Joystiq

Pachter: Wii U sales hit 55,000 in April, 20,000 below Wii

Jessica Conditt — Tue, 14 May 2013 19:00:00 EST

Nintendo's Wii U sold 55,000 units in April, down 19 percent from March, while the Wii sold 75,000 in April, down 16 percent from last year, Wedbush analyst Michael Pachter estimates. To compare, he says Microsoft sold 205,000 Xbox 360 units and Sony snagged 165,000 sales of the PlayStation 3 this April. By these numbers, sales of the Xbox 360 are down 13 percent and PS3 sales are down 5 percent year-over-year.

Nintendo hit 185,000 sales of its 3DS last month, a 46 percent jump in sales from the previous year, Pachter says. Sony's Vita is down 57 percent from 2012, selling just 30,000 units this April. These are of course the standard Pachter estimates, which can only mean one thing - the official numbers are on their way, via the NPD. Those figures are expected on Thursday.

As of March 31, the Wii U has sold 3.45 million units since its launch, below Nintendo's initial forecast of 5.5 million, and even January's adjustment to 4 million. Nintendo expects to have sold 9 million Wii U consoles by next fiscal year, ending March 2014, with sales spurred by the release of "key Nintendo titles."

Pachter: Wii U sales hit 55,000 in April, 20,000 below Wii originally appeared on Joystiq on Tue, 14 May 2013 19:00:00 EST. Please see our terms for use of feeds.

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Report: Vivendi looking to sell 'part or all' of majority stake in Activision

Ben Gilbert — Thu, 07 Jun 2012 21:00:00 EST

Activision's French multimedia conglomerate parent company, Vivendi SA, is said to be considering a sale of its 61 percent controlling stake in the US-based Call of Duty publisher. Bloomberg reports that Vivendi is holding a meeting on June 22 to discuss the potential for a sale of "part or all" of its Acti holdings. The report comes from "people with knowledge of the matter," who refused to be identified due to the privacy of the June 22 event.

A Vivendi representative confirmed the upcoming executive get together, but didn't discuss the specifics of the meeting. Said meeting has taken place annually since 2005, and the rep noted it's intended as "a forum of exchange and discussion, not for quick-fix decisions or solutions."

Vivendi and Activision came together in 2007, creating Activision-Blizzard as a result of the merger. Vivendi sold three percent of its Activision stock in late 2011, but kept approximately 60 percent of its holdings. Since today's report, Vivendi's stock rose 3.7 percent in Paris markets.

Update: To help contextualize some of this super business-y madness, Wedbush Securities analyst Michael Pachter told Joystiq, "Some believe Vivendi is worth more if it is split up into various parts. The potential split doesn't really mean anything for Activision, other than a lot of shares on the market all at once. I don't think a sale is likely, as there are few potential buyers, if any. Instead, it makes more sense for Vivendi if they have Activision borrow a lot of money and pay a dividend of all of its cash. Spin it off to Vivendi shareholders." He added that he's not sure if the report is accurate or not.

Report: Vivendi looking to sell 'part or all' of majority stake in Activision originally appeared on Joystiq on Thu, 07 Jun 2012 21:00:00 EST. Please see our terms for use of feeds.

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Wedbush thinks Grand Theft Auto 5 will launch in October

Ben Gilbert — Wed, 09 May 2012 14:15:00 EST

With this morning's announcement that BioShock Infinite will now launch in February 2013, publisher Take-Two Interactive altered more than a game's launch date. Take-Two is a publicly traded company, and one fewer gigantic product launch during the holiday season - arguably Take-Two's only holiday product launch, unless you count fall launches of Borderlands 2 and XCOM: Enemy Unknown as "holiday" - means that shareholders will want to know what's up. That worry is reflected in Take-Two's stock price, which took a five percent hit since the market opened this morning.

But when Infinite got pushed out of the holiday season, it opened the slot up for another high-profile Take-Two-published title: Grand Theft Auto 5. "In our view, the delay opens the window for Grand Theft Auto V to be released in October 2012," Michael Pachter of Webush Securities wrote in an email this morning, echoing a release window leak from earlier this year.

In his eyes, Infinite wasn't just delayed to make it "something even more extraordinary," as Ken Levine put it, but because the folks at Rockstar, "notified Take-Two that GTA V would be ready for October." He believes this resulted in Take-Two offering Irrational Games an extra few months to prepare BioShock Infinite. His logic? "The studio [Rockstar Games] has scheduled every prior GTA release during that month (with GTA IV delayed to April 2008, due to bugs in the PS3 version)."

Furthermore, Pachter and co. speculate we could hear more about GTA 5's launch date "as early as May 22" during a scheduled quarterly investor call, or perhaps in a few more weeks at E3 2012. We've yet to hear back from Irrational, Rockstar, or Take-Two on the subject.

Wedbush thinks Grand Theft Auto 5 will launch in October originally appeared on Joystiq on Wed, 09 May 2012 14:15:00 EST. Please see our terms for use of feeds.

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Nexon bids for EA takeover, everyone says it's very unlikely

Ben Gilbert — Thu, 26 Apr 2012 15:40:00 EST

You know Nexon, right? The South Korean MMO company that made Maple Story and ... uh ... Everplanet ... and stuff? Anyway, Nexon is a pretty big deal on the other side of the Pacific Ocean. Such a big deal, in fact, that it's looking at buying out some of its rivals, apparently including EA. MK Business News (a South Korean newspaper) reports that Nexon's Japanese headquarters spoke with EA about a potential acquisition recently.

What came of those talks, however, is unclear. For its part, EA isn't offering any news. "We don't comment on rumors and speculation," is all reps told us, which you'll notice isn't a denial of said talks taking place.

But could such a deal even take place? Experts don't seem to think so. "My takeaway is that this deal cannot happen," Wedbush Securities analyst Michael Pachter told GI International. "There are few, if any synergies, and no reason to believe that Nexon could run EA's assets more efficiently. Nexon shareholders would own a completely different company than what they bought in the December IPO," he added, referring to Nexon's late 2011 public stock offering.

So for now, while the talk of an EA takeover is always scintillating to discuss, it's very likely not happening (at least via Nexon) anytime soon.

Nexon bids for EA takeover, everyone says it's very unlikely originally appeared on Joystiq on Thu, 26 Apr 2012 15:40:00 EST. Please see our terms for use of feeds.

