EA CEO Says Games Cost Too Much, Different Pricing Models Needed

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EA CEO John Riccitiello predicts the current standard of $59 games will become obsolete in less than half a decade, the CEO said in a discussion with Fortune's Tech Daily blog.

"In the next five years, we're all going to have to deal with this. In China, they're giving games away for free," he told Fortune. "People who benefit from the current model will need to embrace a new revenue model, or wait for others to disrupt."

Riccitiello went on to say he expects EA will experiment with different pricing models for digitally distributed titles fairly soon. Elsewhere in the post he defended video games from detractors who cite them as overly violent, saying they are unfairly judged.

From The Chatty
  • reply
    October 31, 2007 1:49 PM

    What does he mean they give games for free in China?

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      October 31, 2007 1:57 PM

      He might be refering to free MMO's that generate revenue from item shops, but I thought that was a Korean thing.

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        October 31, 2007 2:08 PM

        Precisely, aka. the mid-session game model.

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          October 31, 2007 2:27 PM

          Although in EA's eyes they probably just see that as another way to construe fees ala XBL and thus squeeze out more money per product. I learned this the hardway from one of said Korean mid-session games. Sure, you don't pay that initial fee, nor a monthly fee, so you justify a purchase here and there. But before you know it you've spent way more than you would have had the fees been upfront and totalled.

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        October 31, 2007 3:06 PM

        For example I believe you can download WoW free in Korea.

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          October 31, 2007 3:08 PM

          There are so many free Korean MMOs, around 50+... I'm playing 4 of them. Maple Story is almost as big as WoW.

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            November 1, 2007 7:24 AM

            As big as WoW is in Korea? Hard to imagine another mmo having > 8 million subscribers being something people never hear about.

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      October 31, 2007 5:08 PM

      I think he means that for abut 1-$2 you can buy just about any software. on the street. Games, windows, office, etc

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