Gaming in the Recession Part 2: Trimming the Fat - RaychelSnr's Blog

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RaychelSnr's Blog

Gaming in the Recession Part 2: Trimming the Fat Stuck

Posted on July 30, 2009 at 12:36 PM.

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In my second and final portion of my gaming in the recession series, we are going to look at what the effect of the 30% drop in video game sales is going to have on development of current games.

The first and most obvious thing that happens when revenues drop in business is that expenditures also tend to drop to compensate so you can maintain a profit. If the declining sales become the new normal, studios will begin cutting back on positions which aren't necessary to see games completed. The second option would be to cut actual projects which aren't as profitable. And the third option is to cut down the sizes of existing projects.

That third option is particularly scary for us. What if the size of development teams for sports games was cut 5-10%? How much of an impact on innovation and quality would be come to expect? Those are all questions which cannot be answered, but we do know sports game developers have an almost impossible time putting out bug free releases each year in the current environment.

So what do you think? Is there reason to worry about our favorite titles? Are you buying games like you normally did? Sound off!

Comments

# 1 jyoung @ Jul 30

I hardly buy games now aside from arcade game on the Xbox marketplace. I think I may have bought one "real" game this year so far (Raiden Fighters Jet), and even it was a discounted $20 title.

The market for $60 games is definitely dwindling, as can be seen be all the games that drop $10-$20 off their price within a matter of weeks.

# 2 rudyjuly2 @ Jul 30

I'd hate to see the quality scaled back with some of the bugs already in each game. This could actually lead to higher sale prices on game possibly.

For myself, I don't have a problem spending $60 on a great game but money doesn't grow on trees either. I might not even get a football game this year. I can't remember the last time I didn't buy a football game. I will rent Madden 10 but if it doesn't blow me away I will just keep playing NCAA 09 and use that money to get Marvel Ultimate Alliance 2.

# 3 stlstudios189 @ Jul 30

I have limited my game purchaces this year. In the past I would have purchased both Fight Night, UFC, NCAA, Madden, MLB 2k9, and Marvel UA2 instead this year I only purchased UFC, Madden, MLB 2k9 (that's a 50% drop in my purchases alone.)