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3DS sold under cost since price cut, Nintendo 'hoping' to profit by March 2013

Ben Gilbert — Thu, 26 Apr 2012 09:50:00 EST

Nintendo took a big hit last year when it dropped the price of its then-nascent handheld, the 3DS, to $170 just a few months after initial launch. Such a hit, apparently, that Nintendo is selling the unit for less than it costs the company to produce, as revealed in the company's latest financial earnings. "Its hardware has been sold below cost because of its significant price cut in the fiscal year ended March 31, 2012," the financial report says.

But don't count Nintendo out! The company says it "expects to cease selling it below cost by the middle of the fiscal year ending March 31, 2013." Which, in normal human terms, means Nintendo expects to start making money on the console around August of this year. So, you know, if you're really trying to stick it to Nintendo, go buy the 3DS between now and August. That'll show 'em!

The 3DS currently sells for $170, down from the $250 price tag it launched with back March of 2011.

Update: We've added context from financial analyst extraordinaires Michael Pachter (of Wedbush Securities) and Jesse Divnich (of EEDAR) just below the break.

Continue reading 3DS sold under cost since price cut, Nintendo 'hoping' to profit by March 2013

3DS sold under cost since price cut, Nintendo 'hoping' to profit by March 2013 originally appeared on Joystiq on Thu, 26 Apr 2012 09:50:00 EST. Please see our terms for use of feeds.

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Microsoft buys indie developer Twisted Pixel

Justin McElroy — Wed, 12 Oct 2011 06:00:00 EST

After developing games exclusively for Xbox 360 and PC, it's fair to say that indie dev Twisted Pixel has been going steady with Microsoft. Today, the two have finally tied the knot as the Redmond corporation announced that it has purchased the Austin studio.

That may be terrifying news for fans of the dev, which has built games like 'Splosion Man and The Gunstringer around its scrappy DIY aesthetic. But Matt Booty, general manager of Microsoft Studios, told Joystiq it's exactly that character that the company hopes to preserve after the sale.

Continue reading Microsoft buys indie developer Twisted Pixel

Microsoft buys indie developer Twisted Pixel originally appeared on Joystiq on Wed, 12 Oct 2011 06:00:00 EST. Please see our terms for use of feeds.

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PSN Breach: What it means for you, and for Sony

Griffin McElroy — Wed, 27 Apr 2011 14:40:00 EST

It's been nearly one week since the PlayStation Network servers were taken down due to an "external intrusion," and nearly one day since we learned PSN users' personal information was stolen during said intrusion. We're still not quite sure of the full scope of the security breach, but the latest update from Sony paints a fairly upsetting picture: Gamers' personal (and, possibly, financial) data has been exposed on a scale more massive than the gaming industry has ever seen.

To help get a grasp on the situation, we spoke with consumer advocates and tech industry figures about what gamers can expect in the aftermath of this security breach. For instance: What financial or legal repercussions might Sony be facing in the coming months? And what can PSN users do to protect themselves from potential identity theft?

Continue reading PSN Breach: What it means for you, and for Sony

PSN Breach: What it means for you, and for Sony originally appeared on Joystiq on Wed, 27 Apr 2011 14:40:00 EST. Please see our terms for use of feeds.

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PSN devs offer mixed reactions to cost of outage

James Ransom-Wiley — Wed, 27 Apr 2011 13:05:00 EST

As consumers scramble to deal with the ramifications (identity theft!) of the PlayStation Network breach and subsequent outage, PSN developers are struggling with anxieties of their own.

"PSN being out definitely affects our bottom line," Q-Games Dylan Cuthbert told IndustryGamers, "but as long as the people who were going to be playing Shooter 2 and other PixelJunk titles will get right back in there playing them when it comes back up, we'll be happy and hopefully income won't be dented too much." That could prove to be a big "but" -- Cuthbert's comments came before we knew PSN users' personal information had been stolen and consumer trust in Sony perhaps irrevocably damaged.

Speaking to Develop, a UK-based developer, wishing to remain anonymous, observed that "people will be a bit more wary about using their credit card on PSN, so obviously we're nervous about sales."

"There may be a lot of people who won't want to spend their money through PlayStation Network now," the same developer added. "We're expecting a 5-10 percent drop in business." The dev estimated that the studio has already lost "thousands" in expected revenue.

Continue reading PSN devs offer mixed reactions to cost of outage

PSN devs offer mixed reactions to cost of outage originally appeared on Joystiq on Wed, 27 Apr 2011 13:05:00 EST. Please see our terms for use of feeds.

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Analysts consider dance genre 'bubble,' Ubisoft says more 'The Experience' games possible

Alexander Sliwinski — Mon, 25 Apr 2011 17:30:00 EST

Ubisoft's Just Dance and its successful clones like Michael Jackson: The Experience, along with Harmonix's Dance Central, have established the dance genre as a viable market for milking. Now the industry must play the delicate game of sucking the marrow dry without creating a zombie.

Gamasutra hit up go-to industry analysts Michael Pachter and Jesse Divnich for their takes on the sustainability of the genre. Both analysts essentially characterized dance games as part of a bubble that is largely unaffected by critical reception (UK hit Zumba Fitness has a 43 on Metacritic). "In short, yes, the dance category is a bubble," said Divnich, "much like most things in entertainment."

That doesn't mean that the bubble is about to burst -- or that the bottle of suds is close to empty. At least, Ubisoft is planning to keep on dipping in. The publisher's Tony Key teased that Michael Jackson: The Experience is "just the first 'The Experience' brand." He added that there's no reason why "another artist can't make a great dance game under 'The Experience brand,'" but didn't pitch any bright ideas. The Smurfs, anyone?

Analysts consider dance genre 'bubble,' Ubisoft says more 'The Experience' games possible originally appeared on Joystiq on Mon, 25 Apr 2011 17:30:00 EST. Please see our terms for use of feeds.

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Pachter: West, Zampella have no chance of getting Modern Warfare rights

Griffin McElroy — Tue, 05 Apr 2011 21:15:00 EST

In addition to being the official economic soothsayer of the gaming industry, Michael Pachter knows a thing or two about legal affairs. Actually, he has a pair of law degrees, so odds are good that he knows more than two things. Regardless, he recently sounded off to IndustryGamers about former Infinity Ward heads Jason West and Vince Zampella's chances of gaining ownership of the Modern Warfare brand form Activision through legal action. His opinion? They've got "no prayer."

Pachter suggested that any claim the two may have had on the brand was lost when their employment was terminated, saying, "They have never claimed that they 'own' the brand; instead, they claim that they were granted creative control over the brand under their employment agreement." Pachter added that a theoretical solution for West and Zampella would be to seek reemployment (yeah right) under a wrongful termination claim, though he noted, "That is simply not what West and Zampella are seeking here."

