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To: BillyG who wrote (25008)11/10/1997 12:01:00 PM
From: DiViT  Respond to of 50808
 
Interactive Entertainment Services To Reach $11.6 Billion In 2001,
Driven By Consumer Demand, Comfort With New Technologies
ÿ
11/10/97
Business Wire
(Copyright (c) 1997, Business Wire)
ÿ

STAMFORD, Conn.--(BUSINESS WIRE)--November 10, 1997--Driven by growing consumer spending, as well as increasing PC penetration rates and Web access, the market for interactive entertainment will reach $11.6 billion in 2001, a 112.9 percent increase over $5.5 billion in 1997, according to Interactive Entertainment 1998: Sizing The Market For Games & Recreation, a new research report published by Cowles/Simba Information.

With 1997 sales projected at $4.9 billion, PC and console-based entertainment titles, published by companies such as Sony, Nintendo, CUC Software and Electronic Arts, currently enjoy the largest market share. New technologies, including online games, DVD ROM and Internet TV, will grow quickly over the next four years, representing a combined $3.4 billion in sales by 2001.

"The online games and DVD ROM segments will contribute significantly to the industry's growth during the next several years as more consumers go online and DVD drives become standard on every PC," said report author Jennifer Doyle, an analyst with Cowles/Simba Information's New Media & Marketing Group. "Online games services, in particular, will be driven by growth in advertising revenue."

Online games services, a $58.8 million business in 1997, will reach $670 million in 2001. Advertising revenue, which currently represents 19.5 percent of the segment's revenue, will account for 37.3 percent - or $250 million - of revenue in 2001.

Interactive Entertainment 1998: Sizing The Market For Games & Recreation identifies and sizes five industry segments - PC CD ROM, Console CD ROM, online games services, Internet TV and DVD ROM - through the year 2001. The report is available from Cowles/Simba Information for $1,295. To place an order, or to receive more information, contact Tom Schmalzl at (203) 358-4348.

Cowles/Simba Information (http://www.simbanet.com) is a leading provider of news, analysis and market research reports on the media and industry information industry. Cowles/Simba Information is a unit of Cowles Business Media in Stamford, CT.

CONTACT: Cowles Business Media Jennifer Doyle, 203/358-4356 E-mail: jennifer_doyle@simbanet.com
10:32 EST NOVEMBER 10, 1997