Why is the video games industry going down?

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RealKilla_789

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#1 RealKilla_789
Member since 2007 • 3669 Posts
It's no secret that in the past few years, sales have been sliding lower and lower. Why do you guys think sales haven't been able to recover? I'm not going to say any reasons why I think so, yet. Sound off!
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majadamus

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#2 majadamus
Member since 2003 • 10292 Posts
Gamers are buying cheaper, and more affordable games like mobile games. They're usually $1-$15 vs the $60 games. These mobile games are becoming more complex as well, and can provide a lot of entertainment. Mobile games may not provide as much entertainment as a $60 game, but that's all you may need sometimes.
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Vari3ty

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#3 Vari3ty
Member since 2009 • 11111 Posts

I'm not really sure, but I think the days of the traditional $60 retail game are coming to an end, for better or worse.

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punkpunker

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#4 punkpunker
Member since 2006 • 3383 Posts
due to the industry's reliance of dlc from the game development and with the 60 bucks you're paying, expect true gamers searching games with longer replay value to keep them invested in a game.
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EvilSelf

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#5 EvilSelf
Member since 2010 • 3619 Posts

due to the industry's reliance of dlc from the game development and with the 60 bucks you're paying, expect true gamers searching games with longer replay value to keep them invested in a game.punkpunker

This is a very good point. For a game that i know is worth the 60 bucks i buy new. Other titles i buy used or on promotional prices. Those other games are simply not worth full price. Maybe it is the developer's fault. Maybe it is the publisher, pushing for deadlines and such. Simple.

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Senor_Kami

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#6 Senor_Kami
Member since 2008 • 8529 Posts
Because it's a recession and many people have been underemployed or flat out unemplyed for years.
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Yusuke420

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#7 Yusuke420
Member since 2012 • 2770 Posts

Because it's a recession and many people have been underemployed or flat out unemplyed for years.Senor_Kami

Exactly, this is an entertainment industry, people with little money are going to take care of house and family first before the buy any game at sixty bucks. I buy two three full priced games a year, the rest is bargin bin or used sales simply because they are cheaper.

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GeoffZak

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#8 GeoffZak
Member since 2007 • 3715 Posts

due to the industry's reliance of dlc from the game development and with the 60 bucks you're paying, expect true gamers searching games with longer replay value to keep them invested in a game.punkpunker

This pretty much.

$60 is asking for TOO much for a new game. And then they think they can charge us even MORE dlc? They're out of their minds.

Whose fault is this? Half of it is the developers and publishers fault for being greedy. The other half is fault of the massive amounts of gamers who willingly open their wallets and let developers and publishers suck them dry, in return these gamers are given half-assed DLC and half-assed games with campaigns that last only 8 hours.

Why are people willing to let developers get away with this? $60 for a game that lasts you a week or 2 is a HUGE rip off! It's becoming the norm because those are the kind of games that have become the most sucessful. (Gears of War, Halo, Resistance and Uncharted.)

Another reason the gaming industry sucks today is because of the obesession most gamers have with online multiplayer. That's why developers don't put enough effort into making a quality single-player campaign. Because they know people only care about the multiplayer. Usually, online multiplayer isn't even fun, it's just about making yourself look good with numbers such as KDR and win to loss ratio.

There's so much I hate about the gaming industry today that I could rant on for a while. But I'll stop myself here.

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XaosII

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#9 XaosII
Member since 2003 • 16705 Posts

The game's industry isnt going down. Its growing bigger and bigger every year. Sure, its been a few percentage points lower, like, the last two years. But that may have moreto do with people waiting for the next generation or more/less blockbuster titles in the year....... nothing to do with the whole, as an industry, going down.

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Shame-usBlackley

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#10 Shame-usBlackley
Member since 2002 • 18266 Posts

Because they're milking the shi* out of a cycle that should have been seeing its last year a year ago at the most.

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Shame-usBlackley

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#11 Shame-usBlackley
Member since 2002 • 18266 Posts

Because it's a recession and many people have been underemployed or flat out unemplyed for years.Senor_Kami

The recession is a factor, but not THE factor. The economy has been improving the last year, while the game industry is seeing reduced sales. In fact, some of the numbers have been exceptionally bad indicating 8 year lows.

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CarnageHeart

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#12 CarnageHeart
Member since 2002 • 18316 Posts

[QUOTE="punkpunker"]due to the industry's reliance of dlc from the game development and with the 60 bucks you're paying, expect true gamers searching games with longer replay value to keep them invested in a game.GeoffZak

This pretty much.

