SEGA: Death Of Packaged Games A 'Total Exaggeration'

In an interview with Industry Gamers, SEGA West CEO Mike Hayes has claimed that while SEGA is looking to invest in digital distribution, as a company, it will continue to invest in AAA franchises. According to Hayes, "the death of packaged games is a total exaggeration."

"Net-net people are playing games more, net-net, the business is still growing, and in a way, some of the new businesses we’re growing are less risky," claimed Hayes. "So I think that the death of packaged games is a total exaggeration. But I think there’s probably going to be a lot of necessary pruning and good husbandry, which means that the quality for the consumer in the end is actually going to be better, because people are going drill into what they know is going to be successful."

Hayes also made reference to Cliff Bleszinski's assertion that the "middle-class" game is dead - the idea that to make money from packaged video games you have to go straight for high production, AAA values - or develop innovative game concepts in the digital space.

"I think everyone’s saying it’s becoming all digital and no packaged," he began, "I just can’t see that. I think both are going to coexist to a greater or lesser degree. I do like the comment I heard at GDC, which is that the day of the double-A game is over.

"I think that that’s something that we would absolutely agree with. If you’re not going to be in there with a product to really compete then your chances of making a return on that are going to be really limited."

Sega: 'Death of Packaged Games is a Total Exaggeration' [Industry Gamers]


    Triple A only? What does Minecraft count as? Or is he saying that only triple A will sell well using box on shelf, bricks and mortar retailing while anything less will need to rely on digital downloads for their opportunity at the bread and butter.

      It counts as an F.

        Nope AAAA!

          Well sure if you're a sperg. But for normal people it's definitely an F. I mean wtf, look how amazing Gears 3 looks then look at minecraft, Notch was clearly lazy.

    It may still be alive and well for consoles but when places like specialist game stores such EB, GAME etc... carryling almost little to none boxed products i would say packaged games in PC are almost dead.

      GARRR - I meant to say "but when places like specialist game stores such EB, GAME etc… are carrying almost little to none PC boxed products

        That might have more to do with PC's just not getting that many games these days (compared to the consoles), most of the DD stuff I have bought and downloaded recently has been older games on sale, rather than swathes of new stuff.

        Because there really isn't a whole lot of new stuff TO buy, even via DD, for PC, sad to say.

        Every EB I've walked into in forever has equal PC shelf space compared to 360/PS3.

          This is true - but also so much of the PC shelves are taken up with el cheapo games and value packs rather than new mint games I guess.

          But yeah there's an element of people who say PCs are the equal of ALL consoles and should therefore have half the friggin store (trust me in the 90s they used to!)

          What's happened since the mid 90s though is that more and more families have bought Gameboys and PS2s and Wiis and this has broadened the audience for consoles greatly.

    ...So, Sega, let's talk about your last few years of Sonic releases.

    or AAAA?

      The extra A is for BYOBB.

        last time we let Sega host a box social ended with the release of "Sonic free riders"

        I still lay awake at night wondering where we went wrong.

      Yeah. What is that corporate-speak for?

      Net market size/worth/growth in each area respectively.

      Something like 'If you look at net market size in retail boxed and net market size in direct download, you will see that both are doing fine and are even growing'.

    That's an incredibly high res picture of the SEGA logo lol

Join the discussion!