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"Recession-Proof"

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Sun 15/12/02 at 01:30
Regular
Posts: 787
Gamers escape into a alternative reality - something we all know about first hand. All the other technology companies outside the gaming industry face volatile markets, yet the games market seems to be with us gamers in this alternative and parallel universe. Worldwide, the games market has had probably the best year it ever has. Global sales of games will exceed £18billion this year.

The games industry is so successful because its in its own cycle. Every few years the gamer will buy their new console and next generation kit, moving on from their last. As this happens the market and popularity of gaming grows. The average age of gamers is growing because the gamers of the NES and Mega Drive are growing older but still buying the latest consoles and games. Their youth is filled by the children below who will in ten years time take their place. Its the only industry like this.

Will it last? Is everything and everyone going to crumble? Is the 'Sonic hedge'funding going to stop (couldn't resist)?

It seems many market analysts are looking at this year as being the best for the next few.

'This is the last big Xmas for hardware sales' -Toby Scott

Where as Mike Wallace from UBS expects console sales to grow slightly next year (cough Zelda, cough Metroid, cough Doom, choke).

However, this is a cry for Grix :) It looks like the next big peak will be in the year 2007. This is the time to apparently have your own small company set up and having a first game released. No doubt we will be able to actually place the console over our head at this time and have Bill Gates show us directions! ARGH! What until then?

Personally, I don't think online gaming is ready yet. Simply because it hasn't got the audience the companies want it to have. Microsoft are all for the online gaming however XBox Live is only a warm-up for the next console cycle. Its the same with the PS2. The thin spread and difference in how broadband is received has meant markets are too small and will be for a few years.. too small to actually make money through online console games. Its obvious Sony and Microsoft are not fully flooding themselves into the online-era, even though is may be the future, they are just ready to eventually distribute all kinds of media through their consoles.

A scary prospect, yet with the cycles how they are, its the future.

Again, personally - I want to see Apple make a console that fits in your pocket and beams its games directly into your head. Broadband isn't needed as wireless technology is ready (as seen with the Airport). If gaming is so popular. THIS SHOULD BE DONE.

Nintendo are sitting back at the moment, they are watching and just puffing on the 'profit' cigar. However Nokia have a challenge to the GBA's throne. I don't think it will eat the Gameboy's market, but it seems that it may have some competition.

Many more companies are going to enter this market.
Something is happening in Japan as we speak (MEGATON!!).

Its going to be a great cycle.
I can't wait for the next-next-gen.
:)

(title inspired by something my dad showed me in one of his FT articles)
Sun 15/12/02 at 04:25
Regular
"bing bang bong"
Posts: 3,040
I don't think videogaming is recession-proof, far from it. It's just another form of entertainment, and when the recession hits, entertainment loses out. People stop going to the theatre, people stop renting videos and people stop buying frivolities like Xbox's.

Online gaming isn't ready yet, not by a long shot - it hasn't the fraction of the required infrastructure, plus it needs broadband to be a massmarket (more than the couple of percent or so of folk who have it at the moment) commodity.
Sun 15/12/02 at 01:30
Regular
"everyone says it"
Posts: 14,738
Gamers escape into a alternative reality - something we all know about first hand. All the other technology companies outside the gaming industry face volatile markets, yet the games market seems to be with us gamers in this alternative and parallel universe. Worldwide, the games market has had probably the best year it ever has. Global sales of games will exceed £18billion this year.

The games industry is so successful because its in its own cycle. Every few years the gamer will buy their new console and next generation kit, moving on from their last. As this happens the market and popularity of gaming grows. The average age of gamers is growing because the gamers of the NES and Mega Drive are growing older but still buying the latest consoles and games. Their youth is filled by the children below who will in ten years time take their place. Its the only industry like this.

Will it last? Is everything and everyone going to crumble? Is the 'Sonic hedge'funding going to stop (couldn't resist)?

It seems many market analysts are looking at this year as being the best for the next few.

'This is the last big Xmas for hardware sales' -Toby Scott

Where as Mike Wallace from UBS expects console sales to grow slightly next year (cough Zelda, cough Metroid, cough Doom, choke).

However, this is a cry for Grix :) It looks like the next big peak will be in the year 2007. This is the time to apparently have your own small company set up and having a first game released. No doubt we will be able to actually place the console over our head at this time and have Bill Gates show us directions! ARGH! What until then?

Personally, I don't think online gaming is ready yet. Simply because it hasn't got the audience the companies want it to have. Microsoft are all for the online gaming however XBox Live is only a warm-up for the next console cycle. Its the same with the PS2. The thin spread and difference in how broadband is received has meant markets are too small and will be for a few years.. too small to actually make money through online console games. Its obvious Sony and Microsoft are not fully flooding themselves into the online-era, even though is may be the future, they are just ready to eventually distribute all kinds of media through their consoles.

A scary prospect, yet with the cycles how they are, its the future.

Again, personally - I want to see Apple make a console that fits in your pocket and beams its games directly into your head. Broadband isn't needed as wireless technology is ready (as seen with the Airport). If gaming is so popular. THIS SHOULD BE DONE.

Nintendo are sitting back at the moment, they are watching and just puffing on the 'profit' cigar. However Nokia have a challenge to the GBA's throne. I don't think it will eat the Gameboy's market, but it seems that it may have some competition.

Many more companies are going to enter this market.
Something is happening in Japan as we speak (MEGATON!!).

Its going to be a great cycle.
I can't wait for the next-next-gen.
:)

(title inspired by something my dad showed me in one of his FT articles)

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