Global Game Industry News Blog

Thursday, June 21, 2007

India, Consoles, and a Global Culture of Gamers

The trouble with being a PhD student is that sometimes you see too many connections with stuff that is going on. But then again, perhaps that is what we're supposed to do. Take a whole lot of stuff and bring it together.

I'll start off with India. While I agree that India is ripe for the picking for console developers, I don't really think that the market is going to be very big for a while yet. There are several reasons. One of course is that the contender that actually has the best shot at growing the Indian console market (Nintendo) is at least thus far ignoring the market.

The 360 meets the need of hardcore gamers. The PS3 is astronomically expensive except for the uber wealthy, and no one in India is developing any games for that platform. The 360 on the other hand has XNA Express, which Indian developers are extremely excited about. If you need some indicator of this, I recommend the India IGDA forums.

What does a PS3 offer Indian gamers at this point? I'm just not certain.

The other aspect of this is that mobile gaming is huge in India, and yet again Nintendo has completely ignored India with the DS or even GBA.

So while "demand might be picking up," I read these reports and kind of squint my eyes and think skeptical thoughts. Not because I think they're wrong, but I think they're actually being used to encourage growth. They're putting the cart before the buggy if you will.

In the mean time, you have Indiagames who has largely ported games to the numerous mobile devices, and was recently bought up by a large multinational suddenly interested in games for other parts of the world? That's probably because they have more than handhelds there. The multinational is looking for more money, and they're NOT seeing it in India for the moment.

I think of course they're also trying to get their own developers exposed to making games, because for the most part they've been doing more porting of games than creating original IP. They know they must cut their teeth on some titles first.

Lastly, it is interesting that the Loco Roco developer talks about a Global Culture of Gamers, a sentiment I wholeheartedly agree with. However, for the moment that Global Culture is more Japanese/American than it is global.

I would love to see more Global content. I've actually encouraged many an Indian developer to do just that. Bring Indian content to the US, it is possible, it just has to be done the right way.

I also think its important to think not must multi-culturally or uni-culturally. That we can be both multicultural and super-cultural.

CKO

Gamasutra - India's Gaming Market to Reach $125m By 2010
A new report from analyst group iSuppli has said that India's gaming market is showing a "steeper curve" than recent years, forecasting that by 2010 the industry could reach $125 million, up from $13 million in 2006.

Despite the "steep price tag," the company aims to sell 10,000 units by the end of the year, and has thus far sold 1,200, previous to the forthcoming launch of a country-wide promotional campaign.

However, says the group, the PlayStation 3 will face a tough fight from the Xbox 360, which launched earlier in the year, and Microsoft has already "extensively marketed the video game console in the country"

That includes a specially localized title with Yuvraj Singh International Cricket 2007 (pictured), showing what the group calls "its commitment to customizing its titles for Indian tastes."

The group notes that the Xbox 360 is available for the equivalent of $600, a "major price differential compared to its competitor," and notes that "gaming consoles attract high duties, which lead to higher prices. Duties comprise approximately 35 percent of the product price in India, limiting video-game-consoles’ legal sales and promoting the gray market."

Despite the challenges, iSuppli says "the gaming console market is an indicator that demand is picking up for several electronics product segments that now are small in size. It also shows the interest by global electronics companies in tapping into the opportunities available in India."

Said iSuppli associate analyst Ashish Thakre, “The console gaming segment is not very sizeable in India. However, future growth expectations and consumerism are prompting companies to establish themselves in India."


GamesIndustry.biz - India Set for Console Boom

GameDaily - Indiagames Launches International Division
Indiagames today announced the launch of its international mobile publishing and development division. Called IG Fun LLC, this arm of the company will focus on the European and American markets. Indiagames looks to be among the top 5 mobile publishers in its operational territories.

"At IG Fun we operate under the simple idea that the Customer is King and aim to provide fun and exciting games," said Sean Malatesta, VP - Business Development, Indiagames and new CEO of IG Fun LLC. "Our main goals are to provide high quality games, the widest handset coverage and to support our titles with clutter breaking marketing and merchandising."

GayGamer.Net - Loco Roco Developer Speaks
In the interview, he calls for a "Global culture of gamers". A culture that supports games from across the ocean, instead of the nations divided where gamers are not willing to try a game from foreign lands.

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Wednesday, June 20, 2007

Microsoft Invests in Electronics Manufacturer

I don't really have anything to say at this point, simply noting the event. It is a little odd that whatever Changhong Electric Company does, that $12 Million is one percent is telling. I don't know much about this company, and their corporate website is adequately vague.

