Posted by Geoffrey Tim - 03 Feb 2012
Things aren’t looking especially good for the video game industry. THQ, one of the industry’s major publishers and developers is on the rocks - cutting jobs and devaluing by the second. If they do crumble, they wouldn’t be alone; the depressing list of developers who’ve shuttered their doors this generation is staggering.
Industry Giant Sony has reported its fourth consecutive year in the red, and even Nintendo - who spent the beginning of this generation pretty much printing money - saw huge losses for the 9 month period ending Dec 31 last year; $621.6 million to be precise - almost as much as they made the year before when the Wii was still heavily in demand.
Microsoft’s still got huge cash reserves, but its gaming division is so singularly focused on Kinect - which is successful now, but without good games is a bubble that’s likely to burst. And then there’s Apple, who’s cheapened gaming by over-encouraging supply - and helped flood the market with largely terrible 99c games. Are we headed for 1983 all over again?
Is the video game industry in trouble? And if it is, how can it get better?