Counting Rupees: E3 lives!
Each week Jeff Engel and Geoff Brooks contribute Counting Rupees, a column on the business behind gaming:

Last week GamePolitics editor Dennis McCauley declared in his weekly Joystiq column that E3 was dead. He is certainly not alone in his opinion. IGN's Craig Harris also pronounced the show dead on his blog, and EA CEO John Riccitiello said that he "hates E3 like this," vaguely threatening to simply have the publisher put on its own show in the future. And of course, the always reliable 3D Realms said that it wasn't attending E3 this year because it was "irrelevant".
A lot of people were disappointed with this year's E3, perhaps even more so than what most considered a horribly executed 2007 E3. As someone who has never been to E3, I suppose I don't have any personal experience to draw from to tell you how much worse this year's E3 was than the ones from 2006 and before. However, as someone who has anxiously awaited and followed E3 for many years, I wonder whether a lot of this reaction is overblown.
There's certainly no question that E3 has changed. After the 2006 E3, which is perhaps most well remembered as marking the Wii's explosion onto the scene, it was announced that E3 was canceled. As Dennis pointed out, publishers did not think it was a cost-effective use of their money to put on such a big and expensive show. Even the extra media attention that the show garnered was apparently not enough for the publishers. Additionally, the show was putting a lot of strain on developers to deliver something that maybe wasn't ready yet, to the ultimate detriment of the developer and publisher of the game (just ask Dennis Dyack). As such, E3 was reformulated into what we see today so that, theoretically, the focus would be more specifically on games and less on the spectacle. Actually, even in some parts of the media, this was supported. IGN's VP of Content Publishing Peer Schneider posted on his blog that he was "relieved" and that it was a "huge money, time, and resource drain every year -- a huge industry pissing match on multile [sic] levels." Joystiq offered its own Good, Bad, and Ugly. Here was the good as posted in July 2006:
Well, we know that "more access to the public" didn't happen, and that the show actually became an invite-only affair. And there wasn't, to my knowledge, a big increase in regional shows, nor does it appear that indie developers have increased their stature at the show. But, the other bullet points were certainly possibilities that at least sounded like "good" things to Joystiq , and the "cooler" atmosphere certainly speaks to the desire to reduce the amount of spectacle and increase the focus on games. As someone who has only consumed the news coming out of E3 rather than report it, this certainly seems to have been the case.
In 2007, most of the complaints seemed to center around the fact that the show was held in Santa Monica and in several different locations, which made travel between various demonstrations and conferences difficult and annoying. So, that was remedied this year by putting it all back into one building. Seemingly, this obvious move to make the show far more convenient to people may have caused the biggest problems. The fact that the show was so much smaller and less lively than previous shows in the same place created, I think, a comparative perception of a worthless show. The reality, however, based on the amount of actual news that has come out of the show is not as conclusive.
Looking back at the coverage of the last "great" E3 of 2006 and comparing it to the amount of coverage generated from E3 2008 doesn't reveal a huge gap. In 2006, Joystiq published 367 stories between May 7-17 (E3 was May 10-12), which represents the Sunday before E3 through the Wednesday of the week after. During this year's E3, Joystiq has so far published 357 articles since Sunday, July 13 (as of early morning July 22). Granted, the E3s occurred during slightly different days of the week, plus this includes all articles written, not just the ones about E3. Still, the numbers are virtually even, and I'd bet that the amount of coverage in a similar time period will actually end up exceeding the E3 2006 number. To use another site's number, IGN published 927 game updates during E3 2006 and 745 game updates during E3 2008 (so far). Sure, that's almost 25% more stories in 2006, but that was also the year the Wii was first unveiled. I don't have any specific numbers, but I'd guess that the show probably cost a lot more than just 25% extra as well. In any case, if the one of the intentions of the show is to drive coverage of games, the numbers don't suggest to me that a huge amount of actual gaming news was lost after the E3 transformation.
