Tuesday, June 15, 2010

Microsoft expands online activity into emerging territories

Microsoft will expanded its Xbox Live service into nine new territories this year as it seeks to capitalise on emerging markets.

The service will roll out in Brazil, Chile, Colombia, Czech Republic, Greece, Hungary, Poland, Russia and South Africa this year.

It's no surprise to see Microsoft looking to expand further into some markets. Latin America has become a hot topic for discussion as a future market to tap for the games industry. Three of the nine nations listed above are Latin American.

In other news, more locally, video-on-demand programming from satellite and cable TV provider Foxtel will be made available this year in Australia. The service will not require a set-top box, and will likely be similar to the Sky service offered in the UK.

Source: gamesindustry.biz

Why play FarmVille (and other social games?)

Social games, such as the phenomenally popular Farmville, might mystify some, but a new white paper attempts to explain just why so many people get involved.

The white paper, entitled What is the Appeal of Social Games? was written by Ciaran O'Connor and should be read with a grain of salt, as it is sponsored by clubv3, itself a publisher of social network games.

Nonetheless, it has some valuable insights into the industry, and what makes a successful social game. Critically, social games should have a low perceived effort, and of critical importance to any online game - it should be easy to do.

The casual gamer - a category in which most social game players would be, should be more concerned with the 'doing' than the 'getting.' This is not to say that rewards are not important, mind. A low and accessible degree of rewards gives a sense of achievement to the game, and introduces a culture of 'bragging rights' within the social network.

The report also suggests social network game developers pay particular mind to the substantial female audience that engages with those games, and the subtle differences in the way they play games. When it comes to rewards, for instance, male players will evaluate gifts based on practical applications, whereas female players will see it as an avenue to self-expression. Both perspectives should be catered for in a social game.

The report concludes that the social network game is successful on its ability to sell to human emotions.

It's only a seven-page report, and for anyone interested it can be read here.

I certainly agree that a big part of the appeal behind a social game FarmVille is in the gift-giving and in encouraging other people to join in on the fun. Collecting stuff seems to be at the core of any good social game, and by making that stuff appealing enough for someone to shell out real money to access it faster is the key to turning social gaming into a successful business model.

The report mentions the importance of animation and visuals and how it's important to get those right - not necessarily by shooting for the same kind of "good" visuals we would expect from a PlayStation 3 game, but offering an aesthetically pleasing experience where the rewards are justified on a purely visual level, if nothing else.

Which, again, makes perfect sense if you want people to shell out real money for it.

Activision wants to work with retailers on second hand market

Activision CEO, Bobby Kotick, has outlined a vision to become the most profitable entertainment company within 10 years.

That vision includes taking advantage of the lucrative second hand market, which Kotick said could be worth as much as $US500 million. Activision should work with retailers to come up with a new profit model, he said.

According to gamesindustry.biz, Kotick called for better engagement with retailers to come up with a mutually beneficial model.

This will certainly sound more appealing to the retailers than some other recent attempts to cash into the market by charging consumers of second-hand content for online access to material and gameplay, thereby discouraging players to buy second hand at all, but with that market being such a critical component to a retailer's business now, I'm sure they would rather the publishers leave it alone entirely.

Newcomer developer finds publisher

The Games Company (TGC) has secured the worldwide distribution rights for a new horror game, set in the wintery far north.

Alpha Polaris is a point and click mystery game due for release in early 2011, and is set in Greenland. It will be the first release from Finnish developer, Turmoil Games, and has been developed for the Windows PC platform.

TGC itself is a relative newcomer to the industry. The Berlin-based publisher was formed in 2006 and focuses on the PC platform. Its resume includes the PC versions of console download hits Max and the Magic Marker and Greed Corp.

Duke Nukem lawsuit dropped

It looks like Duke Nukem Forever is back on the books.

Take-Two Interactive and developer 3D Realms/ Apogee have arrived at a join decision that will allow the development of Duke Nukem to move ahead.

A court document filed to the United States District Court Southern District of New York states that the actions taken between the two companies have been dismissed in accordance of a Settlement Agreement executed by both on May 14.

Take-Two and 3D Realms/ Apogee will bear its own portion of the costs in the litigation, and agree to not seek any further costs or sanctions on the issue.

It will be interesting to see what happens, if anything, to the development of Duke Nukem Forever going forward, as it is still unclear at this stage what role 3D Realms/ Apogee will have moving forwards.

Source: gamesindustry.biz

Assassin's Creed creator departs Ubisoft

Patrice Désilets, the creator of the Assassin's Creed series, has quit Ubisoft after 12 years.

Despite Désilets' departure, the series will continue, with Assassin's Creed Brotherhood due 16th Novemeber, with a full sequel expected at a later date.

Speaking to Eurogamer, Assassin's Creed producer, Vincent Pondbriand said Désilets made the 'right' decision, and his departure would not affect the quality of the series going forward.

The price of Natal (sorry, Kinect)

There's been a number of reports that Microsoft's motion-sensing device, Kinect (previously named Natal) will cost as high as $US200.

According to a number of reports (including Kotaku), Swedish retailers are listing a price of 1,499 SEK, roughly $US200 on exchange.

Given the low apparent interest in Kinect, I would expect such a price to be prohibitive, and dampen interest further.

Will Square Enix make further acquisitions?

An interesting titbit of news came the way of Gamasutra from Square Enix president, Yoichi Wada, courtesy of E3.

In the interview, Wada is quoted as saying: "of course I will always do it [pursue an acquisition] when the right opportunity arises. For example, new culture is needed. There is a need for social networking type services. When it comes to that, maybe the resources we have today may not be enough to address that market."

It's not the most surprising piece of news - last year another publishing giant, EA, also saw the need to capitalise on the massive market being created by vendors such as Zynga. To that end, it acquired Facebook rival, Playfish, for $US275 million.

Between the growing popularity of downloadable games, and the explosion of social networking games, there's entire new markets opening up to publishers, and acquisition is a relatively speedy way to develop competencies in new markets. Square Enix has already shown it's keen on developing its iPhone and download business, so it was only a matter of time before it looked to social networking.

It’s also no stranger to acquisitions. Last year, Square Enix acquired UK-based publisher, Eidos.

In the interview, Wada acknowledges there is a difference in US and Japanese social networking markets and this would be a challenge for the Japanese publisher, but it seems inevitable that we'll soon see some kind of Final Fantasy take on FarmVille.

Call of Duty deal keeps the add-ons flowing for Microsoft

Microsoft has signed a deal with Activision to ensure that the Xbox 360 will receive Call of Duty add-ons first for the next three years.

It's not the first time the vendor has signed this kind of agreement. Microsoft previously signed a rumoured $50 million deal that saw Grand Theft Auto IV downloadable content released exclusively to the Xbox in 2008.

Financials were not announced when Microsoft revealed the deal at its E3 press briefing, however the deal starts with the release of Call of Duty: Black Ops.

Source: gamesindustry.biz

E3: Mini Xbox 360 to hit the market

The Xbox 360 Slim has been announced as part of Mircosoft's E3 reveal.

The new Xbox 360 will ship with a 250GB hard drive and includes wireless N built-in. The console should be released to the Australian market at roughly the same time as the UK and Europe editions - July 16 or thereabouts. There has been no official confirmation of release dates, however.

Source: gamesindustry.biz