Pachter: West, Zampella have no chance of getting Modern Warfare rights originally appeared on Joystiq on Tue, 05 Apr 2011 21:15:00 EST. Please see our terms for use of feeds.

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Pachter expects 360 price cut at E3, PS3 and Wii to follow suit

Griffin McElroy — Mon, 07 Mar 2011 21:00:00 EST

Gaming industry analyst Michael Pachter has updated his predictions about the console price cuts he anticipates will occur this year. A Wedbush Securities update distributed this morning said, "We expect Microsoft to announce a price cut at this year's E3 Expo in June, and expect Sony and Nintendo to rapidly follow suit." Until then, Pachter expects that consoles sales will steadily decline, with the 3DS providing enough juice to bring things back into the positives in April.

The report predicts that Microsoft will likely capitalize on the success of Kinect by dropping the price of its core Xbox 360 bundle to "under $300," adding "we are confident that by holiday 2011, all three consoles will be at least $50 cheaper than they are today." Why, with that kind of money, we could almost buy a new fuel cell for our spaceyacht's hyperdrive!

Oh, right -- the report also predicts the invention of spaceyachts. We meant to mention that earlier.

Pachter expects 360 price cut at E3, PS3 and Wii to follow suit originally appeared on Joystiq on Mon, 07 Mar 2011 21:00:00 EST. Please see our terms for use of feeds.

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Pachter: Xbox 360 outsold PS3 two-to-one in December; Nintendo reveals numbers

David Hinkle — Mon, 10 Jan 2011 23:00:00 EST

Wedbush Securities games industry analyst Michael Pachter's magic crystal ball predicts another month of Xbox 360 dominance in the NPD charts. His latest report to IndustryGamers says to expect sales of Microsoft's console to be more than double that of its biggest competitor, the PS3, for December. Prognosticating that the Xbox 360 sold 2.5 million units last month, he's betting on a 91 percent boost in sales over November for Microsoft. As for the PS3, Pachter figures it sold 1.2 million units in December, a 12 percent dip compared to its performance in November.

As for actual real numbers, Nintendo boss Satoru Iwata revealed in an interview with Nikkei (via Andriasang) that the Wii sold over two million units in December. The DS reportedly performed on par with the same period in 2009, which would be somewhere around three million units.

Pachter: Xbox 360 outsold PS3 two-to-one in December; Nintendo reveals numbers originally appeared on Joystiq on Mon, 10 Jan 2011 23:00:00 EST. Please see our terms for use of feeds.

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Ubisoft stock experiences 'biggest drop' in over a decade

Andrew Yoon — Tue, 16 Nov 2010 22:25:00 EST

Yesterday's quarterly review did not win over many investors. Ubisoft's share prices fell 22 percent, which Bloomberg calls the company's biggest drop "since at least 1996." Apparently, people did not respond positively to the company losing millions of dollars. In fact, a number of analysts have downgraded the stock, such as Deutsche Bank's move from "buy" to "hold."

The tumultuous fall of Ubisoft's stock price may provide some opportunity for other investors, though. Michael Pachter offered a more favorable analysis of the company's upcoming portfolio, telling Gamasutra that "Ubisoft has the potential to deliver much higher revenue and EPS going forward as it focuses on AAA-quality franchise games with a history of success (emphasis ours)." For better and for worse, that means Ubisoft needs to focus more on games like Assassin's Creed, and less on games like Beyond Good & Evil if it plans to woo investors back.

Ubisoft stock experiences 'biggest drop' in over a decade originally appeared on Joystiq on Tue, 16 Nov 2010 22:25:00 EST. Please see our terms for use of feeds.

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New Transformers, Spider-Man and more next year, Activision doing 'large-scale' Call of Duty

Griffin McElroy — Sat, 06 Nov 2010 15:30:00 EST

Activision's recent conference call wasn't all facts and figures, you know. The company also outlined the future of some of its biggest franchises over the course of the next calendar year. According to CEO Eric Hirshberg, the publisher will launch titles from "proven franchises including the Hero brand, Spider-Man, X-Men and Transformers, which will be supported by what is expected to be another major blockbuster movie from Michael Bay." Sounds like they're kinda putting the cart in front of the giant, shapeshifting robot-car with that one.

Hirshberg also made the unsurprising announcement that 2011 would also see the release of a new Call of Duty, explaining "in the back half of 2011, we are launching a new, large-scale Call of Duty FPS title." Considering the last installment in the franchise had like, ten different scenes where nukes went off, we don't know how much "larger" the proceedings could become.

Unless, of course, Hirshberg was referring to Activision's oft-rumored plans to monetize the series' multiplayer component. Wedbush Morgan Securities analyst Michael Pachter, who previously predicted Activision would subscriptionalize the franchise this year, released a statement shortly after the conference call, stating, "We expect Activision to announce plans to monetize multiplayer online some time in 2011, and expect greater visibility into the release schedule throughout the year."

New Transformers, Spider-Man and more next year, Activision doing 'large-scale' Call of Duty originally appeared on Joystiq on Sat, 06 Nov 2010 15:30:00 EST. Please see our terms for use of feeds.

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Pachter: 254K Wiis sold in September, 312K PS3s

Alexander Sliwinski — Fri, 15 Oct 2010 18:28:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

With the NPD deeming the unwashed masses unfit to receive hardware sales data, we've been forced to procure the company's data through other means. Microsoft executive Aaron Greenberg made it easy yesterday, announcing the Xbox 360 sold 483,989 units in September, which is up 37 percent from the same time last year. Meanwhile, the other console makers were to be a bit shy -- and now we know why. Wedbush Morgan analyst Michael Pachter revealed in his investor note today, sourcing NPD's data, that the Wii and PS3 sold 254K and 312K units, respectively. That's a 45 percent drop from the same time last year for Nintendo and a 37 percent hit for Sony.

Pachter notes it's hard to ding the PS3 in a sales comparisons to last year, as it was flying high after receiving a major boost from that $100 price drop. However, for the Wii, he says the console continues to struggle due to "gamer fatigue" and "lack of high-profile releases."

Pachter: 254K Wiis sold in September, 312K PS3s originally appeared on Joystiq on Fri, 15 Oct 2010 18:28:00 EST. Please see our terms for use of feeds.

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Pachter predicts $50 price cuts in 2011, Xbox first to drop

Justin McElroy — Mon, 04 Oct 2010 16:55:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Gaming analyst Michael Pachter expects good things from the industry in 2011, but not without a little sacrifice from the Big Three. Pach Attack prognosticated to Industry Gamers that "a $50 console price cut across the board will impact software sales by a positive 5 percent." (He expects to see an additional market boost from sales of 3DS, as well as Move and Kinect products.) Pachter further predicted the Xbox 360 to be the first to fall in price at some point during the spring of next year.

