NOOOOOO!!! "EA Proposes to Acquire Take-Two Interactive"

[BrianD]

Originally Posted by SackAttack

It's irrelevant. I guarantee you that, EA's game being a roster update or not, if the 2K series had been enjoying financial success in line with its critical merit, they never would have dropped the price.

If I exercise my rotator cuffs and my hand hits you in the face in the process, that doesn't mean I punched you.

I think I'm missing the point of your argument. You are saying that they dropped the price on the 2k series to gain market share but their comments of "we are selling the game for $19.99 because we don't believe it is right to charge full price for what is mainly a roster update" isn't a simultaneous jab at EA? Why can't it be both...and why would they use that as justification if not for the jab?

[Deattribution]

Originally Posted by BrianD

I think I'm missing the point of your argument. You are saying that they dropped the price on the 2k series to gain market share but their comments of "we are selling the game for $19.99 because we don't believe it is right to charge full price for what is mainly a roster update" isn't a simultaneous jab at EA? Why can't it be both...and why would they use that as justification if not for the jab?

I don't ever remember it being marketed like that because they put a ton of time into the presentation (which was better than anything madden has ever done), gameplay and the franchise for the 2k5 version.

[Mizzou B-ball fan]

The FTC lawyer over at the Level Up blog put up another write-up with some good information about the current FTC investigation into the merger.

http://blog.newsweek.com/blogs/level...-take-two.aspx

[Phototropic]

Originally Posted by Deattribution

I don't ever remember it being marketed like that because they put a ton of time into the presentation (which was better than anything madden has ever done), gameplay and the franchise for the 2k5 version.

I'd agree with that. There was a lot of hype (warranted) and buildup to the game with the features they were adding like the SportsCenter weekly segments and online leagues.

[SackAttack]

Originally Posted by BrianD

I think I'm missing the point of your argument. You are saying that they dropped the price on the 2k series to gain market share but their comments of "we are selling the game for $19.99 because we don't believe it is right to charge full price for what is mainly a roster update" isn't a simultaneous jab at EA? Why can't it be both...and why would they use that as justification if not for the jab?

Originally Posted by Deattribution

I don't ever remember it being marketed like that because they put a ton of time into the presentation (which was better than anything madden has ever done), gameplay and the franchise for the 2k5 version.

What Deattribution said. It would have been one thing if they had released basically a roster update and then cut the price, but they didn't DO that. They advanced the franchise and slashed the price. Also, as far as jabs at EA go, think about it like this. If you're going to market and sell your game as less expensive because you're not going to soak your consumers like EA does, then why did the $19.99 price point for NHL, NBA and NFL only last for two seasons?

When the basketball and hockey games get released anymore, they don't come out at $19.99. They don't come out at $29.99. They don't even come out at $39.99. It's either $49 or $59, the industry standards.

A temporary price cut like that is more in line with a "grow the market share" perspective than a "zing the competition" perspective, because what happens once you return to the higher prices? You better have won a reasonably significant number of converts, or you're going to lose that market share right back.

[Mizzou B-ball fan]

[quote=SackAttack;1713195]A temporary price cut like that is more in line with a "grow the market share" perspective than a "zing the competition" perspective, because what happens once you return to the higher prices? You better have won a reasonably significant number of converts, or you're going to lose that market share right back.[/QUOTE]

Which is the real shame of it all. They converted a significant number of customers over to the franchise that year. As a result, Madden paid for the exclusive license to squash them out because they knew they were going to have significant problems from a competition standpoint.

[Honolulu_Blue]

Originally Posted by Mizzou B-ball fan

Which is the real shame of it all. They converted a significant number of customers over to the franchise that year. As a result, Madden paid for the exclusive license to squash them out because they knew they were going to have significant problems from a competition standpoint.

Was it EA Sports or the NFL that wanted exclusivity?

[Mizzou B-ball fan]

Originally Posted by Honolulu_Blue

Was it EA Sports or the NFL that wanted exclusivity?

The NFL had approached the companies in previous years with exclusive rights, but no one would bite due to the high price that the NFL was requesting for exclusive rights. EA didn't bite because they had a comfortable market lead. Only after the 2K series made significant in-roads in market share did EA decide to bite on the overpriced exclusive rights.

[SackAttack]

Originally Posted by Mizzou B-ball fan

Which is the real shame of it all. They converted a significant number of customers over to the franchise that year. As a result, Madden paid for the exclusive license to squash them out because they knew they were going to have significant problems from a competition standpoint.

I don't know if converted is the right word. I sold an awful lot of copies of NFL 2k5 to people who were buying Madden anyway. They got more people to try the game, sure, but how many of those would have eschewed Madden if the prices went back up to $50 the next year? We'll never know.