This doesn't mean that E3 is perfect the way it is. Clearly, there's room for improvement. Certainly, since the change the show is less exciting than it used to be, and if it continues in this form it will probably continue to be so. At the same time, if it's not interesting to the media in attendance (who, in this format, is likely to be mostly "gaming" media), then even the game industry's core audience will begin to tune it out as the media gets bored with covering it. To that effect, perhaps companies should realize who their audience is and not spend their entire press conference talking about a video game movie adaptation that will, in all likelihood, be terrible. Or, perhaps, companies shouldn't promise that they'll deliver games that the audience will be interested in, only to completely fail them (and then reverse their earlier claims after the fact). And maybe, just maybe, the keynote speaker shouldn't be someone who just wants to promote his state. All of these are certainly problems with E3, but all of these can be rectified. And if I'm right, E3 will have a chance to do just that next year.
As co-editors of A Link To The Future, Geoff and Jeff like to discuss, among many other topics, the business aspects of gaming. Game companies often make decisions that on their face appear baffling, or even infuriating, to many gamers. Yet when you think hard about them from the company's perspective, many other decisions are eminently sensible, or at least appeared to be so based on the conditions at the time those choices were made. Our goal with this column is to start a conversation about just those topics. While neither Geoff nor Jeff are employed in the game industry, they do have professional backgrounds that are relevant to the discussion. More to the point, they don't claim to have all the answers -- but this is a conversation worth having. You can reach them at

A lot of people were disappointed with this year's E3, perhaps even more so than what most considered a horribly executed 2007 E3. As someone who has never been to E3, I suppose I don't have any personal experience to draw from to tell you how much worse this year's E3 was than the ones from 2006 and before. However, as someone who has anxiously awaited and followed E3 for many years, I wonder whether a lot of this reaction is overblown.
There's certainly no question that E3 has changed. After the 2006 E3, which is perhaps most well remembered as marking the Wii's explosion onto the scene, it was announced that E3 was canceled. As Dennis pointed out, publishers did not think it was a cost-effective use of their money to put on such a big and expensive show. Even the extra media attention that the show garnered was apparently not enough for the publishers. Additionally, the show was putting a lot of strain on developers to deliver something that maybe wasn't ready yet, to the ultimate detriment of the developer and publisher of the game (just ask Dennis Dyack). As such, E3 was reformulated into what we see today so that, theoretically, the focus would be more specifically on games and less on the spectacle. Actually, even in some parts of the media, this was supported. IGN's VP of Content Publishing Peer Schneider posted on his blog that he was "relieved" and that it was a "huge money, time, and resource drain every year -- a huge industry pissing match on multile [sic] levels." Joystiq offered its own Good, Bad, and Ugly. Here was the good as posted in July 2006:
- Our jobs get easier. During E3, the Joystiq team churned out 100 posts a day over the duration of the event, but there were probably still things that we missed. If there are multiple shows throughout the year, we'll be able to cover events in more detail and breadth.
- You, the reader, get a much more even flow of information. As one of the team members that didn't attend the show, I had a hard job keeping up with the flow of content. Now that E3 is gone, I can look forward to consuming my gaming news in smaller, easier to digest chunks.
- More access to the public? E3 was not accessible to the public, and was a strictly over-18 trade and press show. Hopefully future shows will split the show between press/trade exclusive days and open-access days so regular consumers can try out the latest games and hardware.
- A cooler atmosphere. E3 is was a very stressful place to be, with every booth being designed to be as loud and as bright as possible in order to attract as much attention as possible. Now that E3 is gone, publishers and developers won't have to spend so much money hiring dancers and huge booths. In other words, the games will have a chance to shine through.
- Worldwide game shows, not just L.A? Due to the expected fragmentation that the E3 cancellation is expected to bring, we can probably expect more regional shows designed to target individual demographics in different countries.
- More focus on indies? Independent developers either couldn't attend E3 due to the high cost, or if they did, they were drowned out by the big publishers and their massive booths.
