The New York Times'
looks at the recent poor performance of EA and the anticipated performance
domestic publishers. While much of the poor performance may be attributed to common culprits, like the dearth of Xbox
360 consoles and transitional difficulties, there is one other thing.
Schiesel writes, "... game
publishers in the United States are still almost entirely in the same business they have been in for 20 years: selling
new games at retail." Subscription-based MMOs and used-games are both profitable avenues that represent "a
major challenge to the publishers' traditional business model."
Game retailers thrive
on the used-games market;
even big-box stores like Best
want to get in on the action, much to the chagrin of developers
publishers everywhere. For now, the bad blood between retailers and publishers will continue: Gamestop's most recent
quarterly earnings were "eye-popping" while EA's shares are down 11 percent over the period.