$60 is asking for TOO much for a new game. And then they think they can charge us even MORE dlc? They're out of their minds.

Whose fault is this? Half of it is the developers and publishers fault for being greedy. The other half is fault of the massive amounts of gamers who willingly open their wallets and let developers and publishers suck them dry, in return these gamers are given half-assed DLC and half-assed games with campaigns that last only 8 hours.

Why are people willing to let developers get away with this? $60 for a game that lasts you a week or 2 is a HUGE rip off! It's becoming the norm because those are the kind of games that have become the most sucessful. (Gears of War, Halo, Resistance and Uncharted.)

Another reason the gaming industry sucks today is because of the obesession most gamers have with online multiplayer. That's why developers don't put enough effort into making a quality single-player campaign. Because they know people only care about the multiplayer. Usually, online multiplayer isn't even fun, it's just about making yourself look good with numbers such as KDR and win to loss ratio.

There's so much I hate about the gaming industry today that I could rant on for a while. But I'll stop myself here.

Given the piece of **** game you have in your sig, I'm not surprised you dislike quality games like Gears and Uncharted (haven't played Halo since 3), both of which boast very long campaigns by action game standards. Also, people whining about multiplayer never fails to amuse me. Multiplayer has been a huge component of games for most of their existence. Following the death of arcades, multiplayer faded into the background for a bit, but now thanks to the internet, they are back. People who whine about multiplayer games tend to be people shocked and horrified to find themselves in games which don't revolve around them. People who play games for the challenge and not to get their fragile egos stroked tend to enjoy multiplayer games as well as single player gamers.
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Senor_Kami

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#13 Senor_Kami
Member since 2008 • 8529 Posts

[QUOTE="Senor_Kami"]Because it's a recession and many people have been underemployed or flat out unemplyed for years.Shame-usBlackley

The recession is a factor, but not THE factor. The economy has been improving the last year, while the game industry is seeing reduced sales. In fact, some of the numbers have been exceptionally bad indicating 8 year lows.

Only exceptionally bad for an industry that at one time considered itself recession proof and was magically growing during for a few years while like every other US industry was dropping. I think DLC and games costing the same price as they were when the industry was growing are minimal factors when compared against things like record unemployment and people having to be really careful about the money they are spending on luxury/entertainment items.
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Archangel3371

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#14 Archangel3371
Member since 2004 • 46929 Posts
Well surely the economy is going to have some kind of impact as it affects everybody but saying the gaming industry is going down seems a bit sensationalistic. Also there's other components of gaming like dlc and other methods of selling games like online and digital downloading that need to be factored in as well. Then of course you need to consider that a new generation of consoles is approaching as this one starts winding down.
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Shame-usBlackley

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#15 Shame-usBlackley
Member since 2002 • 18266 Posts

[QUOTE="Shame-usBlackley"]

[QUOTE="Senor_Kami"]Because it's a recession and many people have been underemployed or flat out unemplyed for years.Senor_Kami

The recession is a factor, but not THE factor. The economy has been improving the last year, while the game industry is seeing reduced sales. In fact, some of the numbers have been exceptionally bad indicating 8 year lows.

Only exceptionally bad for an industry that at one time considered itself recession proof and was magically growing during for a few years while like every other US industry was dropping. I think DLC and games costing the same price as they were when the industry was growing are minimal factors when compared against things like record unemployment and people having to be really careful about the money they are spending on luxury/entertainment items.

You're completely ignoring that the price has dropped on the systems significantly and/or had extra value added, on top of the libraries becoming more robust IN TANDEM with the economy improving, except the numbers continue to drop, not just from eight years ago, but year over year (last month's numbers were down 25% year over year, for example).

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c_rakestraw

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#16 c_rakestraw  Moderator
Member since 2007 • 14627 Posts
According to analysts, the Wii's flaging sales are to blame for the decrease year-over-year.
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Shame-usBlackley

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#17 Shame-usBlackley
Member since 2002 • 18266 Posts

According to analysts, the Wii's flaging sales are to blame for the decrease year-over-year.c_rake

The article fails to note that sales are down across ALL platforms year over year. The overall tone of the article sounds a bit desperate to me; like it's trying to find a good sign in a sea of badness. It's like, "Hey, sales are pretty shi*ty, let's blame it all on the dead system with no games, yeah that's the ticket!"

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CarnageHeart

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#18 CarnageHeart
Member since 2002 • 18316 Posts
You need to read the article more closely Shamus. Below is one of its paragraphs.

