This Week In The Business: 'Xbox Is The One Console Actually Defying Gravity.'

What's happened in the business of video games this past week ...

QUOTE | "Xbox is the one console actually defying gravity." — Matt Barlow, general manager of product marketing at Microsoft's Interactive Entertainment Business, talking about the momentum Xbox 360 has seen and how he expects it to have a huge Christmas.

QUOTE | "I think the big triple-A studios are almost becoming the niche stuff." — Anna Marsh, project manager at indie studio Lady Shotgun, talking about how smaller development efforts like Angry Birds can attract far larger audiences than AAA games.

QUOTE | "In the long term the market is entirely free-to-play." — Kristian Segerstrale, EVP of digital at EA, talking about where the company thinks games are headed with design and monetisation.

QUOTE | "In a lot of free-to-play games I've felt dirty about spending money: I feel like I cheated, I feel like I'm impatient, I feel like I'm bored." — Peter Molyneux, legendary game designer, talking along with other industry luminaries about the future of free-to-play gaming.

STAT | 25 per cent — Amount US game sales (hardware, software and accessories) dropped in October, compared to October 2011; hardware sales dropped 37 per cent from last year, while accessories rose five per cent due to Skylanders.

QUOTE | "[Violence] becomes an easy target when it's the only thing we're doing." — Patrick Redding, director of Splinter Cell: Blacklist, talking about the need for more diversity in the types of games out there.

QUOTE | "Games are a hit-driven business. If someone else tells you something different, it's a lie." — Riccardo Zacconi, CEO of, talking about how they've become the #2 social game company 18 months since releasing their first game on Facebook.

QUOTE | "Creating innovative, new IPs just isn't a priority for the organisation." — Ethan Levy, former BioWare San Francisco producer, talking about EA's shift away from creating new IPs on consoles to less risky investments on mobile.

QUOTE | "We have made significant strides to transform THQ into a producer of high-quality game titles." — Brian Farrell, Chairman and CEO of THQ, trying to put the best spin on THQ's dismal sales and possible imminent sale or bankruptcy.

QUOTE | "The same question mark lingers over Activision; today they're on top, but where's the plan for tomorrow?" — Rob Fahey, former editor for, talking about how THQ and Activision are showing the possible futures of console gaming.

QUOTE | "We recognise that duplicating this year's success will be difficult." — Bobby Kotick, CEO of Activision Blizzard, commenting on his company's great third quarter and warning next year won't be as good.

STAT | 270,000 — Number of Xbox 360 consoles that sold at US retail stores in October; this is the 22nd month in a row the Xbox has been the best-selling console, with a 56 per cent market share for the month.

QUOTE | "There's been a renaissance of small games thanks to mobile and digital download platforms." — Jordan Mechner, designer of the original Prince of Persia, talking about why he decided to redo his classic Apple II game Karateka.

This Week in the Business courtesy of GamesIndustry International.

Image from Shutterstock


    “I think the big triple-A studios are almost becoming the niche stuff.”

    Keep telling yourself that. Whatever makes you sleep easier at night. I'm being serious, can this article be changed to "This week is bullshit?" Every week, it's nothing but complete and utter crap.

      Yeah that's kinda what business speak is really. Bollocks and blind promotion.

        Well, its because these business friendoes dont understand that we gamers buy AAA games like Halo 4, Assassins Creed 3 and so on because we want AAA entertainment and we want to play those quality games, the only reason why Angry birds and the like sell so many copies is because it so dang cheep and well... Even my Grandad plays it on the train. But do gamers play it? No.

          Wait a minute didn't these analysts say Halo 4 was going to be the cause of a low voter turn out? Now nobody is playing AAA games? Isn't COD making more money than any other game ever? Isn't that considered AAA?

          I don't play COD, I simply don't enjoy it, but it's a massive hit despite my opinion.

          As for real Gamers not playing Angry Birds, I think they play it, get over it and move on. Are real gamers still playing Angry Birds would be a better question.

            ...who said that nobody is playing AAA games, exactly?

              Anna Marsh called the big AAA a niche market, niche tends to be small and specialised.

                Looks to me like the quote actually says that the AAA *studios* are the niche thing. Not AAA games.

                And with the explosion of indie devs and the constant closing down of larger studios, I'd say it's a fair call. Fewer and fewer AAA studios as time goes by, costs rise and teams shrink.

          Trouble is that they only care how much money it makes. They don't really give a toss who's paying it as long as somebody does.

            The problem is that the effect trickles down to where the small indy devs (Wich end up being the guys that are my Game Dev Lecturers that you know... teach me how to actually make games) start to believe that its the only future in the industry and that full AAA games will be free, but only the MP and 1 sp level.... Can you imagine Uncharted where every level after the first chapter is premium DLC? Well... indy devs seem to think thats the future...

      Whoa, what's with the rage? All he's saying is that development at the moment is tending more towards lower budget studios like indies and stuff, with fewer and fewer going for that multi-million dollar, hundreds-of-people team thing. Which seems like a fair call to me.

    For these analysts for whom reading material is a stock ticker, angry birds is a wet dream. And i know people who are totally anti games that play it. But there is no room in that market for diversity. Non gamers will only download a handful of titles that are the next big thing and they won't spend much money. But people promoting that as the next promised land of sales don't give a shit about that. Like traders, they are just after their next corpse to feed on before moving to the next big thing. People will wisen up, and the golden lands of milk and honey that mobile networks are pushing will be a mirage

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