biological father was a Syrian emigrant to the states. On taking that journey, Abdulfattah ‘John’ Jandali unknowingly set events in motion that would lead to Apple’s reinvention of how we play, make and distribute games.

Beyond games there are numerous other examples of Syrian people who have helped better the world through technology, empowered to do so through freedom of travel. People like Sirin Hamsho, a Hama-born engineer who today resides in the United States, and has helped revolutionise renewable energy through her work with wind turbines.

Technology is, of course, progressed by collaboration, and cooperation happens most readily when people can get together. It’s the reason travelling to other countries – be it for a single meeting or a new life – is so often the catalyst for technological change. That’s why most in the games industry go to conferences all over the world; it’s a chance to understand distinct approaches, secure contacts, form alliances and spark collaboration.

When Trump’s long-promised travel ban became a rather chaotic reality, numerous games makers suddenly found their potential severely jeopardised. Suddenly, every US games conference was off the radar of hundreds of developers. No GDC, no E3, no nothing. Studios needing to take a couple of days to attend a meeting with a US publisher had the rug pulled from beneath their feet. Chances to meet new staff and find new partners were thrown into disarray.

That inspired Unity Technologies to conceive the ‘Unity Without Borders’ initiative, which sought to bring 50 developers to the Unite Europe conference in Amsterdam last month. After a selection process, Unity would handle and cover travel, accommodation, visas and anything else needed to afford games makers limited by Trump’s ban to engage with the free exchange of ideas that is the founding spirit of almost any game convention.

Meeting the developers brought to Unite as part of Without Borders, it is clear they greatly appreciate the opportunity. That, perhaps, should be obvious, but there is a sense on the show floor that the effort is about more than one middleware-specific company conference.

Ziad MollaMahmud is a man with many skills. By day he is a .NET developer for web applications, while also doing 3D modelling work in the architectural space. A Syrian based in Turkey, he has in recent years embraced game development, acquiring a taste for AR, which he has explored through modest projects of his own conception.

“This is a very, very good opportunity for me,” MollaMahmud says of his success in visiting Unite Europe as part of Without Borders. “It’s a breaking point in my life, where I can move to a better position and change my way of thinking about the future. I believe coming here will have a very good effect over me and my future.”

That’s not to say MollaMahmud is new to being overseas for his career. He estimates that he has visited some 13 countries during his 20-year career, but with the outbreak of Syria’s civil war – and long before the impact of Trump’s presidency – the ambitious developer started to realise global politics would limit his professional potential.

“It’s not only Trump. There’s a lot of restrictions on Syrian’s travelling and doing other things, and that makes it very hard”

“After the Syrian war started a lot of Middle Eastern countries placed travel bans on Syrians, just because of their nationality,” he says. “I was travelling before – without any visa – but after the war they all started to do these travel bans, and I couldn’t travel to the Middle East. It’s not only Trump. There’s a lot of restrictions on Syrian’s travelling and doing other things, and that makes it very hard.”

Those restrictions – whatever their source or motivation – continue today, and in many other ways that also prevent developers from collaborating. Many Iranian and Syrian studios keen to apply for Without Borders were faced with limitations on web access that impeded their submissions for the initiative. There’s a logic to the internet making face-to-face meetings less relevant today, but when the web you can access is restricted presence at real-world events is all the more important. And that was, Unity says, what inspired the Without Borders initiative.

“In some of their communities – especially in countries like Iran and Syria, where they can’t move around as much – they don’t have a lot of access to a lot of game developers or creators,” says Elizabeth Brown, Chief People Officer at Unity, who has been pivotal in implementing Without Borders. “Coming to a conference not only fuels inspiration, but establishes skill sets, sparks ideas and builds networks. They don’t always have access to a local game development community, so they rely on international conferences to feed them and develop their creations and businesses. When they are limited from going to those conferences, they are super limited. That’s as creators, but also as business owners. Some of them are making their living by making games.”

For Brown, this isn’t just a matter of providing those with a passion for games an exciting opportunity; it is about helping developers put food on their tables. Often, that is incredibly limited for a developer restricted to just their home country, market and development community.

“We don’t have anything like this in Iran,” explains Amin Shahidi, as he glances around the main expo hall of Unite Europe, smiling. Shahidi is team lead, animator and game designer at the Tehran-based studio Black Cube Games, and he’s at Unite thanks to Without Borders. “We don’t have these kind of networks,” he continues. “So in Iran, all the movement of developers is very limited, or even blind. So this kind of event – and the moment of being here – is very, very cool and very, very helpful.”

“It shows us that people actually care about us,” adds Ali Boroumand, a game developer at Dutch studio Ferox Games, and a former colleague of Shahidi’s. “We’re all humans, and we’re all pretty much the same people. So it’s very heart warming to think that, even in hard times, people see game developers as game developers. We’re all game developers, and it doesn’t really matter where we come from. We’re all trying to make good games.

“But before this, we had to rule out contributing to any conferences or studios inside the United States. We couldn’t contribute to anything there, and that’s probably a loss on both sides. And beyond the travel ban, there are quite a few other United States restrictions, mostly on money. Selling games outside of Iran is hard for us.”

Boroumand makes a very important point with regard to what Iranian developers have to offer the rest of the global games development community. Restricting developers’ opportunity to travel doesn’t only harm the game industry in their home countries; it equally detracts from the nations they would otherwise be visiting. Collaborating is at least a two-way process, and the learning, inspiration and innovation it engenders rarely passes only in a single direction.

“Syria, like anywhere, has talented people who can bring a lot of things to games development and all technology,” suggests MollaMahmud. “But we need a chance to open the window and say ‘we are here, you can do things for us, and we can do things for you’. We just need a chance to elevate ourselves and do something not just for ourselves, but for all those that make games. We can help your games when we can travel to you freely.”

Equally, there’s an obvious creative opportunity for any studio looking to bring distinct aesthetics and approaches to the global market.

“Iran has quite a long history,” says Boroumand, who is presently based in Sheffield. “The Persian empires have been around for a few thousand years, so Iranian art and Iranian culture is pretty rich in that respect. Games of Iranian art and Iranian influence can bring something to the rest of the world, definitely; something that isn’t often seen.”

There’s an irony to all this, of course. Trump’s travel ban has afforded the Unity Without Borders teams an opportunity to visit a conference they may never have seen had the US President not targeted the various nations blacklisted. For MollaMahmud, however, the irony of opportunity born from limitations runs a little deeper. Buoyed by his experience of attending Unite, he can be remarkably optimistic about a situation that had s dramatic impact on his life.

He believes the horrific Syrian war, which broke out just a couple of years after he returned to live in the country, offers an ultimate example of the potential opportunity hardship can bring game developers.