Well, we know that "more access to the public" didn't happen, and that the show actually became an invite-only affair. And there wasn't, to my knowledge, a big increase in regional shows, nor does it appear that indie developers have increased their stature at the show. But, the other bullet points were certainly possibilities that at least sounded like "good" things to Joystiq , and the "cooler" atmosphere certainly speaks to the desire to reduce the amount of spectacle and increase the focus on games. As someone who has only consumed the news coming out of E3 rather than report it, this certainly seems to have been the case.
In 2007, most of the complaints seemed to center around the fact that the show was held in Santa Monica and in several different locations, which made travel between various demonstrations and conferences difficult and annoying. So, that was remedied this year by putting it all back into one building. Seemingly, this obvious move to make the show far more convenient to people may have caused the biggest problems. The fact that the show was so much smaller and less lively than previous shows in the same place created, I think, a comparative perception of a worthless show. The reality, however, based on the amount of actual news that has come out of the show is not as conclusive.
Looking back at the coverage of the last "great" E3 of 2006 and comparing it to the amount of coverage generated from E3 2008 doesn't reveal a huge gap. In 2006, Joystiq published 367 stories between May 7-17 (E3 was May 10-12), which represents the Sunday before E3 through the Wednesday of the week after. During this year's E3, Joystiq has so far published 357 articles since Sunday, July 13 (as of early morning July 22). Granted, the E3s occurred during slightly different days of the week, plus this includes all articles written, not just the ones about E3. Still, the numbers are virtually even, and I'd bet that the amount of coverage in a similar time period will actually end up exceeding the E3 2006 number. To use another site's number, IGN published 927 game updates during E3 2006 and 745 game updates during E3 2008 (so far). Sure, that's almost 25% more stories in 2006, but that was also the year the Wii was first unveiled. I don't have any specific numbers, but I'd guess that the show probably cost a lot more than just 25% extra as well. In any case, if the one of the intentions of the show is to drive coverage of games, the numbers don't suggest to me that a huge amount of actual gaming news was lost after the E3 transformation.
This doesn't mean that E3 is perfect the way it is. Clearly, there's room for improvement. Certainly, since the change the show is less exciting than it used to be, and if it continues in this form it will probably continue to be so. At the same time, if it's not interesting to the media in attendance (who, in this format, is likely to be mostly "gaming" media), then even the game industry's core audience will begin to tune it out as the media gets bored with covering it. To that effect, perhaps companies should realize who their audience is and not spend their entire press conference talking about a video game movie adaptation that will, in all likelihood, be terrible. Or, perhaps, companies shouldn't promise that they'll deliver games that the audience will be interested in, only to completely fail them (and then reverse their earlier claims after the fact). And maybe, just maybe, the keynote speaker shouldn't be someone who just wants to promote his state. All of these are certainly problems with E3, but all of these can be rectified. And if I'm right, E3 will have a chance to do just that next year.
As co-editors of A Link To The Future, Geoff and Jeff like to discuss, among many other topics, the business aspects of gaming. Game companies often make decisions that on their face appear baffling, or even infuriating, to many gamers. Yet when you think hard about them from the company's perspective, many other decisions are eminently sensible, or at least appeared to be so based on the conditions at the time those choices were made. Our goal with this column is to start a conversation about just those topics. While neither Geoff nor Jeff are employed in the game industry, they do have professional backgrounds that are relevant to the discussion. More to the point, they don't claim to have all the answers -- but this is a conversation worth having. You can reach them at












Reader Comments (Page 1 of 1)
Parsnipzilla @ Jul 24th 2008 2:16AM
Long Live The D!
And Long Live E3!
Sean @ Jul 24th 2008 2:31AM
You dont understand...if you never went to the old E3 you can't understand. It was an amazing spectacle unlike anything else on earth really. Your article is meaningless since you were never there to understand how negative reaction to this watere-down crap of a show is not "over blown"
Indie @ Jul 24th 2008 7:26AM
"As someone who has never been to E3..." aaaand now is when I stop reading your article. Good effort, though.