What I can tell is that Changhong is not yet a "developer" and rather is an electronics company. It makes more sense now.

Taken from the corporate website of Changhong
CHANGHONG commits itself to product innovation in the electronics industry. CHANGHONG has a state-level technology center and a first-rate scientific research workstation for post-doctors who work together to develop cutting edge technologies. CHANGHONG has established many joint laboratories with, Toshiba, Sanyo, GE, Microsoft, TI, Samsung, LG, and Philips etc. CHANGHONG also has established R&D centers in Shanghai and Shenzhen in China, American Silicon Valley, and Japan. CHANGHONG’s goal is to actively participate in the development of a global digital industry.

Joystiq - Microsoft invests in Chinese developer
Microsoft has purchased 15 million shares in Sichuan, China-based Changhong Electric Co., valued at 94 million yuan (about US $12 million). That's just one percent off the company, according to the Taipei Times.

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Tuesday, June 12, 2007

Or... Maybe The "Hollywood" Concept is Outmoded

I love grand sweeping statements. Oh, wait, they usually just make people sound like idiots. Now, I know half the time they are purely the function of journalistic attention grabbing, but I'm tired of that excuse really.

I think Asia is going to replace Hollywood with its own internal forms of entertainment. They're likely going to see some revenue from the US and Western Europe. I think we're likely to see more and more local supplies of entertainment. We'll have a disruption of the Hollywood model, though you'll then likely have a re-acquisition phase as these companies are brought into the fold of US Entertainment Multinationals.

Suddenly it looks like Hollywood again. Doh.

Unless companies in these new locations make a specific effort to not be acquired, then this is how I would suspect it will go. Even if they do attempt to avoid being acquired, you have the difficulty of those same multinationals setting up shop in town and hiring away all of your freshly trained workers.

I'm not trying to make this sound worse than it is or vilify the corporation, just stating that at least up until now this is how it seems to be going.

Red Herring - Is Asia the Next Hollywood?
The explosive growth of Internet video gaming could transform Asia into the global entertainment industry’s next development hub, an audience at Silicon Valley’s Kincon innovation conference heard this week.

"I think Asia is the new Hollywood," said Susan Choe, founder and CEO of game publisher Outspark. “"t’s a big statement, but who thought L.A. was going to be the center of the [entertainment world]?"
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So Outspark and many other companies are betting on Asia’s ability to deliver advanced forms of online entertainment to international markets. The San Francisco-based publisher of Asian games is still in stealth mode, but it is expected to begin testing a multiplayer online game called Fiesta this summer (see http://rh.blogtronix.net/Home/349).

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Friday, May 04, 2007

Despite Nintendo's Piracy Concerns...

It looks like the Chinese market is doing pretty well for the moment. The gaming cafe experience is something that I saw a bit of in India, but not nearly the social force that it seems to be in China and other parts of South Asia. I think one of the key bits that spells a major difference is the rise in sales of offline PC games, which would be the easiest for piracy efforts.

It is interesting that despite Nintendo's threat, I don't believe that officially the DS or Wii is actually being marketed in China. I could be wrong, but the fact that most of it is on the Grey market doesn't surprise me. The same was largely true in India with the notable exception of Microsoft who was investing in marketing the Xbox 360 heavily.

In related news, it looks like they're issuing similar statements to those made to China to Korea. Shape up seems to be the gist of it. Korea is a market where the DS is being pushed by Nintendo, so I can see their interest in protecting their margins.

Chinese game market explodes // GamesIndustry.biz
The report found that revenue from the overall video game market jumped by 68% last year, with the online gaming sector generating USD 995 million in revenue, an increase of 74% from the previous year.

Unsurprisingly, the report singled out China's booming internet cafe culture as the main driver for this growth. The introduction of free-to-play massively multiplayer online games - in which players pay for virtual items - has, according to Niko's managing partner Lisa Cosmas Hanson, further stimulated this trend.

"Chinese gamers pour into the cafes every day to play online and LAN games with friends. They spend money in the games on virtual gifts for friends, services for their characters, and virtual items to help with leveling," said Hanson. "The intertwined nature of China's Internet cafes, social gaming culture, and few entertainment alternatives at a low price point, will continue to be the basis for strong growth through 2011."

But the Niko report goes on to paint a picture of overall good health for the Chinese market. Sales of offline PC games, mostly from Taiwan, rose 28.5 per cent to 904,000 units in 2006. And alongside the 20 million PCs in China's 225,000 internet cafes are an increasing number of consoles, although these are all grey imports, console hardware currently being prohibited in China.