While software and hardware sales are also down for the PS3 and Xbox 360 in 2012, NPD analyst Anita Frazier confirms those high-definition system are "seeing less significant declines." That's especially impressive considering these systems are now pushing six and seven years old, which is usually considered the nautral end of a console's life cycle. Frazier also points out that 1.5 million units of gaming hardware sold in March, representing over one percent of all US households and suggesting the market for the current generation of high-end consoles isn't yet completely saturated.

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SaudiFury

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#19 SaudiFury
Member since 2007 • 8709 Posts

since 2008 there has been a near-global recession and unemployment is high.

I also think the mobile games that are free to $15 dollars are making a dent, used games industry, an oversaturation in the AAA market of roughly the same game again and again. I'd also argue the nickle and diming of services and DLC is turning people off as well.

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GeoffZak

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#20 GeoffZak
Member since 2007 • 3715 Posts

Given the piece of **** game you have in your sig, I'm not surprised you dislike quality games like Gears and Uncharted (haven't played Halo since 3), both of which boast very long campaigns by action game standards. Also, people whining about multiplayer never fails to amuse me. Multiplayer has been a huge component of games for most of their existence. Following the death of arcades, multiplayer faded into the background for a bit, but now thanks to the internet, they are back. People who whine about multiplayer games tend to be people shocked and horrified to find themselves in games which don't revolve around them. People who play games for the challenge and not to get their fragile egos stroked tend to enjoy multiplayer games as well as single player gamers. CarnageHeart

It's a real shame that people don't give JRPGs the attention and appreciation they truly deserve. Tales of Graces f is the best game I've played this generation so far. "Quality games like Gears and Uncharted." XD hahahaha! Ya right. Half-assed games. You expect me to pay $60 for a 10 hour campaign and then maybe a few more hours of multiplayer?You?re out of your mind.

The fact that online multiplayer is such a huge part of most modern games is why I don't like what the gaming industry has become. Developers concentrate too much on the online multiplayer instead of the single-player experience.

I don't understand how people can enjoy playing the same deathmatches or CTF matches over and over again. Most of them are only motivated to play just to improve their numbers, not to have fun. They just want to be number 1 on the leaderboards.

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nameless12345

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#21 nameless12345
Member since 2010 • 15125 Posts

It is? I thought sales of some popular game series (CoD, Wii Sports, Kinect Adventures, Angry Birds, ect.) were higher than ever...

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Shame-usBlackley

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#22 Shame-usBlackley
Member since 2002 • 18266 Posts

You need to read the article more closely Shamus. Below is one of its paragraphs.

While software and hardware sales are also down for the PS3 and Xbox 360 in 2012, NPD analyst Anita Frazier confirms those high-definition system are "seeing less significant declines." That's especially impressive considering these systems are now pushing six and seven years old, which is usually considered the nautral end of a console's life cycle. Frazier also points out that 1.5 million units of gaming hardware sold in March, representing over one percent of all US households and suggesting the market for the current generation of high-end consoles isn't yet completely saturated.

CarnageHeart

Fair enough, but of course they're seeing less significant declines. They're still alive, and the Wii, for most intents and purposes, is deceased -- and pretty much was the year before from a software standpoint. They're trying to spin it, but there's no spinning the fact that every month this year has been down from the previous year.

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Invisible_Kid2

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#23 Invisible_Kid2
Member since 2003 • 6330 Posts
due to the industry's reliance of dlc from the game development and with the 60 bucks you're paying, expect true gamers searching games with longer replay value to keep them invested in a game.punkpunker
This is the main reason imo. Either the publisher or developer tries to milk gamers with day 1 DLC and/or on disk DLC/ULC. Couple that with the economy and people will want to save money and buy a used game. Well the pub/dev won't have that. They implement an online pass. I would imagine that if people have to pay for a feature that should be already accessible, they probably skip the game all together. And like punkpunker said, people are going to get a game that they feel will warrant a $60 price tag. If there's a game that only has 5-7 hours worth of single player content and multiplayer is so-so, they'll probably wait for it to go down in price. Look at DNF. It's $20. I'm sure there's people who are going to wait for it to get even lower.
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CarnageHeart

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#24 CarnageHeart
Member since 2002 • 18316 Posts

[QUOTE="CarnageHeart"]Given the piece of **** game you have in your sig, I'm not surprised you dislike quality games like Gears and Uncharted (haven't played Halo since 3), both of which boast very long campaigns by action game standards. Also, people whining about multiplayer never fails to amuse me. Multiplayer has been a huge component of games for most of their existence. Following the death of arcades, multiplayer faded into the background for a bit, but now thanks to the internet, they are back. People who whine about multiplayer games tend to be people shocked and horrified to find themselves in games which don't revolve around them. People who play games for the challenge and not to get their fragile egos stroked tend to enjoy multiplayer games as well as single player gamers. GeoffZak

It's a real shame that people don't give JRPGs the attention and appreciation they truly deserve. Tales of Graces f is the best game I've played this generation so far. "Quality games like Gears and Uncharted." XD hahahaha! Ya right. Half-assed games. You expect me to pay $60 for a 10 hour campaign and then maybe a few more hours of multiplayer?You?re out of your mind.

