HappySqurriel on 09 January 2008
| Bruceongames said: Big publishers will get bigger because they have huge advantages of scale. Small publishers will be taken over or go out of business because they lack these advantages. |
Many of the biggest publishers (EA and Take Two are the key examples) have put too much emphasis on the HD systems and are now paying for it with shrinking revenues and increased costs, the advantages of scale have not been too good for these companies. At the same time smaller publishers (like Majesco) have focused more heavily on smaller budget titles and are seeing increased revenues and have healthy profit margins.
Being that this trend will (probably) continue in 2008, I think painting the entire market with the brush "The big publishers will get bigger whilst the small publishers get smaller" is foolish.