Hanson added: "If a game company can get an impressive game or console to market in China, the gamers there will embrace it. That said, getting a product into the market is not easy. The complex regulatory environment in China is still the greatest barrier to entry for foreign game companies."


Gamasutra - Nintendo Threatens Korean Pirates
Officials from Nintendo Korea have threatened legal action against anyone that copies, sells or distributes illegal game software in South Korea, with the release of a sternly worded statement aimed at discouraging the activity.

As translated by The Korea Herald, the statement reads: "'Nintendo will take strict legal action against businesses that are earning unfair profits by selling illegal copy machineries and downloading pirated programs.'"

Nintendo Korea has also threatened web site providers who allow illegal software to be accessed, while also threatening anyone who downloads the files with a police investigation.

Software piracy has long been a particular problem in Southeast Asia, while Nintendo has earned a reputation for vigorously defending its products from piracy – both in terms of copy protection and legal action. The statement is a first from Nintendo Korea though, previously one of Nintendo’s more neglected worldwide markets.

According to the Korea Herald, the success of the Nintendo DS has been catalyst for increased activity from game pirates targeting Nintendo products, with illegal copies of games for Nintendo, Sony and Microsoft formats apparently widely available in many electronics malls.

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Thursday, April 19, 2007

User Generated "CONTENT" (?)

So, there has been a whole lot going on recently about Game 3.0 (apparently Web 2.0 meets Video Games) (And it's really Game 1.0 = Games on Carts/CD's, Game 2.0 = Game 1.0 + Networking, Game 3.0 = Game 2.0 + User Content). As much as I am a fan of thinking about games as media, in particular because console video game systems dominate the game world so much, this isn't quite the same.

So, let's take YouTube for example. You have the ability (perhaps against other media corporations desires otherwise) to take their content and mash it your own way. Perhaps it's just a simple Anime + Music = AMV (Anime Music Video). Perhaps it's your own custom shot or computer generated material set to music. The point is that you have the ability to pull that content from somewhere else and put it at your disposal.

It's not quite the same for video games. It's especially not so much the same for video games. So, I'd like to remix that last Spidey level and redistribute on YouGame. ... ... Ummm... where do I start? Not quite the same.

Now, Little Big Planet "empowers" users by providing them with a world which they can do these things. But what if I want to change a basic mechanic to customize it a bit more? What if I want to make Little Big Nudie Planet? Not to sleight the guys making Little Big Planet, they're doing a phenomenal job, we just have to realize that it's not the same as YouTube.

This is also complicated by the fact that Web 2.0 is founded on a whole lot of things that Game 3.0 just hasn't done. Open API's, Open Protocols, things like XML, and a whole bunch of other things that really empowers users. In the case of console video games you have none of this foundational material.

In many ways I see XNA as having a greater YouTube potential, because though you end up having to do more work, as people develop tools and pieces, you'll see more (and more different) examples of this.

Nintendo and Sony (though Sony seems to be talking a lot) haven't really figured out that they're going to have to open up more than they have to really embrace this idea, and really, if they don't, MS is the one who is going to win.

What publishers are really worried about is:

Making the Social Connection: How Small Developers and Publishers Can Take On Game Industry Giants

But... Even these comments fail to really engage with the barriers of access to the technologies that really offer the most opportunity for companies to make money and build sustainable work environments.

Making the Social Connection: How Small Developers and Publishers Can Take On Game Industry Giants
According to the NPD Group, total computer and video game industry sales hit $13.5 billion in 2006, almost a 20 percent increase from the year before. The vast majority of those sales came from titles released by major publishers and distributors, not from smaller, independent developers. While we depend on the likes of EA and Ubisoft to deliver blockbusters like The Sims and Rainbow Six, we often don't recognize the importance of indie developers in fueling the creative engine of game design and production.
...
Remaining independent means taking on all the costs of creating, producing, marketing and distributing a title. These costs are high, and a crowded marketplace makes it even more challenging for independent developers to make their presence known. In addition, many smaller firms are made up of just a few employees, whose skills skew toward programming or animation rather than sales or business development.
...
Not necessarily. Since the late 1990s, some small companies have gone the direct route, selling their games online or making their titles open source as a means by which to generate a player base. For example, Positech Games, based in the U.K., was recently highlighted on the popular developers' forum GameDeveloper.net, for its claims to have reached the $100,000 mark purely through online sales.
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Social networking sites like MySpace and Facebook have transformed the way that independent filmmakers and musicians reach new audiences and sell their work. The next wave of social networking, a trend Sony Computer Entertainment calls "Game 3.0," will change the way independent game creators take their games to market.
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But these sites lack a crucial element – game developer participation. FairShare, a new technology my company announced at the Game Developers Conference (GDC) this year, is, amongst other things, designed to connect developers with players through game-related social networking. An engine that runs underneath gaming portals, FairShare lets players sample new games through a try-before-you-buy option. It offers incentives for players to share, recommend and give feedback on new games, and it gives developers a chance to sell games, gain visibility and build their reputations among the game aficionado community.