“After the war is finished – and I hope that is soon – I believe there will be a very good opportunity in Syria for all kinds of business, including game development and software in general,” he considers. “The war will leave a country that will have to start from scratch. Now there are millions of Syrian refugees outside of Syria. It’s really bad to be a refugee, and I believe a lot of refugees are ready to seize the opportunity – having learned many new things – of heading back to Syria.”

Forced displacement is no better than placing mandatory travel restrictions, of course, but in a strange, counter-intuitive way, migration from conflict could represent what freedom to travel can bring in terms of advantages.

“The war, I hope, will finish soon,” MollaMahmud repeats firmly. “Then a lot of people will come back to Syria, and help build our country from scratch. I always say that Germany after the second world war, for example, started from scratch, and they have built a very good, very beautiful, respected country. Then more of us can make successful games.”

MollaMahmud isn’t suggesting that the development of a healthy national games industry justifies a war; not at all. For one, there are more important things than the games industry to consider when a country emerges from conflict. But if Syrians can pool the experience gained through their peoples’ diaspora and establish a game industry to rival Germany’s, it would contribute a great deal to that renewal and rebuilding.

Movement of people can push technology like little else, for the benefit of everyone involved, regardless of their home or country of origin; Apple and AdMob are proof of that. War will likely exist forever, but its horror doesn’t preclude it from being used to inspire positive movements large and small.

Nobody is calling for the forced displacement of people for the benefit of the game industry, of course. But based on the enthusiasm and appetite for learning of every Without Borders developer at Unite Europe, it’s apparent that supporting thoughtful freedom to travel benefits us all.

Courtesy-GI.biz

Will Doom VR Be A Successful Game

June 21, 2017 by  
Filed under Gaming

Doom is getting a virtual reality (VR) mode that will up the frights and will probably have you clawing at your face.

You know Doom, everyone knows Doom and people are always trying to play it on things that it was never meant to go on, like cash machines and cars, for example.

Doom was born for VR. The facefirst run and shoot game will lend itself very well to the format, and we can admit to wanting a go on it.

There is a reveal trailer, and Doom VFR certainly looks, smells and bleeds like the Doom we have come to know and love. The trailer is marked as unsuitable for some viewers which if you ask us, makes it sound like a perfect trailer for Doom. It is quite a bloody thing, it is certainly exciting, action-packed and violent.

“If you flinched the first time you saw a meaty Mancubus charging at you in last year’s critically acclaimed Doom, wait till you get up close and even more personal with rampaging demons in Doom VFR,” says Bethesda Softworks. “Doom VFR is a new virtual reality game from legendary developer id Software, coming to PlayStation VR and Vive platforms.”

Bethesda and ID Software, the companies behind Doom, said that VR has opened up fresh opportunities for both them and the games that they are aiming it at.

“Developing a Doom game specifically for virtual reality has provided an exciting opportunity to not only surround players with the world of Doom like never before, but also let them experience and explore the UAC and Hell in new ways, playing as new characters with totally unique tools and abilities,” said Robert Duffy, CTO at id Software.

The game’s director, Marty Stratton, explained that Doom VFR gives the fans what they want. “Since the hallmark of any Doom game is combat, we’ve made it our top priority to ensure moving, shooting and killing demons with overwhelming force in virtual reality is as brutal and rewarding as it is in the Doom experience that fans have been enjoying for the past year.”

Courtesy-TheInq

Will The US Video Game Industry Grow To A 28 Billion Dollar Market

June 16, 2017 by  
Filed under Gaming

According to the 18th PwC Global Entertainment and Media Outlook 2017-2021, which covers a number of major industries (not just games), the total video games revenue in the US is expected to grow at a 6.3% CAGR rate to reach more than $28.5 billion by 2021. The research firm notes that the PC games sector looks a bit rosier than consoles in the next few years in terms of growth. While total PC games revenue in the US is set to grow from $3.7bn in 2016 to $5.0bn in 2021, at a 6.6% CAGR, consoles will only grow at a 2.8% CAGR, hitting $9.4bn in 2021.

Consoles’ slowed growth “can be attributed to the increase in digital full game downloads which is mostly offset by a decline of physical console game sell-through revenue, which is set to drop by a 4.3% CAGR during the forecast period,” PwC noted. At the same time, the PC sector is seeing “healthy growth” in the online/microtransactions department – online PC revenue is expected to climb at a 7.0% CAGR to $4.2bn by 2021. PwC said that much of this can be attributed to the ongoing success of F2P, more subscription services and the rise of eSports. Digital sales on consoles are getting stronger and stronger as well, expected to grow at a 9.8% CAGR to hit $3.7bn by 2021 – but as noted above, the decline in physical is still offsetting much of this growth.

Virtual reality continues to draw lots of attention across the industry, and according to PwC, the segment should grow at an impressive 64% CAGR to reach $5bn by 2021, or roughly 17% of the entire US games business revenue total. The firm estimates that dedicated high-end VR (Rift, Vive, PSVR) should climb to an installed base of 13 million by 2021, while the overall VR headset installed base will reach 68 million. Additionally, “Portable dedicated headsets – a new category of self-contained headset that will emerge from 2017 designed exclusively to render VR experiences – will have an installed base of 5.3mn by 2021 (CAGR of 87.5%) because of their superior capabilities compared to smartphone-based devices, and ease of use,” the firm said.

While games as a technology have been the driver of VR, PwC expects VR content revenues to be driven by non-gaming experiences like VR video, which will “grow at a CAGR of 87.8% to represent 58.3% of overall content spending in 2021. It will surpass interactive experiences and games revenue…in 2019.” PwC remarked that established media like Netflix, HBO and ESPN, would play a big part in driving VR content along with major game publishers; that said, “expect smaller developers like Jaunt to get an increasing share of this content revenue as they act as the technical partners for both the big studios and non-specialist start-ups.”

The other smaller, but quickly growing segment that should boost total industry revenues in the US is, of course, eSports. PwC expects the sector to grow at a 22% CAGR to reach almost $300 million in 2021. Streaming advertising is the lion’s share of that total at $149 million, but sponsorships, voluntary consumer contributions and ticket sales all add to the pie as well.

“The US is the largest market in revenue terms, having overtaken South Korea in 2015, although the latter will stay far ahead in terms of per-capita revenue,” PwC explained. “The development of eSports has grown at a breakneck pace in the US over recent years, receiving perhaps its biggest boost into the mainstream when ESPN began covering major events on both its streaming and regular channels – most notably the August 2015 final of The International, a tournament for Defense of the Ancients 2 (Dota 2). In September 2015 the company even advertised for an eSports general editor, in recognition of the specialist knowledge required to cover the discipline comprehensively.”

