Copyrighted Material

Similar documents
The Self-Employment Survival Guide

Nishant l33t Verma 33 Rachel pwn Nabatian Weiye noob Zhang

Capcom Co., Ltd. (Tokyo Stock Exchange, First Section, 9697) Overview of Strategies and Plans Fiscal Year ending March 31, 2019

Activision Blizzard Reports December Quarter and Calendar Year 2009 Financial Results

Activision Announces Second Quarter 2006 Results

Third Quarter CY 2010 Results. November 04, 2010

Game On! An Industry s Journey. Vicarious Visions, Inc. Karthik Bala, CEO Guha Bala, President

Second Quarter CY 2010 Results. August 05, 2010

Activision Blizzard Announces Better-Than-Expected Second Quarter 2012 Financial Results

Activision Blizzard Announces Better-Than-Expected First Quarter CY 2009 Financial Results

Take-Two Interactive Software, Inc.

Activision Blizzard Announces Better-than-expected First Quarter 2012 Financial Results

Activision Blizzard Announces Record First Quarter Financial Results

ACTIVISION BLIZZARD ANNOUNCES BETTER-THAN-EXPECTED SECOND QUARTER 2011 FINANCIAL RESULTS

Guitar Hero Instructions Xbox 360 Cheats Unlock All Songs

Rovio Entertainment Corporation Annual General Meeting April 9, 2019 CEO REVIEW Kati Levoranta

Peter Moore, President

Please see analyst certification and other important disclosures starting on page 165.

Capcom Co., Ltd. (Tokyo Stock Exchange, First Section, 9697) Overview of Strategies and Plans Fiscal Year ending March 31, 2017

Running head: NINTENDO SWOT ANALYSIS 1

The Reed Report. Company Spotlight Take Two Interactive 11/29/2016

WE GOT GAME. Investment Opportunity in Interactive Entertainment

Second Quarter CY 2012 Results. August 2, 2012

DOWNLOAD OR READ : WII ROCK BAND GUIDE PDF EBOOK EPUB MOBI

Activision Blizzard Announces Better-Than-Expected Third Quarter CY 2009 Financial Results

Equity Research ACTIVISION, INC. (ATVI-NASDAQ)

January September Summary

Capcom Co., Ltd. (Tokyo Stock Exchange, First Section, 9697) 3rd Quarter Report Fiscal year ending March 31, 2018

Fourth Quarter 2013 Results. February 6, 2014

Investor Presentation

Gaming. Everyone s a. Gamer!

Guitar Hero World Tour Wii User Manual

H1 FY16 Earnings presentation November 4th, 2015

Activision Blizzard Announces Better-Than-Expected Third Quarter CY 2009 Financial Results

INVESTOR DAY. February 18 th 2016

Safe Harbor Disclosure

UConn Student Managed Fund 2017 Analyst Report. Taishi Kato and Tommy Stodolski

Capcom Co., Ltd. (Tokyo Stock Exchange, First Section, 9697) Financial Highlights for the Fiscal Year ended March 31, 2018

G5 Entertainment. Investor Presentation

Activision Reports Second Quarter Fiscal Year 2007 Results

Annual results 2005/06

STARBREEZE investor Presentation

First Quarter 2013 Results May 8, 2013

Third Quarter 2014 Results

Promote Growth Strategy. and Governance Reforms Aimed at Enhancing Corporate Value. Haruhiro Tsujimoto Chairman and Chief Executive Officer (CEO)

Microsoft touts Xbox One as all-in-one entertainment (Update 4) 21 May 2013, by Barbara Ortutay

G5 Entertainment. Investor Presentation

REMEDY ENTERTAINMENT OYJ. Review of H

Activision Blizzard Announces Better-Than-Expected Second Quarter CY 2009 Financial Results

Kristin Southey Senior Vice President Investor Relations and Treasury

Electronic Arts Inc. January 18th, Michael Gude Portfolio Manager. Chase Westenfelder Quantitative Model Developer

ACTIVISION BLIZZARD, INC.