The Game 3.0 future for independent developers will be rooted in social networks, where developers can make their games available online, players can try, buy, share, and offer feedback on the games, and developers can respond, making changes or developing new titles based on that feedback.

Just as Facebook and Myspace make every participant an owner of his or her own content on the Web, a Game 3.0 style portal must provide a sense of ownership for both players and developers. For indies, the Game 3.0 trend opens new opportunities for connecting with gamers who want to buy their titles, as well as the chance to build communities with other developers and gamers.


Game publishers threatened by user-generated content
Got an idea for a video, a song, a podcast, a game? Make it, put it online, and people will find it. We all benefit from the mind-bogglingly wide variety of stuff to consume, and the competition increases quality for everyone. The dinosaurs who have become rich off outmoded means of production and distribution are quaking in terror. Some, like SCEA president Phil Harrison, are making attempts to adapt and thrive.

What Do Media Executives Fear?
User-generated content was named by 57 percent of respondents as one of the top three issues they face today. More that 70 percent believed that social media would continue to grow, while only 3 percent said they viewed social media as a fad.
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"Traditional, established content providers will have to adapt and develop new business and monetization models in order to keep revenue streams flowing. The key to success will be identifying new forms of content that can complement their traditional strengths."

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Tuesday, April 10, 2007

Publishers "Scrambling" to Understand the Wii

This is an interesting article about publishers now figuring out that the Wii is a pretty good idea. Well, that's true, but I think they're going to have a lot harder time figuring out how to market and make games for the Wii. Much like US Publishers have had one hell of a time figuring out how to make games and market them for the DS, the Wii is going to prove just as difficult.

Sure all the basic games ought to make it out for the Wii (I'm holding out for hockey on the Wii), they're going to have to try some new stuff. Much like US publishers "don't get" the DS, they're going to take some time to figure out the Wii as well.

Hell, I consider Guitar Hero a prime example of how backward looking most publishers are. It took a new fringe publishing company to make GH happen. Of course they then get bought up by a company looking to extract maximum profit from the franchise, but it's sad that it takes these small forward looking companies to get gamers (and game developers) a chance to try new things.

Try new things. The Wii and DS are the cheapest platforms you can develop for. The risk has never been lower.

Bloomberg: Publishers 'Scrambling' to Get More Titles on Wii
With Nintendo's Wii having sold 3.56 million units in Japan and the U.S., the unique motion-sensing enabled system is already a bona fide success at this early stage in the console wars. While many anticipated the Wii to do well thanks to its positive E3 showing last year and all the hype generated up to its launch, Nintendo's new console has done probably even better than many expected.

According to Bloomberg.com, publishers were simply taken by surprise, with the exception of a few (like Ubisoft). "Those companies are backtracking," remarked Piper Jaffray analyst Anthony Gikas. "They're going to need to get their best-branded product on that platform. That will take a good nine to 12 months."
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While supporting any new console is generally a risky proposition, Ubisoft has believed in the Wii from the very beginning. The French publisher released 7 titles for the Nintendo platform in December and has another 6 games in the pipeline to be released by this June. "It's not really a bet anymore," said Ubisoft's Tony Key, head of marketing in the U.S. "It's a viable system that's going to make us money."

Indeed, games on the Wii cost (on average) far less to develop than on Xbox 360 or PS3, potentially saving publishers millions. Furthermore, according to research firm IDC, publishers will continue to be pressured into supporting the Wii as its install base grows. IDC is predicting that Nintendo will ship 16.1 million Wiis this year, outpacing 9.87 Xbox 360s and 9.1 million PlayStation 3s.

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Tuesday, March 20, 2007

Ouch... GBA Outsells PS3

Numbers like these are always highly interpretable, but things definitely look good for Nintendo at the moment. My only hesitation really is that the only software titles in the top 10 for Nintendo systems are First Party titles, meaning that they're made by Nintendo.

