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Joystiq http://www.joystiq.com Joystiq http://www.blogsmithmedia.com/http://www.joystiq.com/media/feedlogo.gif Joystiq http://www.joystiq.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[Man forced by kidnappers to purchase a PlayStation 3]]>http://www.joystiq.com/2009/11/14/man-forced-by-kidnappers-to-purchase-a-playstation-3/http://www.joystiq.com/2009/11/14/man-forced-by-kidnappers-to-purchase-a-playstation-3/http://www.joystiq.com/2009/11/14/man-forced-by-kidnappers-to-purchase-a-playstation-3/#comments

You can tell the recession is dramatically affecting folks all over the United States when stories about kidnappers forcing their detainee to buy them gaming consoles arise. That's exactly what Kyle Yarkosky is alleging that David Daniels and another unnamed suspect did to him, after forcing him at gunpoint into their vehicle, having him steal his stepfather's credit card, and then drive to the local Walmart where they made him buy them a PlayStation 3.

Naples News reports that the suspected assailants entered the Pebblebrooke Lakes gated community in a white truck, with Yarkosky following behind on foot, said to be headed to "meet a friend." Instead, the truck allegedly stopped, with Daniels and "an Asian-looking man" exiting and ordering Yarkosky into their vehicle. The two suspects are said to have forced Yarkosky to steal his stepfather's credit card and drive to a local Walmart, where Daniels intended on having a gun purchased. When the gun counter was closed, he then requested Yarkosky purchase a PlayStation 3. According to reports, Daniels then told Yarkosky he was "free to go," thus ending the ordeal.

[Thanks Kreyg!]

Man forced by kidnappers to purchase a PlayStation 3 originally appeared on Joystiq on Sat, 14 Nov 2009 11:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>collier-countycrimedavid-danielseconomyfloridakidnappingkyle-yarkoskynaples-newsrecessionrobberytheftTheFlamingLipsWal-Mart StoresWal-martStoreswalmart adWalmartAdSat, 14 Nov 2009 11:30:00 EST<![CDATA[Atomic Games unable to secure funding for Six Days in Fallujah, reduces staff]]>http://www.joystiq.com/2009/08/06/atomic-games-unable-to-secure-funding-for-six-days-in-fallujah/http://www.joystiq.com/2009/08/06/atomic-games-unable-to-secure-funding-for-six-days-in-fallujah/http://www.joystiq.com/2009/08/06/atomic-games-unable-to-secure-funding-for-six-days-in-fallujah/#comments

(click to embiggen)

Citing a lack of "full-scale funding" for controversial game Six Days in Fallujah, Atomic Games is reporting today that it's trimming staff. According to Atomic, the 75 employees of the studio remained until this week when an undisclosed amount were let go.

Though the developer assures the "dozens of Marine veterans" who have spent "hundreds of hours in this project" that it will "fight on," we worry that this is just one more sign of a likely to-be-canceled game. After Konami dropped out as the game's publisher back in April, Six Days in Fallujah's fate has been up in the air. It probably doesn't help that rumors circulated yesterday about the studio's creative lead hitting the road for (presumably) greener pastures. We've reached out to Atomic for further information about those let who were let go and will update this post as we hear more.

Gallery: Six Days in Fallujah

Atomic Games unable to secure funding for Six Days in Fallujah, reduces staff originally appeared on Joystiq on Thu, 06 Aug 2009 15:27:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>atomicatomic-gameseconomyfallujahfiringskonamilayoffsMicrosoftrecessionsix-days-in-fallujahXbox-360Thu, 06 Aug 2009 15:27:00 EST<![CDATA[Disney Interactive posts 20 percent losses in third quarter, citing bad economy]]>http://www.joystiq.com/2009/07/31/disney-interactive-posts-20-percent-losses-in-third-quarter-cit/http://www.joystiq.com/2009/07/31/disney-interactive-posts-20-percent-losses-in-third-quarter-cit/http://www.joystiq.com/2009/07/31/disney-interactive-posts-20-percent-losses-in-third-quarter-cit/#comments

Businesses don't adhere to the same rules we silly humans do; the cycle of the Earth around the sun, for instance. Disney Interactive Media Group is no exception, posting its quarter three financial results -- the quarter that ends in June, folks -- just this week. According to Gamasutra, revenue dropped by $29 million year over year, which company CEO Robert A. Iger said during a conference call was due to "adverse economic conditions."