[Kodos]

If we could get current gen graphics with ESPN 2k5 presentation and Madden old-gen gameplay, I'd be pretty damn pleased.

[Mizzou B-ball fan]

Thankfully, it appears that EA is now giving up on acquiring Take Two........

Gamasutra - EA: 'We Are Stepping Away' From Take-Two

[Kodos]

Woot!

[Radii]

Well that is certainly a pleasant suprise. I wonder if it could possibly bring about a revival of the college hoops series?

[Eaglesfan27]

My favorite mbbf post ever.

[Deattribution]

Originally Posted by Radii

Well that is certainly a pleasant suprise. I wonder if it could possibly bring about a revival of the college hoops series?

Unlikely, the cancellation of that game didn't have anything to do with EA, it was due to the abysmal sales of the game (something like 130k I think), especially compared to the EA franchises (all 500k+ or so).

[Mizzou B-ball fan]

Originally Posted by Eaglesfan27

My favorite mbbf post ever.

Ah well, we agree on a few things.

[Eaglesfan27]

Originally Posted by Deattribution

Unlikely, the cancellation of that game didn't have anything to do with EA, it was due to the abysmal sales of the game (something like 130k I think), especially compared to the EA franchises (all 500k+ or so).

There is also a rumor floating out there that EA raised their bid on the rights deal. They didn't buy exclusivity, but they raised the bar too far for it to be profitable for 2k to match with those sales numbers which actually were closer to 200k the last time I looked.

[Radii]

Originally Posted by Deattribution

Unlikely, the cancellation of that game didn't have anything to do with EA, it was due to the abysmal sales of the game (something like 130k I think), especially compared to the EA franchises (all 500k+ or so).

Well shit, maybe we all need to go out and buy 500 copies?

[Galaxy]

Originally Posted by Mizzou B-ball fan

Thankfully, it appears that EA is now giving up on acquiring Take Two........

Gamasutra - EA: 'We Are Stepping Away' From Take-Two

EA may be dropping the bid, but they are still looking at some sort of deal. I believe the CEO of Take Two is looking to make a presentation to EA, once they sign non-disclosure agreements.

[sooner333]

It's too bad about the CH series, but last year's game was pretty darn good and with downloadable rosters, I'm sure someone will come out with updated rosters for this season.

It's really too bad that it seems that none of the games that were the best in their sport won the rights battle. MLB 2k won, but it was inferior to MVP. And the EA games that won were usually worse than their counterparts (except NCAA football, which didn't really have a counterpart).

[Big Fo]

There go my dreams for a Sid Meier's Alpha Centauri sequel.

[JonInMiddleGA]

Electronic Arts drops bid for Take-Two - U.S. business - MSNBC.com

NEW YORK - Video game publisher Electronic Arts Inc. said Sunday it ended talks to buy smaller rival Take-Two Interactive Software Inc., best known for the "Grand Theft Auto" series of games.

EA, the publisher of games such as "Madden NFL 09" and "Spore," said it decided not to make an offer to buy Take-Two.

Redwood City, California-based EA had signed a non-disclosure agreement with Take-Two in August after letting a deadline for a $2 billion tender offer to buy the company expire.

"EA is tracking toward a record-breaking year," said President and Chief Executive John Riccitiello, in a statement. Spokesman Jeff Brown said Sunday EA is "not at all" disappointed that things didn't work out.

Brown did not say what prompted EA to walk away from the discussions, but he said the company is confident in its own product portfolio. Take-Two, he added, was "never something EA needed."

Since making its offer public in February, EA has maintained that it was offering a "fair and full" price for New York-based Take-Two. And while keeping the total price of the bid at $2 billion, it lowered the original $26-per-share offer to $25.74 to account for restricted shares granted to Take-Two's management.

Take-Two, meanwhile, said the offer undervalued the company, and repeatedly rejected it.

While many analysts expected EA to eventually raise its offer by a dollar or two, recently Take-Two shareholders seemed less optimistic. On Friday, the company's shares were trading at their lowest since Feb. 22, the last trading day before EA made its offer public and sent Take-Two's shares shooting up 55 percent.

Take-Two Chairman Strauss Zelnick said Sunday the company remains focused in creating value for its shareholders and customers, and has been since EA first launched its hostile bid six months ago.

Now, he added in a statement, the company remains "actively engaged in discussions with other parties in the context of our formal process to consider strategic alternatives."

A Take-Two spokesman said Sunday the company is not disclosing more information on those talks.

EA said it still has a "high regard" for Take-Two's creative teams and products. But, after a "careful consideration," including presentations by Take-Two's management and a review of due diligence materials, it decided not to make an offer.

"At the end of the day, we simply have different views on the value of the company," Brown said.