If you look at the other platforms (360 for example, or the PS2) they're third party titles. Nintendo is going to have to not only work with developers to get more software onto their systems, but they're really going to have to encourage publishers to take some chances with new material.

Breaking: Nintendo Dominates February; Total Industry Sales Up 53%
Taking a closer look at the data, it's clear that Nintendo is dominating. On the hardware front the DS sold more than any other platform with 485K units, followed by the Wii with 335K units. The PS2 once again outsold the Xbox 360, 295K vs. 228K. Meanwhile, the PS3 sold a disappointing 127K, far below analysts' estimate of 200K. In fact, the old GBA even outsold the PS3, with 136K. Sony's PSP managed to sell 176K. Finally, trailing the pack (essentially on life support) was the GameCube with 24K.
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1. Crackdown (Xbox 360) – Microsoft – 427K
2. Wii Play w/ remote (Wii) – Nintendo – 371K
3. Diddy Kong Racing (DS) – Nintendo – 262K
4. Legend of Zelda: Twilight Princess (Wii) – Nintendo – 130K
5. Guitar Hero 2 w/ guitar (PS2) – Activision – 130K
6. Gears of War (Xbox 360) – Microsoft – 119K
7. Major League Baseball 2K7 (Xbox 360) – Take-Two – 113K
8. Lost Planet: Extreme Condition (Xbox 360) – Capcom – 111K
9. WarioWare: Smooth Moves (Wii) – Nintendo – 109K
10. NBA Street Homecourt (Xbox 360) – Electronic Arts – 102K
Analyst: Next-Gen Underperforming; PS3 Price Cut 'Critical'
With PS3 sales not meeting expectations, at this point Patel said that a price cut on the hardware is "critical," but the analyst does not foresee that happening until at least the start of Sony's next fiscal year (April), and even that is a "long-shot," Patel stated.

To put the PS3's situation in context, Patel said, "PS3 consoles are available at retail but sales are lackluster. Its 130K units sold in February was less than Xbox 360 sales last year (160K) and even less than the original Xbox sales of 140K in Feb-2002."

Deutsche Bank was equally unimpressed with the Xbox 360, however. "Particularly disappointing is Xbox 360 HW sales of 230K in February, which puts its installed base at 5mn or in-line to the original Xbox which was an unproven console and faced substantial competition from the PS2," Patel noted.

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Honest Publishers are Neat

There's an interesting article (verging on a rant, which is a good thing as far as I'm concerned) over on GameDaily.BIZ about getting a game signed.

I can't say much about it other than that it's a pretty honest publisher's view of the world of game development.

Getting Your Game Signed
Less talk, more action – that's what publishing partners really want to see. You can trot out the biggest, fattest, coolest sounding design document in the world, but if you want to be the beneficiary of a five-, six- or seven-figure check, hoo boy... Brother, you better be able to put a playable demo where your mouth is. (Especially since we're sure as snot not reading a 50-page essay on the spot, let alone while swamped back at the home office...)
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Don't arrive at the bargaining table unless you're willing to negotiate, and open to seeing things from the publisher's perspective. This doesn't necessarily mean accepting less money than anticipated, but it may mean adjusting royalty figures or expectations in terms of marketing and promotional commitments. Fun fact: Everyone's goal is always to maximize return while passing the most possible risk onto the other party. And so, if you want to have any hope of getting signed, let alone landing a deal whose terms are even close to favorable, you have to leave yourself room to maneuver. Deals are always a subtle process of give and take. Offended easily? Perhaps this isn't the right business to be in – you'd be amazed by the proposals various game-making and –manufacturing entities will attempt to float past one another.

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Tuesday, March 13, 2007

Nielsen Ratings and Console Markets

While I tend to pay attention to consoles a bit more than the PC (and sometimes unduly, though I've been attempting to rectify that to some extent lately), in part that is because the console while becoming more widespread as these reports indicate, it also tends to be the cash cow of the video game industry, and as such is the platform that video game companies strive to work on.

More and more reports indicate that gamers are favoring consoles over PC's, and that in many cases PC's are being used to drive a fairly narrow set of games. However, at the same time I'm interested more and more in the PC because it is the only "open" game development system out there at the moment capable of running the kinds of games that consumers have come to expect.

The comment about game systems being multimedia hubs is interesting, because for me that makes it a bit complicated that Nintendo released the Wii in the United States unable to play DVD's, despite the systems capability of actually doing so. I'm curious if this is a licensing issue or some other piece of the industry puzzle.

