100°

Why Used Games are Good for the Industry

gamrReview's Jake Weston: "At first, I didn’t really feel compelled to say much of anything about a recent patent by Sony that suggests they wish to cut used games playability from their next generation consoles. After all, there’s not much I could say that hasn’t been said in the plethora of articles that have arisen online in the last few days that have heavily criticize the patent, mostly arguing that the elimination of the used game market would be harmful to consumers and players. And while this is a stance I mostly agree with, I think there could possibly be a bigger issue at stake here. If Sony’s next console (and other next-generation consoles, for that matter) block out used games, it will not only be a pain in players’ sides, but detrimental to the games industry as a whole. "

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GaminGuys4128d ago (Edited 4128d ago )

arisen online in the lastd few days < spelling error please fix for approval

iamnsuperman4128d ago

Fundamentally I disagree with you. Used game sales hurt the industry. The publishers just are not getting the money from used game sales and so these developers get closed down because they do not meet the quota even though they really do but the sales are really not there because they buy used. This word of mouth bull is just that, bull. Same with people who say "I will buy the next in the series new". It just doesn't happen.

The only people who profit from used sales is retail but I wonder why does the gaming industry still relies on such an archaic system to sell games. It is software aka a digital product.

Big budgets and used games sales are the reason why so many studios have gone

ronin4life4128d ago (Edited 4128d ago )

Publishers are NOT hurting from used sales. They are not losing money because someone sells something THEY OWN to someone else.

Used sales don't evaporate either; they go back to the owner/store to be spent on more things... in the case of a game store MORE games. Many of which will be new, as these retailers can't relay on used sales that may not hold and publishers need outlets for their work(which is why that "archiac" system is still in place... the one that had exsited in humanity for thousands of years.). Used sales that require NEW SALES to exist in the first place.

So, if used is hurting publishers, how are they able to make new sales to provide for used sales at retailers they continue to support despite them putting these "poor" publishers out of business?

Publishers aren't hurting. They just want more control over their costumers. To "maximize profits"(the term anti used publishers love to use.) regardless of the effects to anyone else.

Hicken4127d ago

Publishers and developers get paid the FIRST time that game is sold. In fact, they get paid when retailers buy them for their stock.

If developers are going out of business because they're not getting paid twice for their product, that sounds like something's wrong with their contract with the publisher. Either that, or they need to make better games to see the sales they want.

When you're at work, do you get paid twice for every hour you work? Not unless there are some special circumstances, like overtime or holiday pay.

Does that even make sense? It doesn't. It's ridiculous, and utterly so.

And you obviously don't spend much time in any game store that deals in used games, or you'd know what you said was a completely fallacy. MANY new game sales are subsidized by the trade in of a used game. or more.

Really, you didn't think this one through very well.

iamnsuperman4127d ago (Edited 4127d ago )

That is not what I have said. Retailers buy stock. Publishers get paid that way. But if there are a large amount of used games retailers do not need to buy as much stock because they have the used games so they publishers get less money. Also what give retailers the right to resale software and so get 100% of the profit. It doesn't happen with computer software and games are just that. Software.

"Either that, or they need to make better games to see the sales they want"

this is a non issue because people are buying used games regardless of quality because it is cheaper. I support my developers buy buying new. Some games are a disappointment I agree but they should get paid for my enjoyment. It isn't like your work comparison. It is more comparable to say Microsoft made Windows but do you think PC world should make 100% of the profit from something Microsoft made

MikeMyers4127d ago (Edited 4127d ago )

Your analogy is flawed Hicken. You get paid for your job for the work that you do. So if one is specialized in being a doctor and you worked at the hospital then that doctor would expect to get paid for serving his/her patients. Your analogy assumes that doctor should still be supplying services to their patients outside of that hospital for free. That's not how it works.

You see, the tricky part with games is they don't have a depreciation value like a car. Once that game is sold it can be replicated in sales over and over again and act like new while the original publisher only sees it as a one time sale. When someone buys a used console the consumer knows the risk of that hardware not lasting as long or the warranty is expired or won't be as long as buying new. What risk is there to used games? This is why online passes have come in. So if you support online passed then you shouldn't support the used game market.

I am not for or against the used game concept. The trouble with it all is its been in place for so long that consumers now expect it to continue on. What is drastically different now than say 20 years ago was that used game sales were harder to track down and people held onto those games longer. Now every Tom, Dick and Harry sells used games. You can buy them on E-Bay, stores at the mall and so on. The consumer is much more savvy to getting a hold of used games. I think the real issue is how quickly games fall off the sales chart and how quickly consumers trade and get rid of them. This is why there is such a push for multiplayer and DLC. They want the original consumer to stick with that product longer.

The downfall to abandoning the used game market is the people at top who do buy new games and who may also be the ones selling those games back into the used market. If they had no outlet to sell those games I would imagine they wouldn't not buy as many new games. None of us know if the lack of a used market would make up more new game sales because those looking for used games couldn't anymore.

It really doesn't matter at the end of the day, we are already heading in a direction of the used market disappearing. The PC market is a great example of that and so are games like Journey, Fez and The Walking Dead that have made most of their sales in the digital market. That will grow. Rumors are Sega is going to be going digital only in the future with their games. Either way publishers are going more and more to digital or online distribution.

Double_O_Revan4128d ago

If it wasn't for used games and the ability to purchase Assassins Creed 1 &2 used, I would've never got into the series and purchased AC:B, AC:R & AC3 New. Same for buying Mass Effect 1&2 used to buy ME3 new CE. Same for MGS1 used which turned me onto the series to buy every game thereafter New.

The list goes on and on. If anything, used games Help the industry.

Why is the video game industry the only place where this argument holds any weight too? I never hear this debate from car manufactures, electronics companies, furniture makers, etc. Because the universal belief is, You bought it, you Own it.

