The Video Game Industry is Dying!!!

[stof]

Akvod said:

stof said:

gaming_addict24 said:

stof said:
Then you should have read it RVDondaPC, because that's not what he was showing with the graph. He was using the graph to show that despite declines this year, Game sales are still at near all time high levels. He's not saying sales are declining. He's saying that despite huge sales, developers are in trouble.

And he's right. If games are selling so phenomenally well, why is it that so many companies have closed down and so many people have been laid off? Try reading it. It's a good read.

its the ECONOMY!!!!!!!

not this guys logic.

that is why companies are going bankrupt the ECONOMY!!!!!!!!

The economy isn't stopping people from buying more games than at any other time in history.

 

Income goes down, demand for inferior goods go up, normal goods go down.

In a recession (just started taking Macro, so not really that confident in my knowledge in it), people save their money and spend less (sorta fucking us over in the short run, although saving benefits in the long run).

And where has that happened? The top selling games are all full price, Wii Fit, all the music games, Sports Resort, Tony Hawk Ride ad a bunch of others are now charging prices we've never seen before and people are buying at record pace. Again, sales are near all time highs, so the economy isn't effecting the game industry in the same way it's effecting other industries. 

The troubles faced by current developers is in small part the lending crunch, but largely a result of an unsustainable model and a console generation that didn't pan out like anyone thought it would.