Though Iger didn't specifically spell it out, we would imagine that investing in the development of multiple major titles in Split/Second and, um ... whatever it is that Warren Spector's working on at Junction Point isn't helping with the money intake either. The CEO is positive about the future, but remains worried about the current economy, saying, "We do see signs of economic stabilization, but the pace and strength of recovery remain uncertain and we are managing accordingly." We're guessing it's a bad time to ask for those free passes to Epcot?

Disney Interactive posts 20 percent losses in third quarter, citing bad economy originally appeared on Joystiq on Fri, 31 Jul 2009 18:15:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businessdisneydisney-interactiveeconomyepic-mickeygamasutrajunction-pointjunction-point-studiosrecessionrobert-igersplit-secondFri, 31 Jul 2009 18:15:00 EST<![CDATA[Amazon stock drops citing 'an industry slowdown in video games and consoles']]>http://www.joystiq.com/2009/07/26/amazon-stock-drops-citing-an-industry-slowdown-in-video-games-a/http://www.joystiq.com/2009/07/26/amazon-stock-drops-citing-an-industry-slowdown-in-video-games-a/http://www.joystiq.com/2009/07/26/amazon-stock-drops-citing-an-industry-slowdown-in-video-games-a/#comments

The global economic recession is finally hitting home, folks. That's right -- the Internet. Major online retailer Amazon.com is citing, "video games and consoles" as one of the primary culprits causing the company's financial hardship. According to the Wall Street Journal, though the company posted 14% increased profit margins in its last financial quarter, sales of "media" in the US (books, movies, video games) have nearly stopped.

While we can't speak for the other two forms of "media," we'd like to point out to Amazon that, comparatively with spring of 2008, sales of video games in spring of 2009 have been predicted to decrease for some time now. It probably doesn't help that, you know, it's summer. Still, with the flood of great games coming out later this year, we're betting the lean times (in terms of video game sales, at least) won't last for long.

Amazon stock drops citing 'an industry slowdown in video games and consoles' originally appeared on Joystiq on Sun, 26 Jul 2009 13:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>amazonamazon.combusinessdigital-distributioneconomyrecessionretailsaleswall-street-journalSun, 26 Jul 2009 13:30:00 EST<![CDATA[Two Midway studios facing possible closure in two weeks]]>http://www.joystiq.com/2009/06/16/two-midway-studios-facing-possible-closure-in-two-weeks/http://www.joystiq.com/2009/06/16/two-midway-studios-facing-possible-closure-in-two-weeks/http://www.joystiq.com/2009/06/16/two-midway-studios-facing-possible-closure-in-two-weeks/#comments

If you've got an extra few million bucks lying around, we can think of a couple of video game development studios that could really use it. According to a recent report from Guardian.uk, Midway's Newcastle and San Diego studios are facing closure if they can't find buyers by the end of June. For those whose extended WoW sessions have left them chronologically unaware, that's just two weeks from today.

The Guardian's article focuses on the Newcastle studio -- creators of the recently released Diesel-fest Wheelman -- which is trying to stave off death by finding investors for its unannounced open-world action game. We're far from financial experts, but perhaps keeping said project under wraps isn't the best way to attract suitors in such a brief timeframe. Just, you know, a suggestion.

[Via CVG]

Two Midway studios facing possible closure in two weeks originally appeared on Joystiq on Tue, 16 Jun 2009 15:10:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>bankruptcyclosureeconomymidwaymidway-newcastlemidway-san-diegorecessionTue, 16 Jun 2009 15:10:00 EST<![CDATA[Used game sales balloon GameStop Q1 2009 numbers]]>http://www.joystiq.com/2009/05/21/used-game-sales-balloon-gamestop-q1-2009-numbers/http://www.joystiq.com/2009/05/21/used-game-sales-balloon-gamestop-q1-2009-numbers/http://www.joystiq.com/2009/05/21/used-game-sales-balloon-gamestop-q1-2009-numbers/#comments

Now here's a real economic indicator: during the fiscal quarter ending May 2 of this year, used game sales at GameStop increased by 31.9 percent, while new game sales decreased by 2.8 percent. Game sales in the US aren't declining, new game sales are -- to the tune of 548.5 million dollars in Q1 2009 alone, just over a quarter of GameStop's entire earnings during the period.

Sure, the Nintendo DSi release and a handful of blockbuster titles from Capcom earlier this year helped to keep new games and hardware from dropping off too much -- new hardware numbers actually increased from last year. But that isn't to say that the 114 new stores opened by the company recently due to "the downward pressure of rents" is a good idea. While GameStop predicts even better sales over the next half of the year, it'd be wise to carefully plan around the "brittle global economy."