Game Industry Presented by: Pam Chow

FOCUS HOME INTERACTIVE

Capcom Co., Ltd. (Tokyo Exchanges, First Section, 9697) 3rd Quarter Report Fiscal year ending March 31, 2014

JUNE 2014 MAIN EXAMINATION MODULE: MARKETING MANAGEMENT PROGRAMME: POST GRADUATE DIPLOMA IN MANAGEMENT

First Quarter 2014 Results

G5 ENTERTAINMENT AB. Investor Presentation

Capcom Co., Ltd. (Tokyo Exchanges, First Section, 9697) 3rd Quarter Report Fiscal year ending March 31, 2016

First Quarter CY 2012 Results. May 9, 2012

Capcom Co., Ltd. (Tokyo Stock Exchange, First Section, 9697) Financial Highlights for the Fiscal Year ended March 31, 2016

2Q FY2018/3 Financial Results Briefing by SQUARE ENIX HOLDINGS held on Nov. 8, 2017

Today s presenters are: Yosuke Matsuda, President and Representative Director and Kazuharu Watanabe, Chief Financial Officer.

Reinforcement of the development strategy Creation of 4 operational divisions structured around strong expertise

Should all future kids contents be interactive? What are the best games and TV coproduction models?

Rock Band 2 Guitar Won't Sync Ps3

Good afternoon. I m Kazuharu Watanabe. I will be presenting an overview of the Company s financial results for 1Q FY2019/3.

A (Very) Brief History

EXPLORE OPPORTUNITIES IN JAPAN S GAME MARKET

IMGD 1001: The Game Industry

Ubisoft reports full-year sales

Third Quarter CY 2012 Results

ACTIVISION BLIZZARD ANNOUNCES BETTER-THAN-EXPECTED SECOND QUARTER 2015 FINANCIAL RESULTS

UBISOFT REPORTS FIRST-QUARTER SALES

The game market is expanding worldwide and Capcom continues to grow due to mobile and download sales

Activision Blizzard Announces September Quarter Results

CARLOSX360 CO. LTD. Right now, CarlosX360 Co., Ltd. Is a global gaming network of blogs and forums delivering content to gamers worldwide.

Guitar Hero Instructions Xbox 360 Cheat World Tour Songs

Ubisoft reports third-quarter sales

GameStop Corp. 11/29/ :00 AM ET Page 1. GameStop Corp. November 29, :00 AM ET

Gaming. not just for kids! Gaming & your Library. 42% of all adults own a console. Almost 2/3 of adults own a console

The resulting net sales were 87,170 million yen (up 13.2% from the previous fiscal year).

Capcom Co., Ltd. (Tokyo and Osaka Exchanges, First Section, 9697) 1st Quarter Report Fiscal year ending March 31, 2013

January June Summary

Prepared Remarks FISCAL 2018 Q2

Capcom Co., Ltd. Tokyo and Osaka Exchanges, First Section, Overview of Strategies and Plans Fiscal Year ending March 31, 2013

FY2005 Results Briefing Session. May 24, 2006

Ubisoft reports third-quarter sales

Second Quarter 2013 Results August 1, 2013

The Business of Games. Or How To Make a Living Doing What You Love To Do

Second Quarter 2014 Results

January September Summary

Press release August 27 th 2015 Starbreeze AB (publ) Interim Report July 1 st 2014 June 31 st 2015

LONG TERM VALUE CREATION BLAKE JORGENSEN, CFO

FY2015 Financial Results

Ubisoft reports first-quarter sales

Fourth Quarter 2015 Results. February 11, 2016

Evolution of Gaming. AESTHEHumanities! Weekly THINK! Fun facts that will surely console you on a bad day

Guitar Hero Warriors Of Rock Ps3 Guitar Won't Connect

Ubisoft reports full year sales

Transcription:

100 Greatest Video Game Franchises Edited by Robert Mejia Jaime Banks Aubrie Adams ROWMAN & LITTLEFIELD Lanham Boulder New York London 17_131-Mejia.indb 3

Published by Rowman & Littlefield A wholly owned subsidiary of The Rowman & Littlefield Publishing Group, Inc. 4501 Forbes Boulevard, Suite 200, Lanham, Maryland 20706 www.rowman.com Unit A, Whitacre Mews, 26-34 Stannary Street, London SE11 4AB Copyright 2017 by Rowman & Littlefield All rights reserved. No part of this book may be reproduced in any form or by any electronic or mechanical means, including information storage and retrieval systems, without written permission from the publisher, except by a reviewer who may quote passages in a review. British Library Cataloguing in Publication Information Available Library of Congress Cataloging-in-Publication Data Names: Mejia, Robert, 1982 editor. Banks, Jaime, 1980 editor. Adams, Aubrie, 1983 editor. Title: 100 greatest video game franchises / edited by Robert Mejia, Jaime Banks, Aubrie Adams. Other titles: One hundred greatest video game franchises Description: Lanham, Maryland : Rowman & Littlefield, 2017. Series: 100 greatest... Includes bibliographical references and index. Identifiers: LCCN 2017001814 (print) LCCN 2017020509 (ebook) ISBN 9781442278158 (electronic) ISBN 9781442278141 (hardback : alk. paper) Subjects: LCSH: Video games History. Video games industry History. Classification: LCC GV1469.3 (ebook) LCC GV1469.3.A15 2017 (print) DDC 794.809 dc23 LC record available at https://lccn.loc.gov/2017001814 The paper used in this publication meets the minimum requirements of American National Standard for Information Sciences Permanence of Paper for Printed Library Materials, ANSI/NISO Z39.48-1992. Printed in the United States of America 17_131-Mejia.indb 4

Guitar Hero 75 52 million units worldwide, with gross sales nearly equal to the FBI s crime cost estimates. This included a first-day release that made GTA the most successful entertainment launch in history (earning nearly $8,600 per second for the first 24 hours of its release). 11 While the jury is still out on the relationship between playing GTA and committing crimes, it is clear that the epicenter of modern sandbox video gaming is located somewhere in the crime-ridden, blood-soaked, and often hilarious urban jungles of Liberty City. Similar Franchises: L.A. Noire (2011), Saints Row (2006), True Crime: Streets of LA (2003) Nicholas David Bowman GUITAR HERO (est. 2005) Platform: PlayStation II Developer: Harmonix There are few video game franchises that have seen such a meteoric rise and subsequent fall, in terms of players and revenue, as Guitar Hero. The origins of the rhythm-game series can be traced to the success of the Japanese arcade game GuitarFreaks (1998), which let players rock out in an arcade hall while strumming a plastic guitar. In hindsight, it took surprisingly long before a game publisher tried to bring the arcade experience into the home and make it available for a global audience. But when it did, it became clear that the concept of a peripheral-based music game resonated with millions of players. What happened after the somewhat unexpected success of the first iteration in the Guitar Hero franchise speaks volumes about the economics of the core segment of the game industry. The rise and fall of the series demonstrates both the revenue potential and limitations associated with publishing blockbuster, or AAA, games. That is to say, the Guitar Hero franchise is indicative of a particular publishing arrangement that is best understood as hit-driven, highly planned, and capital intensive. The first game in the Guitar Hero series was developed by Harmonix and published by RedOctane in 2005, both American companies. Playing along with rock tracks on a plastic guitar offered gamers the opportunity to unleash their inner rock stars. And many did. Not only did critics praise the game almost unanimously, it became one of the top-selling titles for the PlayStation 2 in the 2005 holiday season. One of the world s leading game publishers, Activision, took notice and was quick to acquire RedOctane in 2006 for $100 million in cash and stock. Around the same time, MTV Games acquired Harmonix, and in 2007 they published a competing franchise called Rock Band. For Activision, the goal of the acquisition was clear. Together with the first-person shooter franchise Call of Duty, the Guitar Hero franchise was slated to become one of the publisher s billion-dollar properties. There were two main elements of Activision s franchising strategy for the Guitar Hero series. First, Guitar Hero epitomizes what economists call a blockbuster 17_131-Mejia.indb 75

