kingofwale said:
the most basic law of business is supply and demand, with casual game market skyrocking, companies will rush to produce cheap, low-risk games with potentially high profit. With only limited firms, you will see hardcore games decreasing. With hardcore game's budget and man-power required to make them with relative higher risk, no new firms can enter the market, thus creating a situation where diminishing hardcore games -> diminishing hardcore gamers -> diminishing hardcore market.
You can disagree with me all you want, I'm just here to state my reasoning, not to convince anyone to believe as I believe. |
Supply and demand also determines that as long as there's demand for hardcore games, they'll continue to exist.
However, it is correct that companies will have to cut costs and potentially increase prices on certain types of games. Regarding that, there's more guilt on Sony and Microsoft than on Nintendo though, just look at the budgets required to make HD games. They put the cart in front of the horse, moved too fast, and there will be consequences to some companies.
I think we'll see more and more consolidation and companies going out of business, but that's because their strategies and analysts suck. If you want to get a sneak peek at the results of that strategy look at Japan, which is where the consequences will happen first.
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