Nielsen reports surge in US console ownership

"The video game console has become a major player in the battle for the living room," according to Nielsen's vice president of wireless and interactive services, Jeff Herrmann. "In households across the country, consoles are successfully competing for consumers' time and attention; not simply as gaming platforms, but as multimedia hubs that also can deliver high quality digital movies and IPTV."


Nielsen: 41.1% of TV Households Have Consoles

According to Nielsen Wireless and Interactive Services, the number of game consoles in U.S. households with a television has grown by 18.5%. In total, there were 45.7 million homes with video game consoles, representing 41.1% of all TV households, during the fourth quarter of 2006. This is an increase from 43 million households (39.1%) last year and 38.6 million (35.2%) in 2004.

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Tuesday, December 12, 2006

Microsoft Releases XNA Express - Let the REAL Revolution Begin

I really do wonder when Sony and Nintendo are going to notice what's going on here. I mean, if they don't have a plan to answer this, every game industry hopeful, hobbyist, and Open Sourcer interested in games is going to be developing code for the 360. You're going to have a wealth of available tools and code. Microsoft will still control the delivery pipeline (unless people start pressing their own CD's and distributing them, but who cares, that sounds like Indy music to me?!?) (Xbox Live Arcade) but they've opened up the production pipeline. This is still massively closed for Nintendo and Sony.

I see the consequences of this behavior in the game industry all the time. I've seen it in the last couple of days with folks here in India developing games these platforms. They feel like they're constantly reinventing the wheel, with no information as to how others have done it. And they're right! They are. This is part of the reason why crunch exists in the video game industry. You have an entire industry built up entirely around secrecy. Sharing is rare. It's rare even amongst studio owned by the same publisher.

I can seriously understand why you want to protect intellectual property. The importance of that is not lost on me. Nor is the importance of education, learning how to deal with these systems. I think what is ridiculous is to expect developers to do all of this work without any sort of community structure outside of their own organization. The IGDA certainly helps with this, but it's not like they can talk about how to get good read-rate performance out of _FILL IN BLANK HERE_ because it's covered by their NDA's.

Open up the production pipelines. It's good for the industry. It hasn't hurt the art world, music world, movie world. As a matter of fact it tends to invigorate things.

Microsoft Releases XNA Game Studio Express // GamesIndustry.biz
Microsoft has also announced plans to launch a new competition, titled Dream-Build-Play, which is open to Windows and Xbox 360 XNA Game Studio Express users. The winning game will be released through Xbox Live Arcade, and the contest will begin in January.

"Xbox Live Arcade has opened up a wealth of new publishing opportunities for established and independent developers alike, so it made perfect sense to also extend this privilege to hobbyists and amateur programmers," said Greg Canessa, group manager of Xbox Live Arcade.

"We have a tremendous opportunity to shine the spotlight on up-and-coming talent through the Dream-Build-Play contest, and we can�t wait to share their creativity with our gaming community around the world."

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Friday, December 01, 2006

Microsoft Hits a Home Run in India

So, none of the mainstream US game press has managed to notice this, but it's pretty impressive. Since I've arrived in India, the only video game company I have seen actively marketing towards Indian consumers has been Microsoft for the Xbox 360. Unfortunately, if you want to buy a 360 here in India, it's going to run you nearly 20,000 INR. That's about $450.00 for the basic edition, which will cost you $300.00 in the US. This is about right for most electronics here, take the price in the US and multiply by 1.5. So, that's obviously out of the realm of possibility for many average Indian consumers. Well, this new deal allows someone to go home with the systme for under 1000 INR (That's a little over $20.00). Suddenly the system isn't so out of whack with the economic abilities of folks here. Now, true, they still have to pay the remaining amount on credit, but I'm sure it's going to make a huge difference for 360 sales here. I suppose that isn't much different than putting it on a Best Buy Card here in the States, but it's a major departure for consumers here.

The interesting thing about consoles here in India. People know about and some even have PS2's. More seem to have 360's. This is still a VERY SMALL portion of the population. Most people know nothing about the Wii and Nintendo DS. Perhaps Nintendo ought to take notice to a market that has very little previous exposure to many video-games. A place where their family oriented, "more acceissible" systems might be seen as precisely the kind of thing that would work here.

ICICI Allows Payment of Xbox 360 in EMIs
ICICI Bank Credit Card will provide an EMI option available to ICICI Bank Credit Card holders only, for the purchase of Microsoft Xbox 360 products at designated Microsoft dealers. Credit card holders will have to initially pay Rs. 899 and an EMI, to buy the console.