Streaming sites are still the dominant medium for eSports viewing, however. Amazon-owned Twitch is said to rank behind Netflix, Google (YouTube) and Apple in terms of peak internet traffic, PwC noted. There’s no doubt that eSports is capturing the attention of major corporations and advertisers. “Companies are moving in swiftly to sponsor both teams and events, with fast-moving consumer goods companies like Coca-Cola, Doritos and Snickers all forging a niche…

“Notably, in September 2016 the NBA’s Philadelphia 76ers bought the long-time franchise Dignitas and Apex, which offers a guaranteed spot in the League of Legends circuit. For the 76ers, the purchase offers an opportunity to diversify into a market that is particularly popular with the protean 18-24-year-old market and get a named presence at eSsports tournaments, while their newly signed-up players can also live-stream and create content under their parent owner’s banner. If the space continues to grow exponentially, sports teams such as the 76ers that become early movers will have the upper hand – as well as a usefully sized stadium for hosting tournaments. Certainly signs are positive here, with the NBA in February 2017 announcing plans to create a new league based around the game NBA 2K.”

Courtesy-GI.biz

Is Grand Theft Auto V The Best Selling Video Game Ever

June 12, 2017 by  
Filed under Gaming

Grand Theft Auto V has sold more copies in the US than any other release over the past 22 years.

That’s according to NPD Group analyst Mat Piscatella, who tweeted that Rockstar’s masterpiece is the region’s best-selling game since the market research firm first began tracking.

“Not surprising, but still amazing,” he wrote.

That’s not to say GTA V has overtaken some previous champion, GamesBeat reports – just an interesting factoid Piscatella was keen to share.

As the analyst says, it comes as no surprise. The latest Grand Theft Auto has sold more than 80m units around the worldwide to date – despite originally launching way back in 2013 on the Xbox 360 and PS3.

Subsequent PC, Xbox One and PS4 releases have driven sales further, as have the regular updates for the game’s Grand Theft Auto Online multiplayer mode.

The latter was a significant contributor to the financial performance of Rockstar parent Take-Two, which reported revenues of $1.78bn for the year ended March 31st. Earlier this week, CEO Strauss Zelnick noted this success has come despite his belief the company has been restrained with in-game purchases and is currently “undermonetising” its users.

All eyes are on Rockstar’s next release Red Dead Redemption 2, which was recently delayed to 2018. The original was a huge worldwide hit, although it is perhaps unlikely the sequel can match the success of Grand Theft Auto V.

Courtesy-GI.biz

Square Enix Is Giving IO Interactive The Boot

May 23, 2017 by  
Filed under Gaming

Square Enix is dropping IO Interactive, the Danish studio behind the long-running Hitman franchise.

In a statement released today, the Japanese publisher said the decision was part of a strategy to “focus our resources and energies on key franchises and studios.”

The withdrawal was in effect as of the end of the last financial year, on March 31, 2017, and resulted in a ¥4.9 billion ($43 million) extraordinary loss on the company’s balance sheet.

Square Enix has already started discussion with potential new investors, the company said. “Whilst there can be no guarantees that the negotiations will be concluded successfully, they are being explored since this is in the best interests of our shareholders, the studio and the industry as a whole.”

IO Interactive was acquired by Eidos in 2003, just before it launched Hitman: Contracts, the third game in what was already its signature franchise. Eidos was acquired by Square Enix in 2009, and it has launched four games in the time since: Mini Ninjas, Kane & Lynch 2: Dog Days, Hitman: Absolution, and Hitman, last year’s episodic take on its most celebrated IP.

The bold new structure implemented in Hitman saw the game’s missions being separately on digital platforms, with various live events and challenges taking place between the release of each one. Square Enix originally planned to give the entire series a boxed retail release, but that never materialised. It has never disclosed official numbers regarding the sales figures for Hitman, either as a series or for individual episodes.

However, the series’ ámbition was widely appreciated within the games press – it was named 11th best game of 2016 by Eurogamer, for example, and was Giant Bomb’s overall Game of the Year. When we talked to IO studio head Hannes Seifert last year, he described the pride his team felt at the “new feeling” the game created, and made it clear that plans for Hitman extended far beyond a single season of epsiodes.

“When we say an ever expanding world of assassination, it means we don’t have to take everything that’s out there, throw it away and make a new game,” he said. “We can actually build on that. Just imagine after two or three seasons, you enter at that point in time, the amount of content will just blow your mind. That’s where we want to be.”

Seifert stepped down as IO’s studio head in February this year. He was replaced by Hakan Abrak, IO’s former studio production director.

Courtesy-GI.biz

Can Big Game Developers Keep Innovation Alive

May 12, 2017 by  
Filed under Gaming

The games industry has gone through a series of major transitions and changes over the past couple of decades – changes to the platforms people play on, the way they pay for and interact with games and even to the audiences that are actually playing. Each of those has brought along a series of challenges which the industry has had to surmount or circumvent; none of them, arguably, is a perfectly solved problem. Meanwhile, though, there have also been a handful of challenges running in the background – consistent issues that are even more fundamental to the nature of the games business, less exciting and sexy than the latest great transition but no less in need of clever solutions. Education and skills is one example; tax regimes and the industry’s relationship with governments is another.

Perhaps chief among those issues, though, is one which ties in to a common problem across a wide variety of industries, creative and otherwise. It’s the problem of innovation; specifically, the question of how to make innovation work in the context of a large corporation. The conventional wisdom of modern capitalism is that innovation bubbles up from small start-ups; unencumbered by the institutional, structural and cultural constraints that large, established companies operate within, they’re free to create new things and execute original ideas. As firms grow bigger, they lose that nimbleness and flexibility. Projects become wrapped up in internal politics, in the stifling requirements of handling shareholder relationships, and all too often, in the innovator’s dilemma – the unwillingness to pursue fresh innovation for fear that it’ll disrupt one of your proven cash cows.

As a result, we see a structure in which innovation happens at small start-ups, which large companies tap into through acquisitions. We see this in the games industry too, in the form of big publishers acquiring innovative and successful developers. Such acquisitions usually come with golden handcuffs for the key talent, requiring them to work for their firm’s new owners for a certain amount of time – after which they’re free to go off and create something new, small and innovative again (with a few million quid in their back pocket, to boot). This creates a cycle, and a class of serial innovators who repeatedly build up new, successful small companies to sell to larger, innovation-starved firms.

