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To: Emmo who wrote (12956)2/3/2000 12:32:00 AM
From: Emmo  Respond to of 14266
 
Will franchise titles be important to anyone else in near future?

Video Games To Be Main Driver For Broadband Services - Report

SAN DIEGO, CALIFORNIA, U.S.A.,, Newsbytes via NewsEdge Corporation : A report out
today says that video game systems will be themain driver of the rollout and demand for broadband
services.

The report, entitled "The State of Game Technology 2000," from DFC Intelligence, says that video
games and interactive entertainment are of prime strategic importance in the race to provide
consumer online and broadband services.

In addition, the report says that the upcoming fight to establish next- generation video game
platforms could become the key consumer electronics battle over the next decade.

David Cole, the research company's president, said that the games industry is forecast to become a
$20 billion global business within the next two years, but the impact of the interactive entertainment
industry will be much greater than the revenue it generates.

According to Cole, games hardware systems are likely to become hybrid devices that consumers
use for many forms of digital entertainment including music, movies, Web access and interactive
television.

The report says that, of the next-generation console systems now coming to market, or coming real
soon, such as the Sega Dreamcast, the Sony PlayStation 2, the Nintendo Dolphin and the Microsoft
X-Box, the Sony PlayStation 2 is likely to be the brand leader.

Ben Sawyer, the lead author of the report, said that the PlayStation 2 is an ambitious system that
will have the capability to play DVD movies, access the Internet, and act as a complete
entertainment box.

"This is what we call an e-box," he said, adding that the report raises questions about how dominant
the PlayStation 2 will be.

"The PlayStation 2 (PS2) may turn out to be nothing more than a great game machine," he went on
to say, adding that, whether people use the PS2 to watch movies or access the Internet remains to
be seen.

In the long term, DFC's report concludes that video game hardware devices will be a leading
provider of multiple forms of digital entertainment products and services.

Cole says, however, that it could take as long as five years to 10 years for this to happen.

"Major media companies and online service providers are currently not focused on games," he said,
adding that America Online and Time Warner are merging to become a complete interactive
services provider.

Cole added that, despite this, the one thing missing from this merger is games. As a result of this, he
said, games are likely to become a major reason that consumers subscribe to broadband services.

DFC's Web site is at dfcint.com .

Reported by Newsbytes.com, newsbytes.com .

(20000120/Press Contact: David Cole, DFC Intelligence 858-780-9680 /WIRES ONLINE,
TELECOM, BUSINESS/)