The fact that online multiplayer is such a huge part of most modern games is why I don't like what the gaming industry has become. Developers concentrate too much on the online multiplayer instead of the single-player experience.

I don't understand how people can enjoy playing the same deathmatches or CTF matches over and over again. Most of them are only motivated to play just to improve their numbers, not to have fun. They just want to be number 1 on the leaderboards.

Not liking that piece of crap Tales games doesn't mean not liking jrpgs. I'm been a fan of jrpgs since the original Phantasy Star and I've fine with current gen era (released after the X360) games Valkyria Chronicles, Demon's Souls, Persona 3 and 4, Disgaea 4, Tactics Ogre, FF12 and even FF13 (imperfect, but the battle system is a work of art).

If you are so swimming in delusion you believe that millions of people play online games not for fun, but only to become number one on the leaderboards, mere words won't make you see sense.

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CarnageHeart

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#25 CarnageHeart
Member since 2002 • 18316 Posts

[QUOTE="CarnageHeart"]You need to read the article more closely Shamus. Below is one of its paragraphs.

While software and hardware sales are also down for the PS3 and Xbox 360 in 2012, NPD analyst Anita Frazier confirms those high-definition system are "seeing less significant declines." That's especially impressive considering these systems are now pushing six and seven years old, which is usually considered the nautral end of a console's life cycle. Frazier also points out that 1.5 million units of gaming hardware sold in March, representing over one percent of all US households and suggesting the market for the current generation of high-end consoles isn't yet completely saturated.

Shame-usBlackley

Fair enough, but of course they're seeing less significant declines. They're still alive, and the Wii, for most intents and purposes, is deceased -- and pretty much was the year before from a software standpoint. They're trying to spin it, but there's no spinning the fact that every month this year has been down from the previous year.

According to Gamasutra, the Wii's yearly system sales have fallen almost just over 40% in the past year alone (7 to 4 million) while the PS3 fells by only 9% and the X360 by 14%. Its also worth keeping in mind that up until 2011 X360 sales have steady risen while the PS3 sales have merely been steady from 2010 onwards. Of course, that is just hardware, not software. I won't include it here because I don't want to steal the whole article I am referencing, but a chart is at the link below and once again, it indicates that the Wii is the source of the decline (everyone else's sales have gone upwards, but the Wii's have gone downwards since March of 2010).

http://www.gamasutra.com/view/news/168546/Latest_NPD_results_paint_grim_picture_of_current_US_retail_game_landscape.php

ttm-hardware-per-platform-small.png

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tjricardo089

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#27 tjricardo089
Member since 2010 • 7429 Posts

Decrease on hardcore games. Rise on casual games.

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Shame-usBlackley

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#28 Shame-usBlackley
Member since 2002 • 18266 Posts

According to Gamasutra, the Wii's yearly system sales have fallen almost just over 40% in the past year alone (7 to 4 million) while the PS3 fells by only 9% and the X360 by 14%. Its also worth keeping in mind that up until 2011 X360 sales have steady risen while the PS3 sales have merely been steady from 2010 onwards. Of course, that is just hardware, not software. I won't include it here because I don't want to steal the whole article I am referencing, but a chart is at the link below and once again, it indicates that the Wii is the source of the decline (everyone else's sales have gone upwards, but the Wii's have gone downwards since March of 2010).

http://www.gamasutra.com/view/news/168546/Latest_NPD_results_paint_grim_picture_of_current_US_retail_game_landscape.php

CarnageHeart

There isn't enough time for the trend to manifest itself when looking back a year. That 11% will climb and climb each month as the negatives mount with each month. Take a look at this:

http://www.gamespot.com/news/xbox-360-business-loses-260-million-6372448

360 hardware sales DOWN 48% year-over-year for the first quarter of 2012. That's in spite of all the Kinect, HBO GO, and whatever other kind of non-gaming horseshi* they've tried to shoehorn on to this tired old horse to try and keep it alive. The generation is over; there is a reason why historical trends are adhered to. If it was as easy as saying "We're going to have a 10 year cycle" someone else would have done it already. Microsoft's strategy of trying to turn the 360 into the Bathroom Buddy gadget from Gremlins isn't going to change the fact that the generation is over. They can turn it into a swiss army knife and it still won't change what history dictates. They are watching the decay occur and still trying to convince themselves that it isn't happening, which is truly amazing.