Used game sales balloon GameStop Q1 2009 numbers originally appeared on Joystiq on Thu, 21 May 2009 14:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businesseconomic-indicatoreconomygamestopnintendo-dsirecessionThu, 21 May 2009 14:30:00 EST<![CDATA[Time editorial (sort of) explains why video games are a good economic indicator]]>http://www.joystiq.com/2009/05/15/time-editorial-sort-of-explains-why-video-games-are-a-good-eco/http://www.joystiq.com/2009/05/15/time-editorial-sort-of-explains-why-video-games-are-a-good-eco/http://www.joystiq.com/2009/05/15/time-editorial-sort-of-explains-why-video-games-are-a-good-eco/#comments

Time Magazine thinks that video games are a good economic indicator -- as in, if the gaming industry is doing poorly (it's not), that speaks volumes about the national economic situation. And Time's reasoning is sound, more or less: "When people cannot spend $300 on a console or $50 on a game which can be used for hours and played over and over again, the money for discretionary spending has dried up."

The piece references declines in sales of the Nintendo Wii (selling "only" 340k units in April) as well as the recent loss report by Sony on its PlayStation division. Problem is, it makes no mention whatsoever of the repeated analyst reports citing year-over-year declines being forced by AAA-games being released in the traditionally dormant late-Winter/early-Spring months, during 2008. And furthermore, the author worries about the sales of the PS3 in April, not making any mention of the relatively robust PS2 and PSP sales during the same time period.

Then again, the Time website has Jim Cramer divvying out economic tips just three inches to the right of this piece, so, ya know, there's that trustworthy source of financial information.

Time editorial (sort of) explains why video games are a good economic indicator originally appeared on Joystiq on Fri, 15 May 2009 21:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businesseconomyjim-cramernpdrecessiontime-magazineFri, 15 May 2009 21:00:00 EST<![CDATA[Factor 5 shuts down US operations]]>http://www.joystiq.com/2009/05/14/factor-5-shuts-down-us-operations/http://www.joystiq.com/2009/05/14/factor-5-shuts-down-us-operations/http://www.joystiq.com/2009/05/14/factor-5-shuts-down-us-operations/#comments

Factor 5 officially announced the closure of its US operations recently, concluding a story that feels like it's been just out of reach for half a year. The developer had been having some rough times since the poignant failure of Lair. Following that, there was its falling out with Brash Entertainment (which led to layoffs), leaks of the Superman and Kid Icarus games, and, obviously, the closure of the studio.

The bright side on this really dark tale is that Achim Moller, CEO of Factor 5 Germany, states the company has "partnered with both old and new friends in the industry who will reveal our upcoming projects over the next months." With E3 visible in the smog-filled distance, perhaps we'll learn what the German-based developer is up to soon.

[Via Kotaku, Siliconera]

Factor 5 shuts down US operations originally appeared on Joystiq on Thu, 14 May 2009 13:15:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businessclosuredepressioneconomyfactor-5kid-icaruslairlayoffsrecessionsupermanThu, 14 May 2009 13:15:00 EST<![CDATA[Analyst calculates layoff totals, the belief in a 'Gaming Renaissance Movement']]>http://www.joystiq.com/2009/05/12/analyst-calculates-layoff-totals-the-belief-in-a-gaming-renais/http://www.joystiq.com/2009/05/12/analyst-calculates-layoff-totals-the-belief-in-a-gaming-renais/http://www.joystiq.com/2009/05/12/analyst-calculates-layoff-totals-the-belief-in-a-gaming-renais/#comments

M2 Research market analyst Wanda Meloni estimates that 8,450 game industry employees have been let go since July 2008. North America had approximately 6,300 layoffs (75 percent), which represents 12 percent of the region's workforce -- her piece was published on Gamasutra last Friday, so it likely doesn't take into account the Massive and 3D Realms hits.

Meloni's "glass half full" view of the layoffs is that these folks will start small development studios and form part of what she's calling the "Gaming Renaissance Movement." She feels that these start-ups -- many self-funded through severance packages -- have the "creativity, vision and sheer grit" (not to mention: no other choice) to do their best to make it.

The majority of Meloni's post goes into detail about what tools, funding and partners these start-ups have at their disposal. As for us, we're just looking to give the "layoffs" tag a rest.