NoHitHair @ Jul 24th 2008 8:00AM
Essentially this is a review for E3 if no other E3 had ever taken place. By that logic, no matter the E3, they'd all be amazing.
FSK405K @ Jul 24th 2008 2:33AM
Probably about the most thoughtful 'review' I've seen of recent E3s. Statistics, albeit imprecise ones, FTW!
michas_pi @ Jul 24th 2008 10:58AM
@Zorink:
Ban stick? This is a heavy-duty job for the banhammer.
randomshagz @ Jul 24th 2008 2:52AM
E3 will always have a special place in my heart.
Esp the year with GodGames and the Plaid Skirts.
Parsnipzilla @ Jul 24th 2008 3:09AM
Yes, we've now established Sean is gay, no need to keep frikken posting it over and over....
Solid Chief @ Jul 24th 2008 5:37AM
The more times he posts the more chance he can has recon.
ThornedVenom (Harley Quinn Defense Force) @ Jul 24th 2008 8:05AM
"If you tell a lie big enough and keep repeating it, people will eventually come to believe it." - Goebbels
LOL IS A NAZI LOL
Zorink @ Jul 24th 2008 3:11AM
Mr. Grant, will you please get out the ban stick?
Solid Chief @ Jul 24th 2008 5:38AM
Nice article. Optimism is much better than the massive loads of pessimism that has been said about E3. I am interesting in seeing how e3 will adapt next year if at all.
Dionisio @ Jul 24th 2008 6:32AM
I made it to E3 2000 and 2001 and I personally am happy to see those days gone. Watching Tony Hawk skate a huge half-pipe at Activision's booth didn't do anything to help me see, play, or write about his new game. It was just a distraction. I myself felt about 70% of the old E3 was a distraction and, as has been said repeatedly, a waste of money.
Would you really have those days back? When poor old Sega would have to spend an extra million for some bikini girls and holographic projector display just to get you to even look at Vectorman? They'd go broke before they could even finish it.
Yes, this new E3 is pretty tame but I'm glad these guys ran the numbers and pointed out that coverage, no matter how un-glitzed, was still just as high as ever.
ck @ Jul 24th 2008 9:21AM
Yeah, it's been said before, but people complained and moaned about E3 before it got downsized and they're still complaining. It's really sad. I am glad most developers are not spending/wasting money with models, extravagant booth designs and bigger floorspace. And instead are focusing more on the games. I think in 5 years' time E3 will be better off and it will have evolved into something that actually pumps out meaningful news and shows off to the rest of the world what games have to offer.
j.howlett @ Jul 24th 2008 1:16PM
i've said it before, move it back to the month of May. i kept hearing companies say we'll be at comic con showing more stuff. it was like everyone was expecting someone else to steal the show. so they want to wait when they think they can have a bigfer impact.
MasterCKO @ Jul 24th 2008 2:45PM
I liked this write up and feel very similarly to this. Especially since I remember the days of clamor about how terrible and distracting E3 had become in the news outlets. Well, it's less distracting and more focused and now people complain about that, too? God, can't please them all, I suppose.
I feel that making E3 a business meeting for the business of making video games (VIDEO GAMES, not MOVIES *coughcapcomcough*) is at its core a good idea. It just needs to be tweaked and worked on for next year, as Jeff says in this article. These crazy doomsday scenario predictions are pretty silly and counter-productive if you ask me.
GoonieGooGoo @ Jul 24th 2008 2:52PM
Having been to E3 in the past.....this new E3 is completely irrelevant. No one cares anymore, not even the people attending.
It used to be a fun environment & meeting of the minds of people in the biz....now its boring.
BRING BACK THE OLD E3!!! AND OPEN IT TO THE PUBLIC!!