270°

Microsoft’s Surface and Xbox hardware revenues take a big hit in Q3

Microsoft just posted the third quarter of its 2024 fiscal financial results. The software maker made $61.9 billion in revenue and a net income of $21.9 billion during Q3. Revenue is up 17 percent, and net income has increased by 20 percent.

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darthv721d 2h ago

Xbox content + services up 62% while hardware down 31%... seems about right with the way they tout you don't need the hardware to play. People can play on their phones or smart tv or other means. I don't hardly play on my consoles directly since getting devices like the logitech g-cloud and ps portal. Which is to also say I have been playing more digital than physical because of these devices.

solideagle13h ago

you should apply in MS PR team buddy, I think you will do a great job in my humble opinion :)

Sonic188110h ago

I thought darthv72 and Obscure_Observer already work for Microsoft 🤔

dveio10h ago

MS: "Xbox services and content without AB up 1%, with AB up 62%. Hardware down 31%. In total a loss of 350 mill."

darthv72: "Seems about right."

MS: "Excuse m ..."

darthv72: "I don't hardly play on my consoles directly."

MS:

Lightning775h ago

What he said was facts. How he plays games is no concern of you. Don't get too mad about it.

Cacabunga12h ago

I can tell people like you are an absolute minority..

If service is up means their fans and fanboys accepted this model and subscribed to it. The near future you will see a big decline because the service is saturated.

shinoff218311h ago

But that's been ms for years. When things aren't going their way they try to change the way things are said. For instance console sales are down, they stop telling how many sold instead telling us how many hours spent in halo or headshots. So it makes sense console sales down just say people are playing on more devices then previous. What they won't say is how many xbox players jumped ship to ps5.

Cacabunga10h ago

Hardware sales are so bad that Sony and Nintendo are blowing the sales off the water with their hardware.

If Xbox are losers, others aren’t..
Xbox already tried everything with Xbox live then subscriptions went down so much that they had to find something else. Their fans subscribed then reached saturation rather quickly.

Hardware and exclusive games is where it’s at! Keep gamers excited, announce decent software and people will support you

itsmebryan6h ago

@shin
Well keep it simple Sony 's operating income is down 26% and Microsoft's is up 32%. No MS spin there, just facts. 😉
Cheers

romulus235h ago

Odd that a company that touts you dont need the hardware to play is already touting another console in the works.

darthv725h ago

They are not reliant on the HW but still want to maintain a presence (no matter how small) is a good thing. It shows commitment to the craft. It reminds me of SNK and how they made games for their own hardware (Neo Geo) while also making them for others because they knew there was a market to do so. They knew they would sell more to others but also sell to their own niche fan base.

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purple10115h ago

Xbox hardware revenue tanks to lowest point of Xbox Series generation

Profchaos14h ago

I'm not surprised surface is struggling they aren't relevant anymore

DOMination-4h ago

In the last two years they've started exiting the consumer market altogether. All of the newest Surface products are business models only. They can't seem to work out what they want to do with it.

XBManiac14h ago

Too expensive hardware when others offer the same or more for less? Good work, Green Team.

SimpleDad14h ago(Edited 13h ago)

"Despite some early successes for Xbox games on rival platforms, Xbox hardware is down by a massive 31 percent this quarter."
"Without Activision Blizzard, Microsoft’s overall gaming revenue would have actually declined this quarter."
"Xbox content and services would have only been up a single percent without Activision Blizzard..."
"It looks like next quarter is going to be a similar story for gaming at Microsoft, too."

That is crazy... so A/B/K is carrying the whole Xbox gaming.
Oh and Microsoft will be fine. Windows, Office and Cloud are growing with each pc purchase.

purple10113h ago

Activision: "we gonna need a bigger rucksack/backpack please"

Microsoft: "why's that"

Activision: "to carry yo' weak ass'

Profchaos13h ago(Edited 13h ago)

Top brass have also wanted to start seeing returns on the 100 billion they have put into various Xbox related moves so seeing more multiplatform games is highly likely especially from abk

It's basically saying that PlayStation is the reason Xbox is afloat right now thinks to Ps5 versions of COD

Kornholic11h ago

So basically PS and PC gamers' money is keeping Xbox on life support.

MrDead4h ago

The only growth MS will get out of the console industry is if it supports it's rivals platforms. Xbox is a pointless machine now. I can see them on a big push for live next, and they won't give up on trying to buy Steam.

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140°

Why Monopolies In Gaming Must Not Be Allowed

As of right now, there are no monopolies in the games industry, and for the sake of the medium as a whole, they never should either.

thorstein1d ago

Shouldn't be allowed in any field.

Inverno20h ago

And yet the biggest tech companies in America are essentially that. They buy up all the small comps only to kill them off and steal what they have, and if they can't buy em they bleed them to death.

jwillj2k419h ago

Eventually they’ll realize the value is with the employee not the company. Buying an IP means nothing if the people who contributed are let go. They’ll get it one day.

MrCrimson19h ago

tech is different because they buy threats and then kill them. Twitter bought Vine and did nothing with it. Despite people seemingly liking it. Could've had tiktok a decade before bytedance. go figure.

Zenzuu20h ago

Monopolies shouldn't be allowed regardless. Not just for gaming.

MrCrimson19h ago

They buy IPs not talent. That's why these buyouts never work and the IPs die. Right now it's too expensive to develop games - but I expect that to shift maybe as AI tools can make it easier. The best games have been indie games for awhile as big developers fuck their ips to death with "games as a service" -

70°

The INDIE Live Expo 2024 event is to feature over 100 game titles

INDIE Live Expo, Japan’s premiere online digital showcase series , will debut never-before-seen games & content updates across more than 100 titles on May 25th.