[Via Edge]

Analyst calculates layoff totals, the belief in a 'Gaming Renaissance Movement' originally appeared on Joystiq on Tue, 12 May 2009 08:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businessdepressioneconomylayofflayoffsm2-researchrecessionwanda-meloniTue, 12 May 2009 08:45:00 EST<![CDATA[Disney Interactive revenue down citing lack of console games]]>http://www.joystiq.com/2009/05/07/disney-interactive-revenue-down-citing-lack-of-console-games/http://www.joystiq.com/2009/05/07/disney-interactive-revenue-down-citing-lack-of-console-games/http://www.joystiq.com/2009/05/07/disney-interactive-revenue-down-citing-lack-of-console-games/#comments

Disney Interactive has been having a pretty rough year. The company kicked off 2009 with a handful of layoffs, and now, according to reports at Gamasutra, it's also facing a near 20 percent drop in year-over-year revenue. Big surprise? Not exactly, considering the publisher only internally published a handful of games last year (including critically acclaimed Pure and not so critically acclaimed Turok).

Also not a big surprise, Disney Interactive prez and CEO Bob Iger cites "the weak economy and other factors" when explaining his company's less than fantastic financial situation. Let's just hope Warren Spector's "epic" Mickey Mouse game can help to bolster Disney's 2009 lineup.

Disney Interactive revenue down citing lack of console games originally appeared on Joystiq on Thu, 07 May 2009 15:15:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businessdisneydisney-interactiveeconomygamasutrapurerecessionturokwarren-spectorThu, 07 May 2009 15:15:00 EST<![CDATA[Microsoft lays off 28 percent of Massive]]>http://www.joystiq.com/2009/05/06/microsoft-lays-off-28-percent-of-massive/http://www.joystiq.com/2009/05/06/microsoft-lays-off-28-percent-of-massive/http://www.joystiq.com/2009/05/06/microsoft-lays-off-28-percent-of-massive/#comments

It seems as though the reports coming in this morning regarding Microsoft layoffs at its in-game advertising department, Massive, were more than a tad overstated. A Microsoft spokesperson, as well as Cassandra Nuttall, head of marketing at Massive, confirmed to us this afternoon that, "In total, the Massive business unit will see a headcount reduction of 28 percent."

Earlier today we reported that a variety of outlets, relying on "anonymous sources," were told that the layoffs at Massive were as high as 75 percent. "While yesterday's job eliminations included full-time employees who work for Massive," the spokesperson told us, "the reports of a 75 percent workforce reduction are inaccurate." Citing the "global economic downturn" for the staff cuts, Ms. Nuttall also insures us that the company "foresee[s] no disruption whatsoever [in its] current relationships with global, blue chip brands and leading game publishers." To those of you laid off, we wish you the best in the coming months.

Microsoft lays off 28 percent of Massive originally appeared on Joystiq on Wed, 06 May 2009 19:00:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>businesscassandra-nuttalleconomylayoffsmassivemicrosoftrecessionWed, 06 May 2009 19:00:00 EST<![CDATA[Canadian video game sales dip for first time since 2002 ]]>http://www.joystiq.com/2009/05/05/canadian-video-game-sales-dip-for-first-time-since-2002/http://www.joystiq.com/2009/05/05/canadian-video-game-sales-dip-for-first-time-since-2002/http://www.joystiq.com/2009/05/05/canadian-video-game-sales-dip-for-first-time-since-2002/#comments

According to number crunchers at NPD, game industry sales have given Canadian retail outlets the cold shoulder so far in 2009. Much like the region's warmer cousin to the south, sales have slowed through the first quarter, with NPD reporting an 8.5 percent decline in overall sales compared to the same period last year. Interestingly, it isn't games that shoulder the biggest burden of this hit, but hardware, with sales of portables plummeting a dramatic 21 percent during the period. Console sales fared little better, dropping 14.5 percent in sales year-over-year.

The dip represents a first for the market since NPD began tracking Canadian sales in 2002. The group points to an overall lack of "blockbuster titles" so far compared to 2008 as a driving reason for the ongoing slump, with the same period in 2007 buffeted on sales of games like Guitar Hero III and Super Smash Bros. Brawl. As games like Resident Evil 5 and Halo Wars are not enough to get more Canadians checking out new platforms, clearly the time is right for a new hockey or moose hunting game to ski in and save the day.

Canadian video game sales dip for first time since 2002 originally appeared on Joystiq on Tue, 05 May 2009 01:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>canadaeconomyguitar-hero-iiinpdrecessionsalesssbbTue, 05 May 2009 01:00:00 EST<![CDATA[BioShock movie gets budget cut, 'in a holding pattern']]>http://www.joystiq.com/2009/04/25/bioshock-movie-gets-budget-cut-in-a-holding-pattern/http://www.joystiq.com/2009/04/25/bioshock-movie-gets-budget-cut-in-a-holding-pattern/http://www.joystiq.com/2009/04/25/bioshock-movie-gets-budget-cut-in-a-holding-pattern/#comments

The bad economy just won't stop showing up in our news posts these days. First we get predictions of months of down sales, and now we get news that the Gore Verbinski directed BioShock film adaptation is stuck "in a holding pattern." Variety is reporting that Verbinski and production company Universal are looking at possibly moving the currently in pre-production film to outside the US to "take advantage of a tax credit," allegedly looking at moving production to London from its current Los Angeles locale.