When questioned, competing analysts The Joystiq Consortium had a far more monolithic picture of 2011 to paint, saying, "It's basically just going to be Minecraft." Time will tell, we suppose.

Pachter predicts $50 price cuts in 2011, Xbox first to drop originally appeared on Joystiq on Mon, 04 Oct 2010 16:55:00 EST. Please see our terms for use of feeds.

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Pachter: NBA Elite 11 delay to cost EA 1.1 million sales this year; NBA Jam no savior

Alexander Sliwinski — Thu, 30 Sep 2010 18:15:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

In a recent investor communique, Wedbush Morgan analyst Michael Pachter noted his belief that Electronic Arts would lose 1.1 million sales due to NBA Elite 11's delay and reduced the company's holiday quarter earnings estimate by $60 million. Also, because the sports sim will miss the beginning of basketball season with its 2011 release, he predicts that by the end of the company's fiscal year next March, Elite 11 will have only sold around 500,000 units -- if it doesn't succumb to the "possibility of being canceled."

Pachter's note briefly mentions the standalone versions of NBA Jam as "not a true substitute," so we followed up with the analyst extraordinaire to find out why he believes EA's other NBA game can't make up the difference.

"The standalone versions on PS3 and 360 might sell well, but I question whether they will be priced as $60 games, when the company had previously said it was giving them away with NBA Elite." He continued, "More likely, they'll be discounted to $50 or lower, and gamers will still balk at the price, given that it was going to be bundled with NBA Elite -- and likely will be, if the latter game ever comes out. So I'd say another 200,000 units, maybe."

As for the Wii version, he explained that the game was coming out anyway for the console, so the lack of NBA Elite may give it a "very small" bump of 100,000 units.

Pachter: NBA Elite 11 delay to cost EA 1.1 million sales this year; NBA Jam no savior originally appeared on Joystiq on Thu, 30 Sep 2010 18:15:00 EST. Please see our terms for use of feeds.

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Analysts sound off on 3DS price and release date announcement

Griffin McElroy — Thu, 30 Sep 2010 10:50:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Over the past 24 hours, select members of the gaming industry peanut gallery have sounded off on Nintendo's recently announced launch plans for the 3DS. Many in the investment community balked at the high price and later-than-expected launch window, including Lazard Capital Markets' Colin Sebastian, who worries "shipment quantities to the U.S. next spring might be more constrained than originally anticipated." MF Global FXA Securities' Jay Defibaugh explained that those two qualms, combined with the devices apparent lack of 3G support, made the announcement a "worst-case scenario."

Though many analysts appear to share these concerns, EEDAR, which expects the handheld to come to the US in March 2011 at $249 to $299, disagrees. "The higher price point allows Nintendo to incorporate new features such as 3D movies, camera, and game support," EEDAR noted in a report received by Joystiq yesterday, later adding, "a 2010 Holiday launch would severely impact both the quantity and quality of titles that could be made available by November 2010."

Wedbush Morgan analyst Michael Pachter predicts that the market will bear the relatively high price of the handheld, though he expects the cost to drop to $250 when it arrives in the U.S.. For more of Pachter's predictions for Nintendo's western 3DS launch plans, check out our interview with the outspoken analyst.

Analysts sound off on 3DS price and release date announcement originally appeared on Joystiq on Thu, 30 Sep 2010 10:50:00 EST. Please see our terms for use of feeds.

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Pachter: 3DS will cost $250 in the U.S., likely won't come stateside before April

Griffin McElroy — Thu, 30 Sep 2010 09:50:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Wedbush Morgan analyst Michael Pachter recently shared with us his insight on yesterday's pricing and release date announcement for the Nintendo 3DS. He predicts that the 25,000 yen ($299) price point for the Japanese launch of the handheld will depreciate somewhat as it travels to Western markets, arriving in the U.S. for $250, Europe for €250 and the U.K. for £200. And although Nintendo of America CEO Reggie Fils-Aime stated the 3DS would "launch in all of our major markets by March 31, 2011," Pachter foresees an even later arrival in the West.

"Looking at how Nintendo does things," Pachter said, "if you're launching February 26 in Japan, and their earnings reports say before the end of the fiscal year in U.S. and Europe -- is there any prayer, even a 1 percent chance that they'll launch a week later in the U.S., March 5? No freaking way. It's not even remotely possible they're launching first half of March. I'm betting it gets delayed until April in Europe and U.S.."

Some analysts have balked at the fairly high Japanese launch price of the 3DS. Though Pachter admits the launch price is "higher than what's customary" for the handheld market, he said the market will bear the toll -- a lesson hard learned by Nintendo when it launched its latest home console.

"They screwed up on the Wii. It was sold out for two full years! You just couldn't get one," Pachter said. "What was the point? They should have sold it for $300 at launch, and made another $50 for every Wii sold during that period. It sold so competitively in the first few weeks that it was going for $1,000 on eBay -- and they absolutely don't want to see the 3DS on eBay."

Gallery: Nintendo 3DS final hardware

Continue reading Pachter: 3DS will cost $250 in the U.S., likely won't come stateside before April

Pachter: 3DS will cost $250 in the U.S., likely won't come stateside before April originally appeared on Joystiq on Thu, 30 Sep 2010 09:50:00 EST. Please see our terms for use of feeds.

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Xbox UK boss: Halo Reach will outsell Call of Duty: Black Ops

Ludwig Kietzmann — Fri, 10 Sep 2010 13:52:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Continue reading Xbox UK boss: Halo Reach will outsell Call of Duty: Black Ops

Xbox UK boss: Halo Reach will outsell Call of Duty: Black Ops originally appeared on Joystiq on Fri, 10 Sep 2010 13:52:00 EST. Please see our terms for use of feeds.

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Pachter predicts $100 'Platinum' Xbox Live membership

David Hinkle — Thu, 02 Sep 2010 21:30:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

The bump in cost for a Gold membership on Xbox Live is just the tip of the iceberg, according to game industry seer Michael Pachter. Predicting a $100 plan as the next evolutionary step in subscription options soon to be available to Xbox Live consumers, he told IndustryGamers reports that while the initial extra $10 "translates to around $100 to 150 million per year in additional revenue for Microsoft," the company will "reinvest at least this much in developing other new applications, and will roll out a premium service with $100 to 200 million worth of enhancements. If they can get 2 million users to switch from the $60 plan to the $100 plan, they'll make an extra $80 million a year, and can keep investing to try to grow that business."