For many large companies, this isn’t an entirely satisfactory situation. Surely, they reason, there must be some way for a company to scale up without losing the capacity to innovate? Yet for the most part, the situation holds; big companies can create great products, but they are generally iterative and derivative, only very rarely being major, disruptive breaks from what was offered before. There are just too many barriers a game or a product needs to get through; too much politics to navigate, too many layers of management stumped by new ideas or worried about how something hard to explain will play to investors who only want to hear descriptions like “it’s like GTA, but with elements of Call of Duty”, or “it’s like an iPhone, but with a better camera”.

The desire to find some way to bottle the start-up lightning and deploy it within existing corporations runs deep, though, and it’s resulted in a number of popular initiatives over the years. Perhaps the most famous of recent years is the buzz around Eric Ries’ book The Lean Start-Up, a guide to effective business practices for start-up companies which extolled a launch-early, iterate-fast approach. Though it had some impact in the start-up world, The Lean Start-Up seemed to find its most receptive audience among executives at large corporations keen to find some way to create “internal start-ups” – silos within their companies which would function like incubators, replicating the conditions which allowed start-ups in the wild to innovate and iterate rapidly.

For the most part, those efforts didn’t work. The reality is that a start-up inside a company isn’t the same as a start-up in the wild. It doesn’t have the same constraints or the same possibilities available to it; its staff remain employees of a large corporation and thus cannot expect the same rewards, or be exposed to the same decision-making environment, as staff at a start-up. Even something as basic as success or failure can’t be measured in the same way, and in place of experienced venture capitalists (often the final-stage Pokémon evolution of the serial innovators described above) as investors and advisors, an internal start-up finds itself being steered and judged by executives who have often spent a lifetime working within precisely the corporate structure they now claim to wish to subvert. It’s hardly surprising that this doesn’t work very often, either within games or in any other sector.

We haven’t talked about Hearthstone yet, even though it’s right up there in the opening lines. Let’s talk about Hearthstone.

Hearthstone is Blizzard’s card battling game, available across a variety of platforms. It’s a spin-off from the Warcraft franchise, and last year it made somewhere in the region of $350 million (according to estimates from SuperData). This week it topped 70 million unique users, and though the company doesn’t release concurrent user figures, it claims to have set a new record for those following the release of its latest expansion pack in April. It also remains one of the most popular games in the world for streaming. It’s a hell of a success story, and it’s also, in essence, a counterpoint to the notion that big companies can’t do small, innovative things. Hearthstone was prototyped and built by a small team within Blizzard, and ever since its launch it has embraced a distinctly start-up approach – iterating quickly and doing its experimentation in public through features like the “Barroom Brawl”, a sandbox that allows developers to test new mechanics and ideas that might make their way into the main game if they work well.

Given Hearthstone’s commercial success and the relatively small team and infrastructure behind it (relative, that is, to a behemoth like World of Warcraft), it’s probably Blizzard’s most profitable game. The question is, can other publishers and developers learn from what Blizzard did here? There’s a tendency with Blizzard success stories to simply attribute them to some intangible, indefinable “Blizzard Magic”, some sparkling pixie dust which is sprinkled liberally on all of their games but which can only be mined from the secret goblin tunnels under the company’s Irvine campus. In reality, though, Blizzard is simply a very creative and phenomenally well-managed company – one which has, in many respects, placed the solving of the whole question of how to innovate within a large company environment at the very heart of how it structures and defines itself.

One of the most famous things that people in the industry know about Blizzard is that the company is ruthless in its willingness to take an axe to projects that don’t live up to its standards. StarCraft: Ghost never saw the light of day after years in development; Titan, the planned MMO follow-up to World of Warcraft, was similarly ditched (with a core part of its team going on to rapidly develop the enormously successful Overwatch as their “rebound project”). What that means is that Blizzard has developed something within its internal culture that a lot of other firms in the industry lack; a capacity to coolly, rationally judge its own work on a purely creative and qualitative level, and to make very tough decisions without being overly swayed by internal politics, sunk-cost fallacies or other such calculations.

It’s instructive to listen to comments from people who worked on cancelled projects at Blizzard, even at a high level; while it was no doubt an emotional and difficult experience for them, their comments in hindsight usually express genuine agreement with the decision. There appears to be a culture that allows the company to judge projects without extending that judgment to the individuals who worked on them; I don’t doubt that this is an imperfect system and that there’s still plenty of friction around these decisions, but by and large, it seems to work.

There is no magic pixie dust involved in the success of games like Hearthstone (or Overwatch, for that matter). This is a model that can be replicated elsewhere… it’s not dissimilar to the structure of a company like Supercell”

That creates an environment in which a start-up style approach can actually thrive. Small, creative teams can work on innovative games, rapidly prototyping and being effectively judged for their quality along the way. After only a couple of cycles of internal culling and restarting, surviving projects can be pushed out to the market as a kind of “minimum viable product”; not a thinly disguised prototype, but the minimum required to be a viable Blizzard game. Polished, fun and interesting, but designed as a springboard from which the team can go on to iterate and innovate in a way that’s informed by feedback from a real audience, rather than as an expensively developed, monolithic product.

Not every company can accomplish this; it’s not just Blizzard’s exacting standards of quality that permit it, there are also important factors like the company’s opaqueness to investors (which allows it to make products for the market rather than making products for shareholders) and its ability to bootstrap new games with IP from existing franchises (the Nintendo model, in essence) to consider. There is, however, no magic pixie dust involved in the success of games like Hearthstone (or Overwatch, for that matter). This is a model that can be replicated elsewhere, given the right approach and the right people in decision-making roles. In fact, it’s a model that does exist elsewhere; it’s not dissimilar to the structure of a company like Supercell, for example, which helps to explain why Supercell is one of the only mobile developers that’s been able to “bottle its lightning” and consistently develop hit titles. It’s also close, though slightly different in structure, to the way Nintendo has shifted towards working in recent years, which has resulted in titles like Splatoon.

Big companies can be creative; they can be innovative, daring, clever and even disruptive. Hearthstone shows this at work within Blizzard, and it’s also present in a select but distinguished line-up of other game companies that have made it a priority to nurture innovation and to create a culture where good taste and creative excellence are celebrated above all else. For many companies, this would be a radical shift – requiring a change in priorities, in structure and even in staffing – but in the long run, such a shift might end up a lot cheaper than having to pull out your wallet every couple of years to buy the next innovative start-up that came up with an idea your own firm couldn’t conceive of.

Courtesy-GI.biz

Is Digital Rights Management On The Way Out?

May 8, 2017 by  
Filed under Around The Net

Two years ago, Cory Doctorow joined the EFF’s campaign to eliminate DRM within eight years and he claims that he is on target to do that thanks to tractors

Talking to the DEF CON hacking conference, Doctorow said that the farmers and the Digital Right To Repair Coalition have done brilliantly and have a message which is extremely resonant with the political right as well as the political left.

