Thursday, February 19, 2009

EA Case- the online gaming market

Since the writing of the Electronic Arts Case the Sony Playstation 3 and the Nintendo Wii have been released and both have online gaming capabilities. What’s your assessment of the current online gaming market?

Online gaming is the future of video games. All of the major console game makers have online gaming capabilities. This is true for PC gaming as well. What was once the realm of first person shooters and role playing games like World of Warcraft, has expanded to all genre of gaming. Many new games are focusing less on the single player aspects of the game design and are focusing on the online multiplayer features. Many newer games do not have a single player option at all; it is all online and multiplayer. The target audience is expanding as well. Games like Madden and Medal of Honor represented the mainstay of the online gaming market—young males. But now that demographic is changing. There is a quickly expanding market of people, many of whom are older and female, that play “casual” games like cards online. These are simple games when compared to games produced by large developers, but they are attracting an ever increasing audience who enjoy the simplicity and social interaction (albeit limited) that they provide. These casual gamers are good targets for advertisers seeking to gain exposure to a market that is increasing astronomically. (A quick Google search shows that the potential for growth in the online gaming market is huge- up to $13 billion by the end of this decade.)

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