Additionally, according to Variety's sources, some of the pre-production staff has been let go while the budget restructuring takes place. The studio (and Verbinski himself) have vowed to not allow the BioShock movie to succumb to the same fate as the perpetually on-again, off-again Halo film. As BioShock is one of the few games we could actually see making a really interesting film, we're hoping they're not just pulling our chain.

[Thanks, Aaron!]

BioShock movie gets budget cut, 'in a holding pattern' originally appeared on Joystiq on Sat, 25 Apr 2009 13:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>big-daddybioshockBioShock-movieeconomygore-verbinskimoviesrecessionuniversalvarietySat, 25 Apr 2009 13:00:00 EST<![CDATA[Game investor consultant says budgets are tightening for VCs]]>http://www.joystiq.com/2009/04/25/game-investor-consultant-says-budgets-are-tightening-for-vcs/http://www.joystiq.com/2009/04/25/game-investor-consultant-says-budgets-are-tightening-for-vcs/http://www.joystiq.com/2009/04/25/game-investor-consultant-says-budgets-are-tightening-for-vcs/#comments

We here at Joystiq have a long history of making unsubstantiated claims about games we're absolutely, 100 percent, without a doubt not making. Unfortunately though, it seems that Joystiq Publishing[TM] is going to have to close its doors, as Develop's Nick Gibson tells us that fewer and fewer venture capitalists are shelling out dough on fledgling developers these days. More specifically, he says, "in the last four or five months there has been a collapse in venture capital," meaning less money is out there for small developers and publishers -- not to mention new development companies.

The problem with this, he argues, is that innovation will be stifled (or at very least slowed) as funding drops out for potentially "risky" games. "There will be considerably fewer start-ups able to pick up the innovation baton and continue to evolve the market," he says. We're hoping that the lack of money forces big publishers to reconsider wasteful spending and instead focus on making the best possible games they can with the resources alotted. We're also hoping for unicorns to land on the moon and find the sattelite's creamy center actually full of an unlimited energy source. So there's that!

Game investor consultant says budgets are tightening for VCs originally appeared on Joystiq on Sat, 25 Apr 2009 01:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businessdevelopdevelopmenteconomynick-gibsonrecessionventure-capitalSat, 25 Apr 2009 01:00:00 EST<![CDATA[Analysts: US game sales slump to continue until second half of '09]]>http://www.joystiq.com/2009/04/21/analysts-us-game-sales-slump-to-continue-until-second-half-of-09/http://www.joystiq.com/2009/04/21/analysts-us-game-sales-slump-to-continue-until-second-half-of-09/http://www.joystiq.com/2009/04/21/analysts-us-game-sales-slump-to-continue-until-second-half-of-09/#comments

The go-to game industry analysts see the downward sales in March as a trend that could continue over the next several months. Wedbush Morgan's Michael Pachter notes that hardware sales were down 19 percent year-over-year and he doesn't see a reversal of software sales in the "near term." Lazard Capital's Colin Sebastian is concerned that the industry continues to see sales "concentrated among a small group of top-tier software publishers and first-party platform holders." He believes this leaves little room for ... well, anyone else in the near future.

Both gurus see the second half of the year working out better for the industry. Edge notes that US industry sales have hit $4.25 billion during the first quarter, the same place they were during 2008's record-breaking year.

Analysts: US game sales slump to continue until second half of '09 originally appeared on Joystiq on Tue, 21 Apr 2009 19:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>analystanalystscolin-sebastianeconomymichael-pachternpdrecessionTue, 21 Apr 2009 19:30:00 EST<![CDATA[Realtime Worlds offers workers 'generous' benefits]]>http://www.joystiq.com/2009/04/07/realtime-worlds-offers-workers-generous-benefits/http://www.joystiq.com/2009/04/07/realtime-worlds-offers-workers-generous-benefits/http://www.joystiq.com/2009/04/07/realtime-worlds-offers-workers-generous-benefits/#comments

The video game industry has the dubious reputation for working its talent to the bone, and in this economy many have been rewarded for their hard work with a pat on the back and a swift kick to the curb. Now Crackdown developer Realtime Worlds says that while it can't promise its employees won't work ridiculous hours, it offers workers "one of the most generous benefits packages" in the industry.