The entertainment industry seems to oppose extending the DMCA to tractors and if Big Content, which is very proprietary towards laws that protect DRM, thinks that it is silly then it acknowledges that there are cases were DRM is bad.

“They really feel that they lobbied for and bought these laws to protect the business model they envisioned. For these latecomer upstarts to turn up and stretch and distort these laws out of proportion has really exposed one of the natural cracks in copyright altogether,” he said.

Doctorow one good thing which will come from Brexit, is that the UK will renegotiate and reevaluate its relationship to the Organisation for Economic Co-operation and Development and other directives.

“The UK enjoys a really interesting market position if it wants to be the only nation in the region that makes, exports, and supports DRM-breaking tools,” he said.

Courtesy-Fud

Can The PS4 Pro Stop The Falling Sells Of The PS4?

May 4, 2017 by  
Filed under Gaming

Sony Interactive Entertainment sold 20 million units of its PlayStation 4 console in the last fiscal year, boosting revenue by 6% and operating income by more than 50%.

In the 12-month period ended March 31 2017, SIE’s Game & Network Services division earned $14.7 billion in revenue, a 6% increase over the year before. Operating income for the division was $1.2 billion, a more significant 53% increase over the prior year, largely due to cost reductions on PS4 hardware and rising software sales.

Guerrilla Games’ Horizon: Zero Dawn will have been a major contributor to software revenue, becoming the fastest-selling new IP of the PS4 era after moving 2.6 million units in the two weeks following its late-February release. Uncharted 4: A Thief’s End also launched in the accounting period; Naughty Dog’s widely acclaimed title sold 8.6 million copies by the end of calendar 2016.

Across the entire year, 20 million units of the PS4 were shipped, 13% more than the 17.7 million units in the previous fiscal year. Given that the PS4 had 40 million confirmed sales in May 2016, that puts the total PS4 installed base somewhere around 60 million – possibly just below, but certainly not very far away.

Sony offered no details on the specific performance of the PS4 Pro, and no further information on PSVR sales beyond the 915,000 unit figure revealed in February. Both devices launched at the end of calendar 2016.

Looking ahead, Sony expects PS4 shipments to decline to 18 million next year. However, it expects the GNS division to improve in general, with a 14.6% increase in revenue and a 34% increase in operating income.

Overall, Sony Corp. earned $67.9 billion in revenue in the last fiscal year, down 6%, and a $654 million net profit, a more dramatic 50% decline.

Courtesy-GI.biz

Blizzard Entertainment Wins Cheating Lawsuit

April 14, 2017 by  
Filed under Gaming

Blizzard Entertainment has asked for $8.5 million in damages from Bossland, a German company that makes and sells cheats and hacks for its most popular games.

This is the latest and probably final step in a legal complaint Blizzard filed in July 2016, which accused Bossland of copyright infringement and millions of dollars in lost sales, among other charges. Cheat software like Bossland’s Honorbuddy and Demonbuddy, Blizzard argued, ruins the experience of its products for other players.

According to Torrent Freak, Bossland’s attempt to have the case dismissed due to a lack of jurisdiction failed, after which it became unresponsive. It also failed to respond to a 24-hour ultimatum to respond from the court, and so Blizzard has filed a motion for default judgement.

The $8.5 million payment was calculated based on Blizzard’s sales projections for the infringing products. Bossland had previously admitted to selling 118,939 products to people in the United States since July 2013, of which Blizzard believes a minimum of 36% related to its games.

“In this case, Blizzard is only seeking the minimum statutory damages of $200 per infringement, for a total of $8,563,600.00,” the motion document stated. “While Blizzard would surely be entitled to seek a larger amount, Blizzard seeks only minimum statutory damages.

“Notably, $200 approximates the cost of a one-year license for the Bossland Hacks. So, it is very likely that Bossland actually received far more than $8 million in connection with its sale of the Bossland Hacks.”

Update: The court has granted Blizzard’s motion for default judgement, ordering Bossland to pay $8.56 million in damages.

That number was calculated based on 42,818 sales of Bossland’s products in the US. The court ruled that the German company should not be allowed to sell Honornuddy, Demonbuddy, Stormbuddy, Hearthbuddy and Watchover Tyrant in the country from now on, as well as any future products that exploit Blizzard’s games. Bossland will also have to pay $174,872 in attorneys’ fees.

Courtesy-GI.biz

Can Microsoft Make Game Pass Profitable?

March 29, 2017 by  
Filed under Gaming

Of all the various innovations we’ve seen in this console generation, it may be the business model changes that have the most lasting impact on the games industry. Though originally introduced in the back half of the previous generation, the notion of giving consumers “free” games on a monthly basis for continuing their subscription to console online services has become a standard part of the model in this hardware generation.

The degree to which this is expected, and to which the perceived quality of each month’s offerings is hotly debated, is a clear signal of how the value relationship between consumers and game software is changing. Now, within the next few months, both Microsoft and Sony will evolve that relationship even further, with services which aim to give consumers access to current-gen game software through a very different transaction model.

Microsoft was first out of the blocks with its announcement, revealing at the end of last month that a large library of software for the Xbox One will be made available for a $9.99 recurring monthly subscription. Sony’s version of the concept is similar in business terms, if dramatically different technologically; it’s going to start adding PS4 titles to PS Now, a game-streaming service which currently offers a huge library of PS3 games for a $20 recurring subscription (or $45 for three months, which gets it a little closer to Microsoft’s pricing).

The goal being pursued by both firms is fairly obvious; paying monthly rather than buying titles outright is the model which has become dominant for both music and video, so it stands to reason that games will follow down the same path, at least to some extent. There’s certainly some appeal to the idea of a “Netflix / Spotify For Games”. From a business perspective, getting $120 (or $180) from consumers in flat monthly fees for games is probably actually a revenue boost if the service is primarily picked up by the kind of consumers who don’t buy a lot of new games – either predominantly buying pre-owned, waiting for titles to hit bargain basement prices, or borrowing games from friends, for example.

On the other hand, there’s an abundance of consumers out there who buy far, far more than the two new games a year that you’d get for that $120 fee – so any of those who stop buying new games in favour of a subscription service will represent a major revenue loss to the industry. Many people will be worried about that possibility, no doubt, but the reality is that there’s plenty of precedent to suggest that a subscription service won’t harm sales of new games.

New titles won’t go directly onto a subscription service; there’ll undoubtedly be a lengthy exclusivity period for people who pay for a physical or digital copy of the game, with titles only appearing for subscribers once their revenue potential in direct sales is already all-but exhausted. Subscription revenue therefore becomes a second bite at the cherry – a way of boosting the industry’s often rather ratty-looking “long tail”.

