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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Spekulatius who wrote (61066)7/19/2018 2:30:10 PM
From: Jurgis Bekepuris  Respond to of 79164
 
I do think what happened is that some people spend huge amounts on free2play MMG games actually. you used to be able to buy a game for $30-60 , but that was all you had to pay. Now a lot folks spent as much on accessories per month without thinking too much. The server based games are getting continuously developed , so they have a longer lifespans and it appears to cost less compared to dona complete do over to bring out a significantly improved version. Not sure that’s all there is too I though.

You are right about this. Plus this applies to non-free2play games too. E.g. Overwatch is not f2p: you have to buy the game. But I'm pretty sure it also has a ton of in-game purchases (I haven't played Overwatch). Same with other games I guess.

There was a good EA analysis on CoBF by Schwab711 couple years ago. I dismissed it unfortunately.

Maybe the economics improvement also comes from the rising, aging, wealthy geek class. I.e. the population that can drop a bunch of money on games or in-game stuff.

But overall, I think the business model and the economics improvements were not that easy to predict.

On the other hand, I wonder how much this will be impacted by recession. Is this cuppa-coffee recession resistant or more of a premium bling that crashes a lot. From current valuations it may not do greatly.