What's truly fascinating is that if the decay and the unprofitability trend continues, they are going to be up shi* creek. NO next-gen platform, no blossoming next-gen base to quell the corrosion of the existing one. It could be two years from when the next Xbox launches before they are even remotely close to being healthy again. It's also amazing to me that the Xbox division can even be operating at a loss to be honest. I mean, you've got archaic hardware and millions of Live subscribers paying $50 a year. The loss indicates just how poorly run the Xbox division is, and how, despite Microsoft's bleating to the contrary, Kinect has NOT been the savior they promised or advertised it to be. Microsoft is in a very bad place right now.

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Megavideogamer

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#29 Megavideogamer
Member since 2004 • 6554 Posts

The economy is not doing very well worldwide. So the videogame industry is "going down" along with everything else. Sigh there is nothing to do. but slice up...

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CarnageHeart

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#30 CarnageHeart
Member since 2002 • 18316 Posts

[QUOTE="CarnageHeart"]

According to Gamasutra, the Wii's yearly system sales have fallen almost just over 40% in the past year alone (7 to 4 million) while the PS3 fells by only 9% and the X360 by 14%. Its also worth keeping in mind that up until 2011 X360 sales have steady risen while the PS3 sales have merely been steady from 2010 onwards. Of course, that is just hardware, not software. I won't include it here because I don't want to steal the whole article I am referencing, but a chart is at the link below and once again, it indicates that the Wii is the source of the decline (everyone else's sales have gone upwards, but the Wii's have gone downwards since March of 2010).

http://www.gamasutra.com/view/news/168546/Latest_NPD_results_paint_grim_picture_of_current_US_retail_game_landscape.php

Shame-usBlackley

There isn't enough time for the trend to manifest itself when looking back a year. That 11% will climb and climb each month as the negatives mount with each month. Take a look at this:

http://www.gamespot.com/news/xbox-360-business-loses-260-million-6372448

360 hardware sales DOWN 48% year-over-year for the first quarter of 2012. That's in spite of all the Kinect, HBO GO, and whatever other kind of non-gaming horseshi* they've tried to shoehorn on to this tired old horse to try and keep it alive. The generation is over; there is a reason why historical trends are adhered to. If it was as easy as saying "We're going to have a 10 year cycle" someone else would have done it already. Microsoft's strategy of trying to turn the 360 into the Bathroom Buddy gadget from Gremlins isn't going to change the fact that the generation is over. They can turn it into a swiss army knife and it still won't change what history dictates. They are watching the decay occur and still trying to convince themselves that it isn't happening, which is truly amazing.

What's truly fascinating is that if the decay and the unprofitability trend continues, they are going to be up shi* creek. NO next-gen platform, no blossoming next-gen base to quell the corrosion of the existing one. It could be two years from when the next Xbox launches before they are even remotely close to being healthy again. It's also amazing to me that the Xbox division can even be operating at a loss to be honest. I mean, you've got archaic hardware and millions of Live subscribers paying $50 a year. The loss indicates just how poorly run the Xbox division is, and how, despite Microsoft's bleating to the contrary, Kinect has NOT been the savior they promised or advertised it to be. Microsoft is in a very bad place right now.

Wow. I guess the X360 has dropped faster abroad than it has in the US.

Like you said, its surprising that the X360 isn't profitable. Given their business model I can't imagine where the loss is being incurred (advertising perhaps?).

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Shame-usBlackley

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#31 Shame-usBlackley
Member since 2002 • 18266 Posts

[QUOTE="Shame-usBlackley"]

[QUOTE="CarnageHeart"]

According to Gamasutra, the Wii's yearly system sales have fallen almost just over 40% in the past year alone (7 to 4 million) while the PS3 fells by only 9% and the X360 by 14%. Its also worth keeping in mind that up until 2011 X360 sales have steady risen while the PS3 sales have merely been steady from 2010 onwards. Of course, that is just hardware, not software. I won't include it here because I don't want to steal the whole article I am referencing, but a chart is at the link below and once again, it indicates that the Wii is the source of the decline (everyone else's sales have gone upwards, but the Wii's have gone downwards since March of 2010).

http://www.gamasutra.com/view/news/168546/Latest_NPD_results_paint_grim_picture_of_current_US_retail_game_landscape.php