From a consumer perspective, that’s actually not all that different from the way things are now. If you’re not bothered about playing a game in its first few months on the market, then you’re probably going to end up buying a second-hand copy – or getting it from the bargain bin, or borrowing it from a friend, or perhaps even just waiting for it to pop up on PlayStation Plus at some point.

Game software generally loses value dramatically after the first few months on the market; lots of options exist for picking it up cheap, but decades of experience shows that this doesn’t dissuade fans from buying new games they really care about. Games are a “zeitgeisty” medium; people want to be playing the game everyone else is playing right now (as anyone who’s had to put up with their social media feeds being filled to the brim with Zelda chat while every electronics store in the city remains out of stock of Switch can tell you – not that I’m bitter, of course).

For the industry, however, most of these options aren’t very appealing. Second-hand software sales enrich GameStop, and just about nobody else; there’s an argument that second-hand sales boost new software sales by providing trade-in value, but it’s hard to balance the effects of that against the simple revenue loss game creators suffer from the repeated recycling of second-hand stock through stores that often deliberately push consumers towards used games instead of new ones. Borrowing the game from a friend is arguably preferable to the industry; no money is changing hands at all, so at least potential revenue hasn’t been sucked out by a third party.

Given, then, that we’re already talking about consumers who have a range of options for accessing software which provide no revenue to game creators, something like a Netflix-esque subscription service starts to make a lot of sense. How the revenue works in the back-end will, no doubt, be subject to endless negotiation and dispute, but the point is that at least the revenue exists; games on the service will continue to generate cash for their creators as long as they’re being played, and every cent they receive is a cent they’d never have seen in the currently dominant second-hand models. Moreover, the existence of subscription services could be a net boost for the games industry as a whole; the ability to access a large library of software for an affordable monthly subscription fee is something that will appeal to a lot of consumers, potentially bringing them into the console ecosystem.

If the business case for these services is very clear, however, the question of which technical approach will succeed is rather less so. For now, I think that Microsoft’s model – allowing consumers to download and play locally the software on its subscription service – is comfortably superior to the PS Now streaming system.

Game streaming over the Internet remains a technology that’s arguably ahead of its time; there are question marks over the business case (since the provider needs to pay for racks and racks of hardware which every consumer using the service already possesses in their own home, a duplication of functionality that makes little sense, especially since PS Now recently dropped support for “thin client” platforms like Bravia TVs), but more importantly, a huge number of consumers simply won’t be able to make use of the service because their broadband connections are not up to the standard required for high-quality, real-time gameplay. The demands of real-time game streaming are very different from the demands of watching live streams of video, because you can’t buffer a real-time game stream; when it works, it’s impressive, but the reality is that for a great many consumers it either doesn’t work at all or only works at time when the network isn’t congested.

Given the limitations of PS Now (and I think the dropping of support on Bravia TVs, mobile phones and so on is an ominous sign for the future of the service), Microsoft’s native software approach seems far more likely to be a hit with its consumers – indeed, the company may be hoping to recapture some of the magic of the Xbox 360 era, when its enormous advantage over Sony in online services helped it to maintain a lead over the PS3 for several years.

For Sony’s part, the desire to try to boost PS Now may be its undoing, at least in the short term; but an enhanced version of PS Plus (PS Plus… Plus?) with a library subscription built-in seems like a no-brainer in the medium term. It’s a win-win situation for platform holders and game creators alike. The only really big loser in all of this will be heavily pre-owned reliant retailers like GameStop; if game subscription services truly take off this year, they’ll have to scramble to find a new model before it’s too late.

Courtesy-GI.biz

Can Washington D.C. Become The Center Of eSports?

March 22, 2017 by  
Filed under Gaming

Washington D.C. intends to become the home of eSports in the United States, with a strategy that includes sponsorship of the NRG Esports team and the construction of a $65 million stadium.

The city’s plans, which were revealed to Mashable, will be executed by Events D.C., the District of Columbia’s convention and sports authority. The deal with NRG Esports is among the first instances of a city sponsoring a pro gaming organisation, and Washington D.C. will now have its logo and branding on NRG teams’ uniforms, livestreams and websites.

NRG, which has teams competing in Overwatch, Counter-Strike: GO, Hearthstone and Rocket League, has roots in the world of traditional sports. It was founded by Andy Miller and Mark Mastrov, the co-owners of the NBA’s Sacramento Kings, and counts the basketball player Shaquille O’Neal and the baseball stars Alex Rodriguez and Jimmy Rollins among its investors.

“This is just another prong in our strategic approach to continue to make D.C. a great place to live and work and play,” Events D.C. chairman Max Brown told Mashable, highlighting the number of students attending the city’s many universities.

“There are lots of younger kids who are here and are coming here every year through our universities, so we think it makes a lot of sense for us as a city to plant a flag [for eSports], and ultimately be the capital of eSports like we’re the capital of the United States.”

There are other “prongs” to the city’s strategy, the most notable being the construction of a new stadium. The arena will be used by the WNBA team the Washington Mystics, as well as other events, but it is being built “with eSports in mind.”

“A $65 million 4,200-seat, state-of-the-art arena,” Brown added. “[It will] come online in late-2018, early-2019. Fully tailored and wired for esports.”

Courtesy-GI.biz

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.

Courtesy-Fud

Are Publishers Missing The Billion Dollar Opportunity Of eSports?

February 6, 2017 by  
Filed under Gaming

The traditional sports ecosystem is dominated by three models of organisation. The most decentralised sports, like the PGA Tour or NASCAR, consist of largely independently organised competitions, which are sanctioned and governed by an administrative body and are open to any qualifying athlete. From there, we have typical leagues like the NBA or Premiership, which have a set number of recurring teams and players, and are extensively managed by a league front office that’s owned by each team.

eSports are quite different. If you choose to race without NASCAR or play basketball without the NBA, there’s nothing – and no official body – that can prevent you from replicating the experience. No one ‘owns’ racing or basketball, but someone does own Overwatch, and if you want to play you essentially have to go through that company. If you wanted to create your own eSports league, your ability to market or represent it would be entirely dependent on the legal team of the game’s publisher. Furthermore, the core experience is fully controlled by that publisher.

“No one ‘owns’ racing or basketball, but someone does own Overwatch, and if you want to play you essentially have to go through that company”

Leagues that are operated or endorsed by publishers can do unique things – e.g. item drops, exclusive/first-release capabilities, bundled original content – and offer unique monetisation opportunities. Three months before The International, the annual world championship for Dota 2, Valve sells interactive in-game items that directly contribute to the tournament prize pool. This model has been so successful that, in 2016, the prize pool reached $19.17 million.