76 Guitar Hero publishing logic, signaling a mode of production and circulation that is associated with high (financial) risk and, potentially, high reward. As do movie studios, game publishers tend not so much to divide their resources evenly across products in [their] portfolio but rather to allocate a disproportionally large share of [their] production and marketing budgets to a small subset of products in order to bring in a disproportionate revenue share. 12 The blockbuster strategy is all about making this as safe a bet as possible by focusing on proven strategies. This means that instead of developing and publishing original intellectual property, the publisher concentrates on the largest potential market in order to expand its margins by growing recurring franchises. 13 This brings us to the second aspect of what makes the Guitar Hero franchise so relevant from an economic point of view. Because shelf space in retail stores is limited and gamers constantly seek out new experiences, AAA games are impactupon-release products and have a fairly short life cycle. Therefore, publishers such as Activision deploy a number of complementary de-risking strategies aimed at extending the longevity of an individual title and prolonging the monetization process in-between titles, thereby expanding both the publisher s and the franchise s brand. In order to add a layer of predictability to the creative stage of game development, publishers typically employ so-called formatting strategies, which are best understood as a combination of reusable, uniform, economic and textual structures. 14 Seen in this light, the Guitar Hero franchise is essentially a derisking approach to game publishing gone wild. Activision used five formatting strategies for Guitar Hero. First, there was the most common format: serialization. From 2005 to 2010 the franchise saw six releases, all published annually during the holiday seasons. Second, leveraging the affordances of the seventh-generation of consoles (the Xbox 360, PlayStation 3, and Wii), every main installment saw a number of what I call branch serialization formats. The notion of branching signals pieces of additional content that expand on the original games, most notably paid-for and free downloadable content such as individual songs and packs and for Guitar Hero World Tour (2008), user-generated content. Third, the series saw a number of band-focused expansions released in-between the holidays, expansions such as Guitar Hero: Aerosmith (2008). Fourth, Activision went on to follow what business scholars call a multi-homing approach, or what is known in the industry as a multi-platform release strategy ; for example, Guitar Hero: On Tour (2008) was released with its own peripheral for the Nintendo DS handheld console. And fifth, later franchise installments followed the variation on a theme routine in an attempt to broaden the market. Consider that Activision s 2009 publishing slate consisted not only Guitar Hero 5, targeting the rock-focused music gamer, but also the spin-off DJ Hero, which was aimed at club dance enthusiasts, and the pop-music-focused Band Hero (2009), which was meant to appeal to a family audience. This franchising strategy initially paid off handsomely for Activision and its shareholders. The series peaked in 2007 with Guitar Hero III: Legends of Rock, which, as promised to investors, generated over $1 billion in revenue. At the time, this third major installment in the series was the highest-grossing retail game ever. Yet despite generating billions of dollars of revenue for Activision, the publisher closed many of the individual studios working on the series: RedOctane in 2010, 17_131-Mejia.indb 76

Guitar Hero 77 Budcat Creations in 2010, Underground Development in 2010, and Neversoft in 2014. In the end, the franchise shows how fickle the taste of users can be, how opportunistic Activision s release strategy was, and also how, arguably, audiences can get quickly tired of serialized properties. Eventually, after a brief hiatus, the franchise was rebooted, and Guitar Hero Live was launched in October 2015 to lukewarm sales. The show, as they say, must go on. Similar Franchises: Call of Duty (2003), Dance Dance Revolution (1998), Rock Band (2007) David B. Nieborg 17_131-Mejia.indb 77