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October 16, 2007
Music Biz versus Game Industry

I've been thinking about this lot lately, the breakdown of the traditional music publishing model and what that means for games. I'm not the only one, of course. In fact it was Kim who asked me what the equivalent of concert sales would be for games, which is, as usual from him, a really interesting question. After all Prince can give away him albums online because he sells out every concert date he books. Can game downloads realistically be a loss leader?

I really don't know. Where else would money come from? Subscriptions (MMOs, GameTap), advertising, micro-transactions, corporate Second-Life-style customized virtual worlds... lots of people are trying lots of different things. If I suddenly think of something brilliant then I'll let you know.

In the meantime I wrote up my latest thinking about this on GigaOM, where I'm a regular contributor these days: What Can Games Learn from Music's Mistakes?.

Posted by jane at October 16, 2007 10:10 AM | TrackBack
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It seems to me games are just different.

music (and video) effectively require no "smarts", no CPU behind them. A vinyl record, a cassette tape, a VHS tape are all analog.

Games on the other hand require some sophisticated device (a CPU) to run them. The difference means to me that basically it will always be possible to *effectively* DRM games because there is no analog hole.

At least it seems that way to me. I'm not saying it's impossible to pirate 360 games (or Wii or DS or PS3) but it IS possible to make it hard enough and put enough barriers to doing so that the DRM is effective at keeping the market viable.

On top of that, DRM on those systems, because of the CPU issue, is not a problem for most people. I don't expect to play a 360 game on my car stereo, my cell phone, etc because I know that a 360 game requires a 360. This is different than music or video where the expectation is that I should be able to play it anywhere.

So, in other words, there's no need for an equivalent of concert sales.

I idea that there could be some "standard" game platform is pretty ludicrous and shows a basic misunderstanding of technology. Unless you are taking about simple flash games each console has serious technical differences, not to mention input device differences and those differences are going to always be important at least until our computers are capable of creating the Star Trek Holodeck level of experience.

Posted by: greggman [TypeKey Profile Page] on October 16, 2007 06:35 PM
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