THE YEAR IT WAS IN GAMING Looking at the numbers in general this has been a good year for gaming industry overall, despite the massive disruptions shaking the industy to its very core. PC gaming has recovered its standing, thanks to the vast popularity of games like League of Legends, World of Tanks, DOTA2, Team Fortress 2, Warframe, and many others. Mobile gaming is poised to become the largest segment in the industry next year, both financially and by the number of players. PS4 and XboxOne are selling very well, though WiiU and handhelds are struggling. Overall, we find the industry in a rude health in all segements, despite the ongoing torturous dance of closing studios and shifting consumer preferences. Opportunities abound for fast-moving, dynamic companies. Here are my picks for the most important games industry shifts in 2014: DESTINY, THE 500 MILLION DOLLAR GAME SHIPS Activisions big bet launched with much fanfare, and muted critical response.This FPS shooter crossed with Loot MMO is the biggest bet ever taken in the games industry. Without a doubt part of the budget is PR/marketing and not the development cost, but the game shows that in order to have a game that can compete in the console space with big boys, budget in excess of 100 million dollars is starting to be minimum requirement. This means that we will see fewer and fewer games on home consoles that are bigger and bigger. It remains to be seen if Activisions bet on Destiny was a good one. Yours truly will report once the financial results of Activision are out. NINTENDO BATTLES BACK Last few years have not been rosy for Nintendo. This year it seems that the big N might finally manage to turn the tide and a leaner, more focused Nintendo is emerging. While the company focuses on the most profitable part of its games business, it is busily revving up new initiatives in Health&Fitness. Next year Nintendo will ship its sleep pattern monitor, heralding a new shift for the 125-year old company. I expect Nintendo to post profit this year thanks to its strong slate of games (this year we saw Mario Kart 8, Super Mario 3D World and Smash Bros amongst others), Amiibos, and much-reduced overhead. By no means is big N out of the woods yet, but it is finally starting to fight back. THE SLOW DEATH OF GAMES MEDIA All year long more and more iconic gaming magazines and websites have closed down or drastically cut staff, while the Youtube stars led by PewDiePie have become the dominant channel for game fans when it comes to looking to decide which games are hot and to find out what is coming up. Increasingly, the games industry is reducing its marketing spend on the games sites, leading into their ever-greater irrelevancy. Oh, how the mighty have fallen. MICROSOFT BUYS MOJANG FOR 2.5 BILLION DOLLARS Minecraft is the ultimate proof of the disruptive power of gaming, where a game made with very limited budget becomes a cultural phenomena of unheard proportions. Minecraft valuation dropped the jaws of the people in the industry, since Mojang isnt the kind of money-making machine that Supercell is. To give you an idea of the scale of this deal, Microsoft deemed Mojang more valuable than Ubisoft or TakeTwo interactive. But to me the reason for the deal was clear: no other product commands the attention of the next generation the way Minecraft does. Microsoft used its immense coffers of cash to make itself relevant with the next generation of players once more. Finally, here are some of the most impactful games of the 2014 in my opinion (not necessarily my favorites, but the ones that have shaped the industry this year). Hearthstone (Blizzard): this game was the first major F2P game by Blizzard, and it found success both in mobile and PC space. Shadows of Mordor: One of the few AAA games to introduce truly innovative concepts to AAA space this year. The game was not perfect, but in many ways it was a breath of fresh air. Dragon Age: Inquisitor (EA): The pinnacle of Western RPGs. Sadly, its disappointing sales thus far tell of the change in consumer behavior. Monster Strike (Mixi): the game that finally dethroned Puzzle&Dragons in Japan. Rarely have I seen a game whose designer had such a blend of understanding what innovation leads to success in Japan (ad-hoc multiplayer, co-op sync gameplay), while having the guts to do an outrageously original game. Bayonetta 2 (Platinum): Sadly no-one bought the game, but it stands as a testament to the creative powers of a great developer at the height of their craft.
Posted on: Mon, 15 Dec 2014 21:24:11 +0000