It makes sense: Xbox Live is easily one of the biggest draws of the console and consumers have already shown they're willing to pay a premium for it. But even if Microsoft were to offer a "Platinum" service, what could justify what is comparably such a heftier price tag?

"For all I know, the Platinum plan might include virtual goods credits for various Microsoft games," Pachter posits. "If members could get specialized Halo armor or weapons worth the extra $40, they might be more willing to sign up, and it doesn't really cost Microsoft anything to offer things like that." You know what? We may know a few people willing to pay for something like that.

[Thanks, Mark]

Pachter predicts $100 'Platinum' Xbox Live membership originally appeared on Joystiq on Thu, 02 Sep 2010 21:30:00 EST. Please see our terms for use of feeds.

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Mafia 2 unlikely to be profitable, Pachter says

Andrew Yoon — Mon, 30 Aug 2010 17:30:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

According to Michael Pachter, Mafia 2 sales appear unlikely to recoup the cost of the game's six-year development period. The Wedbush analyst told Gamasutra that "consumer interest appears to be waning" for 2K Games' crime drama.

Mafia 2 currently holds the #43 position on Amazon's Video Game Bestsellers list, one week after release. In comparison, Rockstar's Red Dead Redemption faced regular shortages when it was first released and sold five million units in just three weeks' time.

Take-Two will update its investors with the company's latest financial results later this week. In addition to confirming sales figures, Pachter expects "the company to announce a shift in release dates for LA Noire out of 2010 and into 2011." Now ... wouldn't that be surprising?

Mafia 2 unlikely to be profitable, Pachter says originally appeared on Joystiq on Mon, 30 Aug 2010 17:30:00 EST. Please see our terms for use of feeds.

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Analysts predict StarCraft 2 sales in 2010 to be out of this world

Griffin McElroy — Wed, 28 Jul 2010 16:00:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Video game industry analysts' ears perked up yesterday following the release of Blizzard's super anticipated RTS, StarCraft 2 -- sensing a need for the skills of their vocation, these analysts began firing off their predictions for how the game would sell through the end of the year. According to Gamespot, Signal Hill's Tom Greenwald suggests that "5-6 million units this year are highly achievable," while Lazard Capital Markets' Colin Sebastian predicts the game to sell 4.5 million units through September and 6.5 million units by the end of 2010.

Speaking to USA Today, Morgan Wedbush guru Michael Pachter gave his prediction: five million copies within the next two to three months. Using our own comprehension of the gaming industry, as well as a few tricks we've picked up from The Price is Right, we've got our own predictions: Five million and one by October, six-and-a-half million and one by the end of the year. Oh, yeah. That spot on the Showcase Showdown is ours for sure.

Analysts predict StarCraft 2 sales in 2010 to be out of this world originally appeared on Joystiq on Wed, 28 Jul 2010 16:00:00 EST. Please see our terms for use of feeds.

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Discounted original Xbox 360s outsold new 'S' model in June

JC Fletcher — Tue, 20 Jul 2010 15:40:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Microsoft enjoyed a "significant sales spike" for Xbox 360 hardware in June, but according to Wedbush Morgan analyst Michael Pachter, discounts on the original version of the Xbox 360 may have had more to do with driving consumer excitement than the new model.

40 percent of Xboxes sold in the US last month were new "Short" systems, Pachter told investors in a report (summarized by GamesIndustry.biz), with $150 Arcade systems accounting for another 35 percent. That leaves various bundles, also discounted by $50, as the other 25 percent of the month's sales.

"It is clear that the sales spike for the 360 was largely temporary, as clearance items accounted for around 60 per cent of total sales," Pachter concluded, "and it is not clear that software attached heavily to these purchase." Those discounted Xboxes would account for an even higher percentage by volume!

Gallery: Xbox 360/Xbox 360 'Short' visual comparison

Discounted original Xbox 360s outsold new 'S' model in June originally appeared on Joystiq on Tue, 20 Jul 2010 15:40:00 EST. Please see our terms for use of feeds.

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Roundup: Analyst commentary on Kinect pricing

Alexander Sliwinski — Tue, 20 Jul 2010 13:32:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Everybody has an opinion at the moment about Kinect's $150 price tag, but let's hear what the analysts who get paid for their opinions think. We've got reactions from EEDAR's Jesse Divnich, Lazard's Colin Sebastian and Wedbush Morgan's Michael Pachter, after the break.

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Roundup: Analyst commentary on Kinect pricing originally appeared on Joystiq on Tue, 20 Jul 2010 13:32:00 EST. Please see our terms for use of feeds.

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Pachter: Online multiplayer games to blame for game sales decline

Andrew Yoon — Mon, 19 Jul 2010 21:00:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Last month's NPD figures were rather disappointing, reflecting a 15 percent decline in year-over-year sales. With the exception of Red Dead Redemption and Super Mario Galaxy 2, it appears gamers simply aren't buying as many games as they used to ... and, predictably, Wedbush Morgan analyst Michael Pachter has a theory.

The problem? Online games. According to Pachter, "the overall decline was due to a very large number of people playing multiplayer online games." With an estimated 12 million players spending 10 hours a week rampaging through Activision's shooter, Pachter argues that online games like Modern Warfare 2, Halo 3 and Bad Company 2 have "sucked the available time away from what otherwise would be spent playing newly purchased games."

While there are many other factors to consider -- the still-sluggish economy, the declining sales of key Wii software (a la Wii Play) -- Pachter's point does seem to have some merit. Unfortunately, his publisher-centric solution is unlikely to win him many fans among gamers. The "monetization of multiplayer," as he describes it, would have publishers figuring out some method to charge gamers to play online. It's a risky proposition that could bear some terrible consequences, but the current model is, as Pachter puts it, "devastating for publishers and shareholders, who are seeing sales and profits decline."

Pachter: Online multiplayer games to blame for game sales decline originally appeared on Joystiq on Mon, 19 Jul 2010 21:00:00 EST. Please see our terms for use of feeds.

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Report: Wii software growth has peaked, dropping off

Mike Schramm — Fri, 16 Jul 2010 07:00:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Despite having a significantly larger install base than any other console, Nintendo's Wii software sales have apparently already peaked and are starting to drop off. That's according to an analysis done by Gamasutra, which compared the growth patterns of the last six major consoles and found that the Wii is peaking far earlier than any of the others.

This past May, Wii software sales were down 29 percent year-over-year and, for the whole of 2010, the Wii may only sell two games per console. For a system in its fourth year, that's an "unprecedented" rate of decline, according to analyst Michael Pachter.