Realtime Worlds notes that it currently has over 40 positions open, jobs that will likely be filled in part by the pile of resumes the company collected during GDC. It's reassuring to see any company step up for its workers, and while devs grind their fingers down for hours on end, with paid (paid!) overtime and medical insurance at least they'll have something more to show for it than a pink slip and bloody stumps where their fingers used to be.

Realtime Worlds offers workers 'generous' benefits originally appeared on Joystiq on Tue, 07 Apr 2009 09:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>economyhiringovertimerealtime-worldsrecessionTue, 07 Apr 2009 09:00:00 EST<![CDATA[Analysts: Gaming on the rise during recession, but gamers choosing more carefully]]>http://www.joystiq.com/2009/04/02/analysts-gaming-on-the-rise-during-recession-but-gamers-choosi/http://www.joystiq.com/2009/04/02/analysts-gaming-on-the-rise-during-recession-but-gamers-choosi/http://www.joystiq.com/2009/04/02/analysts-gaming-on-the-rise-during-recession-but-gamers-choosi/#comments

On the heels of high February sales numbers, Reuters is reporting that the game industry is actually thriving during the economic recession (so long as you don't work for the game industry, anyway). The article notes that the games market has expanded, largely thanks to the Nintendo Wii, which has brought an influx of female gamers. Reuters states -- as have others -- that many consumers are turning to home entertainment in the current economic environment. Analysts expect the industry to continue growing, with IDC's Billy Pidgeon expecting double digit growth in 2009, though he adds that gamers "will consider purchases more carefully" given the recession.

Analysts expect the recession to have other effects on the game industry as well. Interpret's Michael Cai expects used games and budget titles to take up a more significant share of sales this year. Wedbush Morgan analyst Michael Pachter, unsurprisingly, expects hardware manufacturers to cut the price of their consoles. We're assuming he wasn't referring to the PS2.

[Original image: tachyondecay]

Analysts: Gaming on the rise during recession, but gamers choosing more carefully originally appeared on Joystiq on Thu, 02 Apr 2009 21:50:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businesseconomyrecessionThu, 02 Apr 2009 21:50:00 EST<![CDATA[Industry professionals having trouble finding work]]>http://www.joystiq.com/2009/04/01/industry-professionals-having-trouble-finding-work/http://www.joystiq.com/2009/04/01/industry-professionals-having-trouble-finding-work/http://www.joystiq.com/2009/04/01/industry-professionals-having-trouble-finding-work/#comments

Things are tough all over, and after months of industry cutbacks and studio closures, a number of video game professionals have been left holding the bag in one hand and a pink slip in the other. While last week's Game Developers Conference gave many jobless developers the opportunity to hand out resumes, a new report from the LA Times writes that many are still having a difficult time finding work.

One issue is that with so many industry professionals pounding the streets, studios have their pick of talent. According to the Times, Ray Miller, an exec at Crackdown dev Realtime Words, collected a shopping bag full of resumes from job seekers at GDC, commenting, "We've been so busy talking to people that we haven't even touched our lunches." Still, as ECA blog GameCulture points out, all is not doom and gloom for those still on the outside, and with game sales in the US showing a steady increase so far in 2009 there is reason to hope that the recently unemployed will be able to find work soon. Then again, they could just start up their own company instead. That's working out alright for some of the downturn's victims so far.

[Via GameCulture]

Industry professionals having trouble finding work originally appeared on Joystiq on Wed, 01 Apr 2009 08:05:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>crackdownecaeconomygdc-2009layoffsrealtime-worldsrecessionWed, 01 Apr 2009 08:05:00 EST<![CDATA[DSi surpasses 2 million sales mark in Japan]]>http://www.joystiq.com/2009/03/24/dsi-surpasses-2-million-sales-mark-in-japan/http://www.joystiq.com/2009/03/24/dsi-surpasses-2-million-sales-mark-in-japan/http://www.joystiq.com/2009/03/24/dsi-surpasses-2-million-sales-mark-in-japan/#comments

It's been roughly five months since the Nintendo DSi launch in Japan (144 days, actually) and the updated handheld has been selling like gangbusters. Famitsu (via VG247) is reporting the landmark number of 2 million units, a figure that amounts to roughly 14,000 units being sold per day in the country since its launch.

To put that in some perspective, the DSi has been outselling the now totally boring DS Lite at roughly 7:1 on a daily basis in the country since its launch last November. 100k every week in Japan -- on average, no less! Our hats are off to you Nintendo, patiently awaiting some soup. You see there's this recession thing you might've heard of. We're not doing so hot ...