CarnageHeart

There isn't enough time for the trend to manifest itself when looking back a year. That 11% will climb and climb each month as the negatives mount with each month. Take a look at this:

http://www.gamespot.com/news/xbox-360-business-loses-260-million-6372448

360 hardware sales DOWN 48% year-over-year for the first quarter of 2012. That's in spite of all the Kinect, HBO GO, and whatever other kind of non-gaming horseshi* they've tried to shoehorn on to this tired old horse to try and keep it alive. The generation is over; there is a reason why historical trends are adhered to. If it was as easy as saying "We're going to have a 10 year cycle" someone else would have done it already. Microsoft's strategy of trying to turn the 360 into the Bathroom Buddy gadget from Gremlins isn't going to change the fact that the generation is over. They can turn it into a swiss army knife and it still won't change what history dictates. They are watching the decay occur and still trying to convince themselves that it isn't happening, which is truly amazing.

What's truly fascinating is that if the decay and the unprofitability trend continues, they are going to be up shi* creek. NO next-gen platform, no blossoming next-gen base to quell the corrosion of the existing one. It could be two years from when the next Xbox launches before they are even remotely close to being healthy again. It's also amazing to me that the Xbox division can even be operating at a loss to be honest. I mean, you've got archaic hardware and millions of Live subscribers paying $50 a year. The loss indicates just how poorly run the Xbox division is, and how, despite Microsoft's bleating to the contrary, Kinect has NOT been the savior they promised or advertised it to be. Microsoft is in a very bad place right now.

Wow. I guess the X360 has dropped faster abroad than it has in the US.

Like you said, its surprising that the X360 isn't profitable. Given their business model I can't imagine where the loss is being incurred (advertising perhaps?).

Yeah, I mean, on one hand, it could explain Microsoft's resistance to dropping the price of the hardware, but that's a double-edged sword because if they're down by that much in first quarter numbers, they've GOT to do something. I think really what it all comes down to is that the unfocused, throw-every-piece-of-shi*-against-the-wall-and-see-what-sticks strategy that they've gone with has been reckless and stupid. The 360's momentum was gained as a GAMING machine, and even in this report, Microsoft can't shut the hell up about people watching movies on it, which, guess what -- directly takes time away from games (and more specifically BUYING them).

It's like the company was taken over by complete fuc*ing horse's asses a couple years ago. They're just being stupid to the nth degree. Embarrassing peripherals and streaming media are one thing when your strategy is working, however, it's not working, and isn't going to. They need to refocus their brand and exert their influence in the core gaming area, which got them to where they are. The arm waving morons and movie buffs are nice ancillary markets, but they don't butter Microsoft's bread.

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CarnageHeart

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#32 CarnageHeart
Member since 2002 • 18316 Posts

Yeah, I mean, on one hand, it could explain Microsoft's resistance to dropping the price of the hardware, but that's a double-edged sword because if they're down by that much in first quarter numbers, they've GOT to do something. I think really what it all comes down to is that the unfocused, throw-every-piece-of-shi*-against-the-wall-and-see-what-sticks strategy that they've gone with has been reckless and stupid. The 360's momentum was gained as a GAMING machine, and even in this report, Microsoft can't shut the hell up about people watching movies on it, which, guess what -- directly takes time away from games (and more specifically BUYING them).

It's like the company was taken over by complete fuc*ing horse's asses a couple years ago. They're just being stupid to the nth degree. Embarrassing peripherals and streaming media are one thing when your strategy is working, however, it's not working, and isn't going to. They need to refocus their brand and exert their influence in the core gaming area, which got them to where they are. The arm waving morons and movie buffs are nice ancillary markets, but they don't butter Microsoft's bread.

Shame-usBlackley

True. Perhaps the hiring of Phil Harrison (who was great at spotting, acquiring and working with talent when he was at Sony) signals a shift in strategy for MS.

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Archangel3371

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#33 Archangel3371
Member since 2004 • 46929 Posts
Um wasn't that 360 losing money article actually about the whole Microsoft Entertainment Division which includes a bunch of other devices losing money and not just the 360 specifically?
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Shame-usBlackley

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#34 Shame-usBlackley
Member since 2002 • 18266 Posts

Um wasn't that 360 losing money article actually about the whole Microsoft Entertainment Division which includes a bunch of other devices losing money and not just the 360 specifically?Archangel3371

The 360 makes up around 75% of the entire division and its sales are down 48% quarter to quarter, year-over-year. Ummmmm....