These are still just estimates, and if Wii's software sales turn around -- perhaps because of multiple big releases later this year -- it's possible that the numbers could hold steady at this rate for a few more years, rather than dropping off further.

Report: Wii software growth has peaked, dropping off originally appeared on Joystiq on Fri, 16 Jul 2010 07:00:00 EST. Please see our terms for use of feeds.

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Microsoft claims 'unprecedented demand' for new Xbox 360

Alexander Sliwinski — Mon, 05 Jul 2010 16:45:00 EST

Filed under: Weird But True, Opinions, New In Pop Culture

Although Microsoft didn't provide specific sales figures (per usual), the company claims it's seeing "unprecedented demand" from retailers for its new Xbox 360 console. In a statement released following May's NPD results, Microsoft claimed a "significant sales spike" for its new Xbox 360 250GB "short" model, along with its older Arcade and Elite units (which both received a $50 price reduction).

The new console hit US store shelves around June 14. As for the sales spike's impact on the June NPDs (which will be released next month), Wedbush Morgan analyst Michael Pachter stated in his analysis of May's results: "We think that the boost in June hardware sales could allow June software sales to approach flat, notwithstanding a lackluster release schedule."

Gallery: Xbox 360 Slim

Microsoft claims 'unprecedented demand' for new Xbox 360 originally appeared on Joystiq on Mon, 05 Jul 2010 16:45:00 EST. Please see our terms for use of feeds.

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Pachter: April's low game sales 'baffling'

Alexander Sliwinski — Fri, 14 May 2010 18:00:00 EST

The April NPD sales figures for the US were bad. How bad? Let's try: The April NPD figures were as if millions of analysts "cried out in terror and were suddenly silenced" bad. Speaking with IndustryGamers, Wedbush Morgan analyst Michael Pachter says his group found the results "baffling." He notes that sales were the lowest since May of 2007, "when this generation was barely underway," and it was the weakest April since 2005. Pachter also stated, "The sequential decline of 54% is the greatest in the 11 years that we have been tracking monthly data (except for December-January declines), dwarfing the previous record of 42% set in March-April 2002."

At a loss to explain exactly why April 2010 was so bad, Pachter feels it was just a "fluke." He explained, "We do not believe that core gamers suddenly shifted allegiance to Facebook or iPhone games in April, nor do we believe that Call of Duty Modern Warfare 2 online play increased dramatically during April."

With May's lineup including several major titles across multiple consoles, the analyst feels the month could show "dramatic growth." If not, well, let's just hope for the best right now. Flukes happen.

Pachter: April's low game sales 'baffling' originally appeared on Joystiq on Fri, 14 May 2010 18:00:00 EST. Please see our terms for use of feeds.

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Analysts discuss impact of EA Sports Online Pass

Richard Mitchell — Wed, 12 May 2010 18:30:00 EST

Over at IndustryGamers, several analysts have chimed in on EA's latest assault on used game sales: The EA Sports Online Pass. The pass will offer players access to online features -- up to and possibly including online multiplayer -- on all future EA Sports titles starting with Tiger Woods PGA Tour 11. Should someone buy a game used, additional passes can be purchased for $10. The overall consensus among analysts: It's a good thing and a smart move on EA's part.

According to Wedbush Morgan's Michael Pachter, it only makes sense that EA should be compensated for rendering online services. He noted that EA "currently does not get paid" by those who purchase used games and that the pass "is ensuring that second-hand purchasers will pay something for the maintenance of the server network and for access to premium content."

The majority of analysts agreed with Pachter, with EEDAR's Jesse Divnich noting that games now extend far beyond their own physical media. "Seven years ago, when you purchased Grand Theft Auto for $50, the entire experience was encapsulated on a DVD," said Divnich, "in 2010 that is no longer the case." He added that it is "perfectly reasonable" for EA to expect payment for features that aren't included directly on the disc. Also, DFC Intelligence's David Cole expects more companies to pursue similar programs in the future.

Meanwhile, Lazard Capital Markets' Cole Sebastian referred to the program as "a double-edged sword for publishers." While it may lower used sales, said Sebastian, it also diminishes the resale value of games that customers would trade in to purchase new ones.

Analysts discuss impact of EA Sports Online Pass originally appeared on Joystiq on Wed, 12 May 2010 18:30:00 EST. Please see our terms for use of feeds.

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Pachter: First Activision-Bungie game 'well along' in development, will sell at least 10 million units

Griffin McElroy — Thu, 29 Apr 2010 10:19:00 EST

Though firm details about the terms of the Activision-Bungie partnership are still awfully slim, industry analyst extraordinaire Michael Pachter has given his two cents to Gamasutra about the financial potential of the merger, which should result in Activision earning a great deal more than two cents.

First, Pachter suggests this is a publishing partnership instead of a mere distribution agreement, which will increase Activision's profit margins from around 10 percent to anywhere between 15 and 20 percent on all of Bungie's titles. He estimates that, should the developer's future titles be as popular as its Halo franchise (which typically sold 10 million units a piece), they could sell as many as 15 million units by virtue of Bungie's new multiplatform ambitions. According to his calculations, Activision stands to make $65 million off the first successful Bungie title should it match the success of the Halo series.

The time to test Pachter's calculations might be closer than you'd think -- he reports that the first Bungivision product, which is set in an "action game universe," is "well along in its development." We're not sure how "well along" said title actually is, but we'll keep our ears perked up for an announcement at E3. An announcement for Guitar Halo. There, we said it, alright? We were all thinking it, and now it's out there.

Pachter: First Activision-Bungie game 'well along' in development, will sell at least 10 million units originally appeared on Joystiq on Thu, 29 Apr 2010 10:19:00 EST. Please see our terms for use of feeds.

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Finding a new dimension for gaming at the 3D Gaming Summit

Mike Schramm — Sat, 24 Apr 2010 15:00:00 EST

A small crowd of movie and game producers met this week at Universal City in Los Angeles for the first-ever 3D Gaming Summit, to sit down and discuss the trend of 3D imaging in gaming and film. Much of the talk at the summit was speculative -- with almost no actual consumer devices on the market and nearly none within price range of the average consumer anyway, gaming in 3D isn't much more than an idea at this point. Most of the technology companies in attendance are still working to get content producers to use their systems to create games and films rather than selling hardware directly to consumers.

Still, the panels and discussions at the summit offered an interesting look at what many believe to be the eventual future of the industry. From a lunchtime interview with Mortal Kombat and Resident Evil director Paul W.S. Anderson to a Playstation Move demo (and a panel moderated by a Joystiq editor), the 3D Gaming Summit showed off a lot of guesswork, a few interesting demos, and a few big holes that will need to be filled if 3D gaming is going to ever take off.