[Via VG247]

DSi surpasses 2 million sales mark in Japan originally appeared on Joystiq on Tue, 24 Mar 2009 11:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>DSdsieconomyfamitsuNintendonintendo-dsirecessionvg247xbox-360Tue, 24 Mar 2009 11:03:00 EST<![CDATA[Pachter: February NPD impact 'limited,' industry 'highly recession-resistant']]>http://www.joystiq.com/2009/03/20/pachter-february-npd-impact-limited-industry-highly-recessi/http://www.joystiq.com/2009/03/20/pachter-february-npd-impact-limited-industry-highly-recessi/http://www.joystiq.com/2009/03/20/pachter-february-npd-impact-limited-industry-highly-recessi/#comments

Oh Michael Pachter, you're just like my mother, she's never satisfied. Wedbush Morgan's resident palm reader feels that despite the industry's pocketing of nearly $734 million last month, he expects "limited market reaction" to February's seemingly triumphant sales data. Pachter calls the sales growth "quite respectable" overall, but finds little to celebrate with giants like Electronic Arts and THQ suffering a financial beating at the cash register.

Looking for the silver lining, the analyst told investors in a note that "concerns about the economy are likely to limit share price appreciation," but that steady hardware sales demonstrate strong game sales "well into 2009." Interestingly, Pachter also called the software industry "highly recession-resistant," though we imagine some on the unemployment line might have something to say about that.

Pachter: February NPD impact 'limited,' industry 'highly recession-resistant' originally appeared on Joystiq on Fri, 20 Mar 2009 09:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>analysteconomymichael-pachterrecessionFri, 20 Mar 2009 09:30:00 EST<![CDATA[More gamers turning to pawn shops due to recession ]]>http://www.joystiq.com/2009/02/23/more-gamers-turning-to-pawn-shops-due-to-recession/http://www.joystiq.com/2009/02/23/more-gamers-turning-to-pawn-shops-due-to-recession/http://www.joystiq.com/2009/02/23/more-gamers-turning-to-pawn-shops-due-to-recession/#commentsFiled under: Business

Most gamers who've possessed a longtime penchant for frugality know the pawn shop business model quite well thanks to a certain pre-owned retail juggernaut -- however, due to the aforementioned retailer, we've traditionally rarely taken our business to actual pawn shops. According to a recent Chicago Tribune article, this trend may be reversing -- the article points out that national pawn shop chains had a highly profitable year in 2008 (thanks to the ailing economy), and that most are seeing an increase in hocked electronics; namely, TVs and "expensive game systems."

Sure, it may sound like a depressing trend for gamers to resign themselves to, but really, it's more disastrous news for GameStop. When gamers collectively realize that pawn shops not only offer video games, but also pre-owned Glocks and rings with which to "make that gal an honest woman," they're probably never going to cross the threshold of a GameStop ever again.

[Via GamePolitics]

More gamers turning to pawn shops due to recession originally appeared on Joystiq on Mon, 23 Feb 2009 22:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>economygamestoppawn-shopsrecessionused-gamesMon, 23 Feb 2009 22:00:00 EST<![CDATA[DICE 2009: Riccitiello addresses recession, a 'blessing' for gaming industry]]>http://www.joystiq.com/2009/02/19/dice-2009-riccitiello-addresses-recession-a-blessing-for-gam/http://www.joystiq.com/2009/02/19/dice-2009-riccitiello-addresses-recession-a-blessing-for-gam/http://www.joystiq.com/2009/02/19/dice-2009-riccitiello-addresses-recession-a-blessing-for-gam/#commentsFiled under: Business

Electronic Arts CEO John Riccitiello knows a thing or two about money -- and considering the recent, brutal round of layoffs that the company had to undergo, he probably knows a thing or two about the current economy's sad state of affairs as well. Loading up a tongue-in-cheek screenshot depicting a gruesome wreck in Burnout Paradise, the EA commander-in-chief addressed the recession's effects on the gaming industry, as well as his company's strategy for staying afloat, during his speech at the 2009 DICE Summit in Las Vegas.

Said strategy is unbelievably simple -- Riccitiello summed up the EA survival plan which will result in over 1,000 positions within the company being jettisoned by April in three easy to remember steps: "Start by deciding what's important. Invest heavily in those programs. And cut the rest." This likely adds insult to injury to the nine (apparently unimportant) studios and publishing locations which were recently "cut" by the company, but it sounds like this relentless pruning is in the best interest of the EA mothership.