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Archangel3371

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#35 Archangel3371
Member since 2004 • 46929 Posts

[QUOTE="Archangel3371"]Um wasn't that 360 losing money article actually about the whole Microsoft Entertainment Division which includes a bunch of other devices losing money and not just the 360 specifically?Shame-usBlackley

The 360 makes up around 75% of the entire division and it's sales are down 48% quarter to quarter, year-over-year. Ummmmm....

Meh. Ok, whatever then. Carry on.
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Shame-usBlackley

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#36 Shame-usBlackley
Member since 2002 • 18266 Posts

[QUOTE="Shame-usBlackley"]

[QUOTE="Archangel3371"]Um wasn't that 360 losing money article actually about the whole Microsoft Entertainment Division which includes a bunch of other devices losing money and not just the 360 specifically?Archangel3371

The 360 makes up around 75% of the entire division and it's sales are down 48% quarter to quarter, year-over-year. Ummmmm....

Meh. Ok, whatever then. Carry on.

It's not all bad, I'm sure that some of that loss is from R&D on the successor to the 360, which is a necessary expense. But that has to have been going on for much longer than Q1 '12, and previous numbers were not this shi*ty at all. The REAL troubling sign is the halving of sales. That's just not good, no matter how it's spun.

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Archangel3371

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#37 Archangel3371
Member since 2004 • 46929 Posts

[QUOTE="Archangel3371"][QUOTE="Shame-usBlackley"]

The 360 makes up around 75% of the entire division and it's sales are down 48% quarter to quarter, year-over-year. Ummmmm....

Shame-usBlackley

Meh. Ok, whatever then. Carry on.

It's not all bad, I'm sure that some of that loss is from R&D on the successor to the 360, which is a necessary expense. But that has to have been going on for much longer than Q1 '12, and previous numbers were not this shi*ty at all. The REAL troubling sign is the halving of sales. That's just not good, no matter how it's spun.

I guess. I'm don't know all the machinations going on in their division but to me seeing a nearly 7 year old piece of hardware selling 370K a month shouldn't be that bad.
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Hastur

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#38 Hastur
Member since 2002 • 1339 Posts

I think that the main reason why there has been a decline in game sales, is the fact that the production cost has skyrocketed. So the publishers have no other option than to play it save and milk their IPs. Because of that I've already lost total interest in many franchises: Assassins Creed, Halo, Battlefield, God of War, Modern Warfare (to name a few).

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deactivated-57e5de5e137a4

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#39 deactivated-57e5de5e137a4
Member since 2004 • 12929 Posts
The dinosaur mindset of industry leaders I'd think.
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Shame-usBlackley

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#40 Shame-usBlackley
Member since 2002 • 18266 Posts

[QUOTE="Shame-usBlackley"]

[QUOTE="Archangel3371"]Meh. Ok, whatever then. Carry on.Archangel3371

It's not all bad, I'm sure that some of that loss is from R&D on the successor to the 360, which is a necessary expense. But that has to have been going on for much longer than Q1 '12, and previous numbers were not this shi*ty at all. The REAL troubling sign is the halving of sales. That's just not good, no matter how it's spun.

I guess. I'm don't know all the machinations going on in their division but to me seeing a nearly 7 year old piece of hardware selling 370K a month shouldn't be that bad.

Well, yeah, I mean, the PS2 posted some insane numbers in its latter years, yet it was also dying. It's just the nature of how technology works. Seven years is an inordinate amount of time between hardware revisions. It's not that 370k is bad -- it's bad when it's put in the context that that number is half of what it was a year ago essentially, and there is no Plan B in sight; not even anywhere close to coming out. Microsoft still has another year and a half to figure out how to get the 360 back profitable while also getting its replacement in fighting form, and they've fuc*ed off for so long worrying about movies, facebook, and kinds of other pointless distractions that they'e compromised that possibility.

I'm saying that 370k now is not bad compared to what's coming if they don't refocus as a gaming platform and get that price down. Sticking with the PS2, look at where its price was in Year 7...

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Shame-usBlackley

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#41 Shame-usBlackley
Member since 2002 • 18266 Posts

I think that the main reason why there has been a decline in game sales, is the fact that the production cost has skyrocketed. So the publishers have no other option than to play it save and milk their IPs. Because of that I've already lost total interest in many franchises: Assassins Creed, Halo, Battlefield, God of War, Modern Warfare (to name a few).

Hastur

Typically, development costs go down over time as familiarity and efficiency increase with the hardware, even on hardcore proprietary stuff like the PS2. It should be getting easier, not harder, to make current-gen games.

