Lingyis on 24 February 2008
well, we know that this industry is consolidating because of eroding margins. you just HAVE to get bigger.
EA, last quarter, despite a paper loss last quarter, i think there was some one-item charge of something related to online gaming. i think if you remove that, they're still making money, though i might be wrong regarding that.
mergers, takeovers, they're not really that different from a company's standpoint. you're just paying for future cash flow, it's not like you're throwing money away. of course, if you pay too much then you threw some money away.
growing bigger by acquisition is pretty typical. Bank of America is the biggest example of doing it right.
the Wii is an epidemic.