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Monday, November 27, 2006

GDC Stuff

I realized, that I had not yet said anything to many that I'll be at GDC (which is the Game Developer's Conference). After my extreme disappointment from last year at not being able to go, this year is actually going to be a perfect opportunity for me to either fall flat on my face, or meet, speak and work with a new variety of developers, for I've actually got two talks! (EEK!)

One is in the Business and Management track, and the other in the IGDA (International Game Developer's Association). I'm actually plotting to get together with developers from India at GDC already. With the shut-down of E3, I'll be curious if GDC attracts a different kind of crowd than it has previously.

GDC is run by CMP and is very professional oriented, so I've tried to make these talks very relevant for the people who I've already learned so much from. I think these kinds of academic and industry collaborations are crucial, and in particular, I think it reasserts the value of different kinds of social science in a world that is increasingly unsure of its relevance. By and large this is reflected in the game industry's attention to psychology, but to few other social scientists. You can see this same kind of focus in the game studies programs that have been developed in the United States as well. If you're not making a game, what do you matter? This has not been the case in the Scandinavian countries, but that is because they are cool like that.

Game Developers Conference 2007 - Casey O'Donnell Speaker's Page
Mapping Your Corporate Geomorphology
Speaker: Casey O'Donnell (PhD. Candidate, Rensselaer Polytechnic Institute)
Date/Time: TBD
Track: Business and Management
Format: 60-minute Poster Session
Experience Level: All

Session Description
This session takes concepts from geology and geography and mobilizes them for managers to analyze their companies. This metaphor provides managers with a set of tools for understanding how teams are composed, how to effectively manage those teams, and how to encourage fruitful collaboration. Different mappings are used to illustrate the ways managers can examine how a company is arranged: physical, discipline, technology, organizational hierarchy, or project. The goal is for managers to be able to answer the question, "Why does our company look the way it does?" as well as "How can we effectively change our typography?"

Quality of Life in a Global Game Industry
Speaker: Casey O'Donnell (PhD. Candidate, Rensselaer Polytechnic Institute)
Date/Time: TBD
Track: IGDA
Format: 60-minute Lecture
Experience Level: All

Session Description
The rise of game development shops across the globe, and the increased use of offshore and inshore outsourcing could have developers feeling like they are losing leverage in making arguments for good quality of life practices. But, do globalization and the ability to outsource work really abdicate the need for quality of life both at home or abroad? This lecture examines the ways in which the hidden costs of poor quality of life, such as, staff churn, rework, schedule slippage, and lost sales negatively impact bottom lines. It looks at the benefits of good quality of life and correlates with some of the sales numbers of different studios. Mechanisms for approaching management are discussed, what are they interested in hearing? Is making the argument to management purely a numbers issue, or is management interested in other metrics? Each of these areas is also examined in the context of globalized game production, and provides developers with new levers for making quality of life arguments in this context. Developers will find this session useful to petition for an enhanced QoL environment.


(30.0)

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The Trouble with Markets

Those guys at GameIndustry.biz are always serving up some piping hot and superbly crafted commentary on the video game industry. Today is no exception.

I also have quite a few concerns about markets, and more particularly the way they are defined, constituted, designed for, developed for, and marketed to. Just in case they forget, this is the "mass/mainstream market":



The Mainstream Myth // GamesIndustry.biz
The industry has become so used to dismissing its own products as hardcore or niche that it has actually thrown a whole nursery school of babies out with the bathwater. Games industry conventional wisdom says that a narrative where space marines shoot aliens can't possibly be mass market - but yet Aliens is one of the most iconic films of the last thirty years. Independence Day was one of the top-grossing films of its decade. Need I mention Star Wars? Our conventional wisdom dismisses wizards and barbarians and their fantasy trappings as being too hardcore to appeal beyond the existing gaming audience, but it's perfectly obvious that franchises like Harry Potter and Lord of the Rings have become a core part of global culture, with a universal appeal which far exceeds that of almost any videogame.