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Archangel3371

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#42 Archangel3371
Member since 2004 • 46929 Posts
Well, yeah, I mean, the PS2 posted....Shame-usBlackley
Yeah I agree that the time for a new gen is here and that Microsoft should cut the price of the 360 but comparatively I think it's probably not on par with the PS2 now that there's many other things in consoles like HDD's. In the PS2 era they were pulling in lots of sales mostly because last gen was a one horse race. I guess a 360 pricedrop is the card they're holding onto when Nintendo releases the Wii U.
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Conjuration

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#43 Conjuration
Member since 2006 • 3562 Posts

It's going down because everyones making games for people who don't play games. It's absolutely mental.

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deactivated-57ad0e5285d73

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#44 deactivated-57ad0e5285d73
Member since 2009 • 21398 Posts

The industry blew up. Where there is money to be had, greed follows shortly after.

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KingKinect

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#45 KingKinect
Member since 2012 • 548 Posts
It's because the industry is stale. No new hardware for about 7 years beyond handhelds and kinect and very few new ideas. The console cycle has gone on too long and kinect only does dancing well. Though I do love my dancing it is no substiute for the next generation of hardware which will hopefully make more traditional game genres feel fresh again.
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KingKinect

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#46 KingKinect
Member since 2012 • 548 Posts

Decrease on hardcore games. Rise on casual games.

tjricardo089
There are plenty of hardcore games. The problem is that no one is buying them and I believe this stems from the long console cycle this generation. If new hardware was released at the end of last year that was a significant step up from current hardware I'm willing to bet game and hardware sales would be better and I would be spending a lot less time, if any fooling around with kinect.
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#47 PolygonBust
Member since 2011 • 239 Posts

Why is gaming on the down?

Several reasons. This gen has brought about many disappointments in long time franchises, it's either just been more of the same or developers have totally changed the game mechanics and alienated the hardcore fanbase. The "DLC craze" has led gamers to pay the same (or more) for less unlocked content on the disc; and everything we used to take for granted: alternate costumes, weapons, gameplay modes, and just overall length in the form of more missions/sidequests (even boss fights for crying out loud) are being nickel and dimed by huge publishers (Capcom, EA, SE, etc.). Also add the fact that being in a recession doesn't help either and will also hurt overall sales of consoles and games, but this usually picks up during the holiday season. Who knows, maybe it's just because there haven't been many good games coming out lately? Perhaps people are saving up for the big titles coming out in 2012 (i.e. Hitman:A, Tomb Raider, Max Payne 3, etc.)?

I really doubt it has anything to do with the stage of the lifecycle of the consoles. Sales and game popularity were on the up even late in the console lifecycles of the previous two generations.

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#48 Jackc8
Member since 2007 • 8515 Posts

Probably best summed up by that guy from Capcom:

"Looking at the marketing data [for survival horror games] ... the market is small, compared to the number of units Call of Duty and all those action games sell." Kawata reasoned. "A 'survival horror' Resident Evil doesn't seem like it'd be able to sell those kinds of numbers."

This is what the entire industry is doing - catering to the largest segment of gamers at the expense of all the other segments - but all those other segments combined add up to a hell of a lot more than the single, largest segment - and they're being ignored.

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#49 capaho
Member since 2003 • 1253 Posts

It's no secret that in the past few years, sales have been sliding lower and lower. Why do you guys think sales haven't been able to recover? I'm not going to say any reasons why I think so, yet. Sound off!RealKilla_789

I don't buy games that have short single-player campaigns. Few things annoy me more than paying $50 or $60 for a game that I can finish in less than 10 hours. That's why I passed on the latest Battle Field and CoD releases. I'm not interested in multiplayer, and from a coding standpoint it's a cheap trick. By hyping multiplayer and cutting the campaigns, game makers can make a game appear to be more than it is. They save money on coding while still charging a premium price. In short, they're ripping us off when they skimp on the single-player campaigns.

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#50 Namgis
Member since 2009 • 3592 Posts

It's losing numbers because we are expected to pay $60 for a POS that only lasts 3-7 hours with no replay value. I know I have not purchased nearly as many games this gen as I have in the past, because I refuse to buy day one due to the fact that 95% of games out there are not worth more than $20.

-

These machines are capable of so much more than we're seeing currently. If games were made to be games and not as a means of making money, they would not get traded in with regularity. I kow truly great games are hard to find used because people can't be parted with them.

-

I'm sure next gen will be worse for the industry because they are banking on their casual market getting the new console, I don't think they will because what they got is just fine with them. Also, we already got Bluray, no need in getting a new one till this one dies. Nintendo will thrive because people know that if you want games and not much else, Ninty is the way to go. Though they are getting better on the 'not much else'.