Most tier-one publishers also handicap the data streams that the public can leverage. Whereas in traditional sports there are multiple providers of a firehose of sports data, game publishers offer barebones APIs that allow access to little more than character information and select match data. Valve offers an open API but, as events this year have demonstrated, it can shut off access and change policy at any time. On the platform side, Twitch is miles ahead of its competitors in terms of creating an external ecosystem thanks to its two year head-start and passionate developer community, but it maintains an ever more precarious balance between build vs. buy.

Because of these walled gardens, the investible opportunities within eSports often end up being features not products, which set them and their investors up for more of an acquihire than a Twitch-esque exit. There’s a strong argument to be made to publishers that working with third-party developers will lead to a stronger overall bottom line, foster innovation and provide defensibility.

Economics 201

It’s no secret that being a top publisher is a lucrative business. Activision reported $1.57 billion in revenue for Q2 of 2016 and EA $1.271 billion. It’s rumoured that Valve’s 2015 revenues reached $3.5 billion in 2015, and Riot Games’ over $1.6 billion. It’s not hard to see why partnerships with third parties and external API infrastructure aren’t a priority with so much money flowing, but that’s shortsighted. As publishers start thinking about how to monetise beyond game licenses and IAP, every moment not spent developing the ecosystem is a wasted one.

This isn’t unparalleled, and we can see examples of where large platforms in other verticals have made the decision to invest in their future, often early on in their company lifecycle. Salesforce, an enterprise software company, has a market cap of $50 billion. A report last year by IDC put the opportunity front and center: the AppExchange currently generates 2.8x the revenue of Salesforce itself and is expected to grow to 3.7x the size of Salesforce.

“As publishers start thinking about how to monetise beyond game licenses and IAP, every moment not spent developing the ecosystem is a wasted one”

Slack, the enterprise collaboration tool darling, also gets it. Even before raising money in April 2016, at a $3.8 billion valuation and boasting over 1.25 million paying users, they announced the Slack fund in December 2015 - an $80 million investment into supporting new integrations. Slack and Salesforce could have gone the closed route and developed these integrations and products internally, but they understood that the immediate revenue trade-off was well worth the ability to focus on creating the best core product possible, in addition to leveraging minimal company resources.

Now to everyone’s favourite eSports comparison : traditional sports. During the height of the daily fantasy sports craze in 2014/15, the NBA entered a multi-year partnership with FanDuel that gave it an ownership stake. The NFL expanded its partnership with Providence Equity in 2013, investing $300 million to participate in, “media and technology deals where it believes the league could help play a strategic role.” And these are just a few examples. Partnering with and investing in new properties allows older, larger establishments to participate in the upside of nascent industries quickly and cheaply.

Publishers are thinking about the shelf-life of games.  The NFL and NBA will both be around in 25 years, but what about League of Legends or Counter-Strike? Opening up the ecosystem not only benefits players and fans by allowing them an outlet to interact with their favorite IPs, but ultimately enhances the core value of those IPs and gives publishers an opportunity for additional exposure through revenue share, API fees and strategic investments.

In addition to commercial benefits, let’s look at network effects. Valve is the publisher of both Counter-Strike: Global Offensive (25 million+ copies sold, 8.2 million+ players in the last two weeks), and Dota 2 (87 million+ times downloaded, 11 million+ active players in the last two weeks.) While the titles have richer histories than virtually any other competitive esport, Valve’s open API, developer tools and hands-off approach has contributed to their sustained success and status as two of the top eSports titles.

ELeague, FaceIt Esports Championship Series and Gfinity, ESL One and IEM. These streams of revenue have contributed to a high demand for professional CS:GO players, leading to lucrative contracts and opportunities.

3: The most lucrative has been the in-game skins economy, which allows players to purchase crates that contain different cosmetic versions of CS:GO weapons or Dota 2 items. During major tournaments, Valve has offered exclusive stickers that generate up to high six-figures for qualified teams. Valve has also allowed free reign on opening up use cases within this skins economy, which led to wagering, gambling and marketplaces (Bloomberg estimated yearly transaction volume to be >$7 billion.) Variations of this model have since been followed very conservatively by multiple franchises, including Call of Duty, Halo, H1Z1 and Overwatch.

On the platform side, Twitch’s dominance in livestreaming can largely be credited to going all-in on eSports first, but Twitch also has numerous native or platform exclusive features for its users. Diving deeper, this experience is powered by a blend of features that were built in-house or created by third parties. Examples include:

Bits, preceded by Streamlabs and StreamTip: direct donations from viewers are one of the foundations of a streamer’s income.

Clips, preceded by Oddshot, Plays.tv and Forge: allows viewers and creators to efficiently capture highlights and share to different social media channels.

Subscriptions / Partner Program and 3rd-party services (Revlo, Gamewisp and Curse/Discord integrations): subscriptions are another big source of income for streamers, and the third-party services all add further value to a sub and reduce churn.

TwitchPlays: what started out as a fun social experiment (TwitchPlaysPokemon) is now its own category to interact with potential customers for publishers.

Chatbots (Moobot, Nightbot and Xanbot): automated assistants that help moderate chat to prevent spamming and inappropriate behaviour.

Stream+ currency: Twitch’s new currency announced at TwitchCon 2016, which will allow developers to integrate monetisation options directly into games.

Facebook Live has launched to much fanfare, and given the massive distribution channel it will always be a huge threat. However, until it can get to feature parity Facebook Live will need to rely on traditional media partnerships or viral hits to create consistent content. These types of partnerships don’t scale when we’re talking about the individual streamers and professional players that have played a large part in getting Twitch to 100m+ MAUs, although the signing of G2 and Heroes of the Dorm is a good first step. YouTube Gaming is farther along and is doing a great job of starting to launch some analogous features.

How, then, should publishers look to partner with entrepreneurs and third parties? I’d like to see publishers create a vehicle, individually or collectively, in the model of Disney Accelerator, to offer mentorship, funding and support to kick-start the next generation of eSports businesses. Publishers should be developing their games as platforms, not individual entities - tons of data are being generated and archived and there is a treasure trove of use cases for them.

I’m confident that we’re slowly moving in the right direction. One day we’ll see a truly open ecosystem with publishers and third parties living in harmony.

Courtesy-GI.biz

It Appears That The Video Games Market Had A Bang-Up Year

December 30, 2016 by  
Filed under Gaming

Games generated $91 billion worldwide in 2016, according to a report from beancounters at SuperData Research who have been adding up some numbers on Christmas Party napkins.

Most of the cash was made in the mobile game segment some $41 billion (up 18 percent), followed by $26 billion for retail games and $19 billion for free-to-play online games.