The problem is not the themes of videogames. It's an altogether more bitter pill to swallow, but the problem is that with a few unique exceptions, videogames aren't using those themes in an effective, gripping or mature manner. All too often, games fall short because while they do everything required to satisfy certain segments of the core gaming audience, they miss out on key aspects which would vastly expand their appeal - and from the gamer's perspective, it can sometimes be hard to tell why a certain game achieves a level of mass market recognition, when another does not.
...
This is another core truth about the mass market which the industry has failed to realise. The "mass market" is a myth; the reality is a huge collection of individual niches, some larger than others, but none of them all-encompassing. There is certainly scope for videogames to expand into new niches, as the example of Silent Hill - and indeed of Nintendogs, or Brain Training - displays. However, more importantly, right now videogames are failing to effectively harness their existing niches. Weak narrative, poor direction and pacing, unsympathetic characters, excessively complex control systems, bad music, graphics glitches and a host of other sins which are often forgiven readily by the hardcore are preventing the bulk of this industry's product from having any impact with the vast majority of consumers - and even our military sci-fi or swords 'n sorcery fantasy titles are utterly overshadowed by Hollywood's most vacuous blockbusters.

The question currently being asked in the games industry is, "what new kinds of games can we create which appeal to the mass market?" This is the wrong question. The right question is, "what is it about our existing games that limits their appeal - and how can we change that?" That's a harder question to ask, because videogame creators - from designers right through to publishing bosses - like to believe that their existing products are absolutely fine for their markets, and that it's now time to conquer new markets. Until that attitude changes, videogames will never achieve the success within our culture that other mediums enjoy.


(30.0)

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Tuesday, November 21, 2006

Remaining Bits and Pieces Settling Down

I don't have much broader commentary today. More experiential. I've been busy making sure all of the logistical bits and pieces are falling in to place. The two HR managers at RedOctane and Dhruva, have been extremely helpful in making all of this fairly simple for me. All of my internal airfare and lodging is finalized, so I don't have to worry about that any more. I've also managed to find a fair number of folks to chat with in Hyderabad, so that risk has paid off. Even though members of the International Game Developers Association (IGDA) clamored that I must visit Hyderabad, I found very few developers actually willing to sit down and talk with me.

I'm going to be running a slew of interviews in the coming days, which will keep me very busy. I likely wont do much with these until after I get back to the states. Perhaps listen through them again afterwards, but no transcribing. I did realize yesterday just how much Rajesh here at Dhruva knows about the internal layout of the companies around him (I suppose that's part of his job as a CEO). It was pretty impressive. I'm hoping that he can draw a map of that world. We were planning on a meeting this afternoon, but something seemed to come up.

The nice thing is that it sounds like I've got a good cross-section of these companies, and even if I haven't been able to get sit-in time with all of them, I'll at least have an opportunity to chat with a few folks from many of them. I also got a good feel about some of the studios that I was hoping to visit, but didn't pan out, and while I'm sad that I couldn't check out India Games, I've also now got a better idea about what they're up to.

I'm going to move from the console group here to the mobile group to get a feel for what's going on over there.

Today is very nice out. Its the hottest its been since I arrived, though even now at a little after 4:30pm (IST) it has cooled down significantly. The sun is shining (we've had a fair amount of rain and cloudy skies) and I have every intention to take a slew of photos. I know I've been negligent in posting those.

Last night I ate at Friday's. Yes, I know... How very American of me. It was actually quite fun, because I ended up sitting next to a guy full of commentary about video games in India. Plus I just really wanted some mozzarella sticks. I've made it a rule that I cannot go to a place more than once while I'm here, and have stuck to that pretty well. Other than that I've made it out to many different kinds of places and had numerous different kinds of foods. I keep being encouraged to try places that aren't "Indian," but Indian versions of other foods. For example the "American" salad I had at Fridays was quite spicy, and very good. The mozz sticks were another story, you just can't adjust those too much. People keep recommending "East Asian" and "Italian" places, so I'm doing well with my goal. I'm also one go off a recommendation before I just start wandering.

Tomorrow night I'm going to have a couple of beers with guys from here after work, so that should be fun.

(15.0)

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Saturday, September 23, 2006

Growth of the Global Video Game Market

It is impressive that 50% of EA's revenue came from outside of the US. I would be interested in similar numbers from Blizzard, unfortunately because they are sitting inside of Vivendi (who seems to be coasting on the success of World of Warcraft) we can't actually see these numbers. The fact that EA is opening pursuing new markets is a strategic move that will have long lasting effects. Their operations in China are surely a long term strategy.

"50% of '06 revenue outside North America" - EA // GamesIndustry.biz
"This year, more than 50 per cent of our revenue is coming from outside North America," said Tascan. "Exporting to 'outside' is very, very important, and a big part of your business."

He illustrated the point by pointing towards explosive network technology usage in China, where more than 260 million internet users now exist, and claimed Scandinavia will be among one of the global development hotspots in the next 10 years.

"We're very actively looking for partners in Scandinavia," he said. "We believe the quality of the entertainment here is incredible."

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