Continue reading Finding a new dimension for gaming at the 3D Gaming Summit

Finding a new dimension for gaming at the 3D Gaming Summit originally appeared on Joystiq on Sat, 24 Apr 2010 15:00:00 EST. Please see our terms for use of feeds.

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Netflix to gain two million subscribers from consoles in 2010

Mike Schramm — Fri, 09 Apr 2010 20:01:00 EST

Analyst Michael Pachter says that despite a lower amount of new Netflix subscriptions lately, video game consoles will still give the movie rental service a boost this year, providing over two million new subscribers thanks to the Xbox 360, PlayStation 3 and the Nintendo Wii. Pachter suggests that the Xbox 360 will continue to provide 350,000 new subscribers, and the PS3 and the Wii will each turn in around 800,000 new subscribers this year.

But Pachter also says that future growth is limited -- the PS3 doesn't have quite the install base that the Xbox does and, while there are a lot of Wiis out there, Pachter's firm believes that most of those consoles aren't even connected to the Internet ("we estimate fewer than 35%," he writes). So the total new subscribers estimated for 2011 drops down to 900K to 1.2 million. That's still a lot of MST3K downloads -- because come on, if you're watching anything but that on Netflix, you're crazy -- but not enough to keep Netflix's estimated growth from being called "unsustainable."

Netflix to gain two million subscribers from consoles in 2010 originally appeared on Joystiq on Fri, 09 Apr 2010 20:01:00 EST. Please see our terms for use of feeds.

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Analyst: 3DS will help Nintendo stave off iPhone

JC Fletcher — Tue, 23 Mar 2010 13:55:00 EST

Lazard Capital Markets analyst Colin Sebastian has said in a new report that the Nintendo 3DS system will not only increase unit sales for the DS platform (obviously), it will satisfy demands of consumers now excited about 3D technology, and help differentiate Nintendo's offerings from iPhone software. He notes that cheap iPhone games are cutting into the DS business. "However," he suggests, "with a differentiated 3D display, high quality games, and profitable business model for publishers, we believe the 3DS could help reduce the competitive threat from smartphones."

Wedbush Morgan analyst Michael Pachter, however, doesn't believe 3D on its own is enough -- because if that's all it is, Apple will simply copy it. "It seems that if 3D on portable devices was easy," he told CVG, "Apple would have beat them to it. If they truly pioneer a technology, my guess is that Apple will mimic the technology." That's a pretty pessimistic outlook. We're going to have to play a lot of Grand Theft Auto: Chinatown Wars on our touchscreen-based handheld game console to cheer ourselves up after reading that.

Analyst: 3DS will help Nintendo stave off iPhone originally appeared on Joystiq on Tue, 23 Mar 2010 13:55:00 EST. Please see our terms for use of feeds.

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Report: EA planning premium, pre-launch DLC for retail games at $10 - $15 [Update: EA explains]

Ben Gilbert — Mon, 22 Mar 2010 15:30:00 EST

During a recent visit to EA's offices, Wedbush Securities' Michael Pachter (and other analysts) got what he calls a "candid" view of the future for the publisher. Among the many glowing things that Mr. Pachter had to say in the report from the meeting, he reveals that EA group general manager Nick Earl told him EA has plans "to release premium downloadable content (PDLC) as a product for sale prior to the release of a packaged product."

Comparing the PDLC to Battlefield 1943 -- a game for which we unfortunately have yet to see any post-release support from EA -- Earl revealed that the content will be priced at between $10 to $15 through Xbox Live Arcade and PlayStation Network, and will arrive prior to a "full-blown packaged game." That "full-blown packaged game" will of course still carry a "full retail price" when it does arrive in stores. Pachter expanded to Gamasutra, "I think that the plan is to release PDLC at $15 that has 3 - 4 hours of gameplay, so [it has] a very high perceived value, then [EA will] take the feedback from the community (press and players) to tweak the follow-on full game that will be released at a normal packaged price point."

This is just one part of the digital effort EA is gearing up for in the coming year, according to the report, which details an expected "1/3 [growth] of revenues over the next few years" in the digital market. Between this and 'Project Ten Dollar,' EA's certainly taking an aggressive approach to new monetization routes on the digital frontier. It remains to be seen how it'll all pan out, but for now things are at least staying interesting.

Update: EA's Jeff Brown explained the PDLC concept to us in more detail this afternoon, saying:

"EA is working on a number of projects for delivering premium content to consumers before, during, and after the launch of a packaged-goods version of the game. EA SPORTS, EA Games and EA Play are each experimenting with download strategies that deliver fresh game content in formats players want to experience. To date, there is no set pricing strategy for the entire EA portfolio. And many of the proposals include free-to-play content on models similar to Madden Ultimate Team, Battlefield Heroes and Battlefield 1943. None of the proposals call for charging consumers for traditionally free game demos."

Report: EA planning premium, pre-launch DLC for retail games at $10 - $15 [Update: EA explains] originally appeared on Joystiq on Mon, 22 Mar 2010 15:30:00 EST. Please see our terms for use of feeds.

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'Ripper' is Visceral Games' PSN & XBLA game, according to Pachter report

James Ransom-Wiley — Mon, 22 Mar 2010 15:00:00 EST

[The Illustrated London News; October 13, 1888]

Of the many highlights from the Wedbush firm's visit to EA HQ last week, as recorded in analyst Michael Pachter's report on the publisher released to media outlets today, one stuck out like, well, like a 19th century serial killer. Pachter has apparently announced Ripper, a "new PSN, Xbox Live game" from Visceral Games. In other words, put two and two together, my dear Watson, and that rumored Jack the Ripper game is actually Visceral Games' reported downloadable project.

Pachter's notes don't provide additional details on the Ripper game and only reiterate that Visceral also has Dead Space 2 in development. When questioned, a Visceral Games representative issued a "no comment" to Joystiq. We'll keep sleuthing around for clues, though -- and in the meantime, kindly report any suspicious-looking games to our tips line.

'Ripper' is Visceral Games' PSN & XBLA game, according to Pachter report originally appeared on Joystiq on Mon, 22 Mar 2010 15:00:00 EST. Please see our terms for use of feeds.

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Analysts predict hardware, software drops in February NPD

JC Fletcher — Tue, 09 Mar 2010 17:20:00 EST

In advance of NPD sales results for February 2010, analysts are predicting year-over-year declines for pretty much everything. Wedbush Morgan analyst Michael Pachter, according to Gamasutra, is predicting that hardware and software sales will decline 10 percent, with Wii hardware sales hit particularly hard (around 40 percent) due to shortages. Beyond the Wii, the continuing decline of the music genre is partly to blame for the reduced sales.