Beancountrs at SuperData said that the new categories such as virtual reality, esports, and gaming video content were small in size, but they are growing fast and holding promise for next year. Hardware firms like Sony and HTC to take the lead in 2017. Still,

VR grew to $2.7 billion in 2016. Gaming video reached $4.4 billion, up 34 percent.

Mobile gaming was driven by Pokémon Go and Clash Royale. The mobile games market has started to mature and now more closely resembles traditional games publishing, requiring ever higher production values and marketing spend. Monster Strike was the top mobile game, with $1.3 billion in revenue.

The esports market generated $892 million (up 19 percent) in revenue. A string of investments in pursuit of connecting to a new generation of media consumers has built the segment’s momentum, as major publishers like Activision, Riot Games, and EA are exploring new revenue streams for selling media rights, according to the report.

Consumers increasingly download games directly to their consoles, spending $6.6 billion on digital downloads in 2016 which has helped improve margins.

PC gaming continues to do well, earning $34 billion (up 6.7 percent) and driven largely by free-to-play online titles and downloadable games. League of Legends together with newcomers like Overwatch are driving the growth in PC games.

PC gamers also saw a big improvement with the release of a new generation of graphics cards.

Courtesy-Fud

Is Word-Of-Mouth The Best Way To Advertise Games?

November 28, 2016 by  
Filed under Gaming

Last week, over three and a half years after its initial release, Digital Extremes’ free-to-play shooter Warframe broke its concurrent player record with expansion The War Within, hitting Steam’s top three on the weekend of release, recording a maximum of 68,530 players online at once and logging an incredible 1.2 million hours of playtime in a single day. Across PC and the more recent Xbox One and PS4 versions of the game, over 1 million of the 26 million players who have registered since the game’s 2013 launch had played by November’s halfway point, beating all previous monthly unique records with a fortnight to go.

Those are impressive numbers, especially for a game at a point in its lifecycle where it could certainly be forgiven for slowing down – and it’s no anomalous bump. Instead, a quick glance at SteamSpy’s graphs for the game show a steadily increasing number of players for the game, as well as a very healthy schedule of updates, patches and big content drops. Rather than leeching users to other games as it ages, Warframe is going from strength to strength.

Meridith Braun, VP Publishing at Digital Extremes, says that it’s been a tight compromise of strategies – resulting in a success which far exceeds the expectations of a game which was initially seen as something of a make or break exercise. Key to that, she says, has been a careful acquisition process, but not one which has come at the cost of long term curation and engagement of existing players.

“It’s definitely a balancing act between catering development to new players and veterans of the game,” Braun explains, “but after 3.5 years, the core of the game has grown so much that for new players there are literally hundreds of hours of missions, quests, customising and exploring game systems before they catch up to where veteran players are.

“Whilst many of our updates focus on adding new content and improving game systems that our veterans are most interested in, earlier this year we took a fresh look at the new player experience and released an update that refined some of the tutorials, updated the UI, tied quests together to help the lore flow better, and revamped the market for easier functionality. It was not our most played update, like The Second Dream or The War Within, but it served a long-tail purpose of making Warframe more inviting and easier to understand for new players. It helps them navigate to the really intricate depths of the game with the intent to retain them long-term.”

“We spend very little compared to other free-to-play games that focus a large amount of their budgets on acquisition”

Polishing the tip of the spear is a tried and tested acquisition technique, but it’s not usually a way of sidestepping the vast costs which many companies associate with gathering new players. Warframe’s marketing, though, was forged in a crucible of necessity, at a time when budgets were almost non-existent. As a result, the studio has learned to maximise the gain from channels which deliver users without draining revenue, although the financial success of the game has also enabled them to operate in areas previously well beyond their price range.

“We spend very little compared to other free-to-play games that focus a large amount of their budgets on acquisition,” says Braun. “Warframe was a passion project – the studio’s ‘Hail Mary’ pass, if you will. There was barely budget to buy an account server for the game, let alone to spend on marketing at the time. We turned to viral everything to get the word out: live streaming, social media, Reddit, forums, PR, knocking on partner’s doors for promotional opportunities. Once we launched in open beta and more players got a taste of the game, it was clear we had something unique on our hands. Since then our acquisition strategy has focused primarily on our update schedule and community involvement.

“We discovered early on that frequent significant updates – updates that added dramatic gameplay changes, enhancements and content, and transparency with our community, brought in droves of new players. Now that we have more wiggle room in our coffers, we work the usual acquisition channels – online CPA-focused advertising, social media, streaming, etc. – but nothing beats age old word-of-mouth between players telling their friends to join in on a game that only gets better and better over time.”

What’s perhaps even more unusual about the current high that Warframe finds itself riding upon is that it comes at a time when the AAA shooter market is crowded with a wide spread of very high quality competitors – many of which are under-performing at retail. The game’s peak numbers come at a point when there are brand new Battlefield and Call of Duty games at market, as well as extremely well reviewed releases like the Titanfall and Dishonored sequels.

“Warframe was a passion project – the studio’s ‘Hail Mary’ pass, if you will. There was barely budget to buy an account server for the game, let alone to spend on marketing at the time”

Braun very much sees free-to-play as playing a significant part in the difficulties which Warframe’s boxed rivals are experiencing.

“I think we’re seeing the F2P model disrupting the standard retail model for larger budget games,” she says. “The continued rise of AAA-quality, free-to-play games coming to market – and their ability to fill the long gaps between large IP releases – is taking a bite out of the big game market. Just this year it was great to see F2P titles like Paragon and Paladins launch to great fanfare and numbers, I’m sure they both had some effect on the big budget FPS games alongside Warframe.

“It’s hard to compete with free. Sure, we want people to eventually pay for the entertainment they’re receiving – but when you have the ability to try out a game for free for as long as you want, a game with equally great production value, and then decide if it’s a game that deserves your money, that’s pretty stiff competition. The larger games also aren’t built to be as agile and reactive to the market after they ship. Free games at their core are made to continually update and improve, offering incredible value and entertainment over a longer period of time.”

Blizzard probably has a few things to say about the notion that free-to-play games offer the best long-term player engagement and responsive improvement, and Braun freely admits that games like Overwatch share that strategy of player curation. Warframe, she says, also offers something else, though. Because it wasn’t a Blizzard game, born almost fully-fledged and slickly functional, early adopters have had the joy of watching it smooth out its rougher edges.

“When Warframe first launched it was a shell of the size of game it has become, and our players have stayed with our growth throughout its life-span. They enjoy taking the ride with us, being a part of the evolution, experiencing game development from the front seat. If you’re not thinking about long-term engagement and game service at the heart of your game design as a good part of the future of gaming, you may have yet to come to grips with the dwindling projections of one-and-done games.”

Courtesy-GI.biz

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