Long term though, and they tread down ”a very risky path.” If we’re all about ”innovation” to drive our growth then constant sequels ”won’t cut it.”
”The major franchises are attracting increasing amounts of investment and generating increasing returns, but this doesn’t come without risk,” warns analyst Merel, speaking with GameIndustry.biz.
”The gaming equivalent of Eddie Murphy’s Pluto Nash ($100m cost, $4.4m revenue) is what scares the money men, so the risks of launching new franchises or making a mess of existing franchises becomes enormous.”
”The concern is that this end of the industry goes the same way as Hollywood, with accountants and lawyers running the show and the creatives and techs being managed like execution monkeys. Hopefully the majors are smart enough not to let this happen.”
Recently Ubisoft announced it would be stepping up its 12-18 months production cycle with more franchise instalments from its big names, without incurring ‘brand fatigue’. EA is following suit albeit on a smaller scale with Mass Effect and Dante’s Inferno.
”To state the obvious, the majors are doing exactly the right thing by investing in and acquiring big franchises,” said Merel. ”In the short-to-medium term that makes perfect sense, but in the long term I think they’re going down a very risky path.”
”If the gaming business is all about innovation and new unimagined gaming experiences driving growth, churning out the 25th incarnation of most franchises won’t cut it. If the majors effectively become utilities, then they run the risk of becoming like traditional media companies. Cash generative, but declining and cost driven.”
Smart man. Has a recent sequel left a rather bitter taste with you, videogamer?