However, according to Riccitiello, gaming enthusiasts shouldn't be completely disheartened by the recent outbreaks of industry downsizing. He hypothesizes that the "riffraff" that tarnishes the gaming universe will die out, allowing for the market to become more accomodating for the visionaries and luminaries who want to move the medium forward. We certainly hope Riccitiello's dream of a "survival of the fittest" gaming utopia is realized -- we just hope we're all not eating shoelaces and apple cores by the time it gets here.

DICE 2009: Riccitiello addresses recession, a 'blessing' for gaming industry originally appeared on Joystiq on Thu, 19 Feb 2009 21:15:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>dice-2009dice-summiteaeconomyElectronic-Artsjohn-riccitiellolayoffsrecessionThu, 19 Feb 2009 21:15:00 EST<![CDATA[MSNBC asks analysts if $60 is too steep for games]]>http://www.joystiq.com/2009/02/06/msnbc-asks-analysts-if-60-is-too-steep-for-games/http://www.joystiq.com/2009/02/06/msnbc-asks-analysts-if-60-is-too-steep-for-games/http://www.joystiq.com/2009/02/06/msnbc-asks-analysts-if-60-is-too-steep-for-games/#comments

MSNBC asked several analysts -- but not a single consumer -- if game prices could retain the standard $60 next-gen price point in this worsening economy. So far, despite layoffs across the industry, game sales are up around the globe -- well, mostly. A survey by Frank Magid Associates last spring noted that only 17% of respondents would pay full price for a game at that time, so MSNBC wonders what consumers are thinking now.

Signal Hill analyst Todd Greenwald reiterates his concerns about the $60 price point in the piece and analyst Colin Sebastian states he can already see price cuts accelerating on "second tier and older games." Greenwald expresses that publisher financials depend on that $60 price point -- without it, he believes, we'll see "poor quarterly earnings, layoffs and studio closures." But, wait, isn't that stuff already here?

MSNBC asks analysts if $60 is too steep for games originally appeared on Joystiq on Fri, 06 Feb 2009 15:46:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>economicseconomyprice-cutpricingrecessionFri, 06 Feb 2009 15:46:00 EST<![CDATA[Analyst: Publishers potentially slashing $60 pricing]]>http://www.joystiq.com/2009/02/03/analyst-publishers-potentially-slashing-60-pricing/http://www.joystiq.com/2009/02/03/analyst-publishers-potentially-slashing-60-pricing/http://www.joystiq.com/2009/02/03/analyst-publishers-potentially-slashing-60-pricing/#comments

In this day and age of economic downturn, people are holding on to their hard-earned greenbacks. For some, the $60 price tag on new gaming software is a bit too rich for their blood and - as if sensing their trepidation - Signal Hill analyst Todd Greenwald says it might be on its way out. Greenwald points to this trend using retail and publisher-supported price reductions during the past holiday season (Mirror's Edge, Madden NFL 2009) as examples of what could become stationary in 2009.

Consumers might be smugly smiling at the possibility of future software price cuts; however, such a move to counteract slowing sales would only be a brief riposte. In the long run, it would cut the industry deeply and would be "devastating for margins." That means more of this and less of that. In the end, it's a double-edged sword for both the industry and consumer alike.

Analyst: Publishers potentially slashing $60 pricing originally appeared on Joystiq on Tue, 03 Feb 2009 20:35:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>economyindustryprice-cutrecessionsignal-hilltodd-greenwaldTue, 03 Feb 2009 20:35:00 EST<![CDATA[GameStop profits up despite recession]]>http://www.joystiq.com/2008/04/09/gamestop-profits-up-despite-recession/http://www.joystiq.com/2008/04/09/gamestop-profits-up-despite-recession/http://www.joystiq.com/2008/04/09/gamestop-profits-up-despite-recession/#commentsFiled under: News

Retail giant GameStop appears to be doing okay despite the financial woes engulfing the United States right now. "I would never take the position that as a company we're totally recession-proof," says chairman and chief executive Richard Fontaine, further adding "But I would certainly bet on the video game business." Even industry analyst Michael Pachter sees the retail giant as being resistant to recession, commenting that they're "about as recession-resistant as anyone in retail can be."

The company did a remarkable amount of business last year, with total sales coming to $7.1 billion. During the previous year, GameStop did $5.3 billion in sales. In terms of profits, that's $288 million in 2007, up from $158 million the year before.

[Via Go Nintendo]

GameStop profits up despite recession originally appeared on Joystiq on Wed, 09 Apr 2008 16:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>businesseconomygamestopproftsrecessionWed, 09 Apr 2008 16:00:00 EST