Analyst Colin Sebastian is guessing at a 15 percent decline, despite encouraging early sales for games like Heavy Rain and preorders for games like Battlefield: Bad Company 2 (which, as an early March release, may fit into the NPD February sales period) and God of War III. The fact that high-profile games are likely to show sharp declines after strong first-week sales will prevent software trends from turning for the better.

Analysts predict hardware, software drops in February NPD originally appeared on Joystiq on Tue, 09 Mar 2010 17:20:00 EST. Please see our terms for use of feeds.

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Law of the Game analyzes ex-IW bosses' suit against Activision

Ben Gilbert — Mon, 08 Mar 2010 14:30:00 EST

[Maveric2003]

When various legal fracases arise from time to time, we turn to Law of the Game's Mark Methenitis, an actual, real lawyer, for thorough analysis. So, Methenitis kindly looked over the full complaint filed against Activision by ex-Infinity Ward heads Jason West and VInce Zampella, and then described to us the importance of the little things: the wording of the contract between the two ex-heads and Activision, the financial implications of the possible loss of the Modern Warfare name (for either side), and the ... shall we say, flamboyant ... language used in the document itself. According to Methenitis, the complaint's colorful phrasing is "for dramatic effect and little more."

Methenitis pointed out in an email exchange with Joystiq that "readers shouldn't place too much emphasis on the language in the facts" and that the story told by the claims "sounds like a relatively common 'business deal gone bad' kind of suit." As for this particular case, though, he allowed, "Granted, based on the value of Call of Duty and Modern Warfare, the stakes are high both for the royalties and future creative control of the brand." (Methenitis here is referring to the ex-studio heads' allegation that Activision had handed over creative control of all Modern Warfare-branded games, part of the "Memorandum of Understanding" that was agreed upon between the two parties before the creation of Modern Warfare 2.)

The stumbling block for West and Zampella, Methenitis said, could be in the wording of the memorandum. "That [receiving their royalties and retaining control of the Modern Warfare name] may be more problematic if the wording of the Memorandum of Understanding isn't such that it can be enforced as a contract," he said, adding, "Given the context and description in the suit, it seems like the term 'Memorandum of Understanding' in this case is just a fancy title for a contract rather than a less-than-enforceable agreement similar to a Letter of Intent." (Head past the break for Methenitis' full analysis.)

While Methenitis wouldn't weigh in on the possible end result of this suit, Wedbush Securities analyst Michael Pachter mentioned in his latest report that, "We think that West's and Zampella's claim for creative control over the Call of Duty and Modern Warfare brands has little merit, and we expect Activision to retain control over the brands." One thing's for sure, if a messy lawsuit does get underway (and isn't settled out of court like so many are), we'll assuredly catch wind of more dirty laundry.

Continue reading Law of the Game analyzes ex-IW bosses' suit against Activision

Law of the Game analyzes ex-IW bosses' suit against Activision originally appeared on Joystiq on Mon, 08 Mar 2010 14:30:00 EST. Please see our terms for use of feeds.

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Analysts: No cause for concern over reported unpaid Modern Warfare 2 bonuses

Alexander Sliwinski — Tue, 02 Mar 2010 15:30:00 EST

Following the departures of two Infinity Ward executives, a related story has gained significant traction and deserves some attention. BingeGamer reports that the development studio "has yet to be paid a single dime in royalties for Modern Warfare 2," ostensibly to be paid by publisher Activision. As Infinity Ward is a wholly-owned Activision studio, we turned to some leading industry analysts to explain what appears to be a private contractual matter.

EEDAR analyst Jesse Divnich tells Joystiq, "I couldn't speak to what the royalty agreement between Activision and Infinity Ward is. If royalties haven't been paid out yet, I wouldn't consider that too alarming. The game has only been out for a little over 90 days. Additionally, it is common to see royalty agreements based upon factors such as hitting release date, review scores (a.k.a. 'Metacritic Clauses') or revenue milestones. I think if you just replace the word 'royalties' with 'bonus' it should make some more sense."

Wedbush Morgan's Michael Pachter explains, "I don't know the nature of [Infinity Ward's] contract, but my bonus is paid after year-end (in February), and theirs is likely the same. The idea that they haven't been paid 'yet' is not all that surprising. The year just closed, and the final SEC documents were filed yesterday." He continues, "IW sold itself to Activision back in 2004, Activision owns the [Call of Duty] IP, and the guys leaving were employees under some kind of contract. Activision appears to believe that they have breached this contract, and may or may not be justified in withholding bonuses."

Check out Pachter and Divnich's full analyses after the break.

[Editor's note: This post has been altered to reflect updates in the Infinity Ward leadership shakeup.]

Continue reading Analysts: No cause for concern over reported unpaid Modern Warfare 2 bonuses

Analysts: No cause for concern over reported unpaid Modern Warfare 2 bonuses originally appeared on Joystiq on Tue, 02 Mar 2010 15:30:00 EST. Please see our terms for use of feeds.

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Pachter: Natal more than $50 after all, DSi XL won't sell

Richard Mitchell — Thu, 25 Feb 2010 19:54:00 EST

In a stunning show that game industry analysts indeed are fallible human beings, Wedbush Morgan's Michael Pachter has changed his mind on Natal's supposed price. The prolific analyst prognosticated last year that price would be the primary factor in moving Natal hardware, leading him to predict that it would launch for less than $50. However, he now tells IndustryGamers that it will likely cost more, noting, "consumers will come to believe that the product and software has a lot of value." Furthermore, Pachter says that the higher that Microsoft and Sony price their motion controls, the less likely a consumer is to buy the competing product. In other words, if you spend $100 on Natal, you probably won't be too keen to plunk down another $100 for Sony's motion controller (and vice versa).

Pachter also tackles the DSi XL. He has some choice words for the beefy handheld, pointing out the $60 difference between the DS Lite and DSi XL models. "I'm not sure that bigger screens provide the value that Nintendo thinks," says Pachter, adding his belief that the entire DS line is due for a price cut. He concludes the device won't succeed at launch "since it costs only $10 less than a Wii."

Other topics discussed include Richard Garriott's foray into social media, the marketing of Dante's Inferno and the specter of third party success on the Wii -- "most third party Wii games just plain suck," says Pachter.

Pachter: Natal more than $50 after all, DSi XL won't sell originally appeared on Joystiq on Thu, 25 Feb 2010 19:54:00 EST. Please see our terms for use of feeds.

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