Video Games

Video games outsell movies in U.K.

In the last year, consumers spent more money on video games in Britain than on films, including both trips to movie theaters and films on DVD, new figures compiled for U.K.'s Daily Telegraph indicate.

In the 12 months leading up to the end of September, 1.73 billion British pounds (about $2.8 billion) were spent on video games, according to data-monitoring company GFK Chart-Track. The U.K. Film Council said 1 billion British pounds ($1.6 billion) were spent at the British box office during the same period, with an additional 198 million British pounds ($320 million) … Read more

Virtual currency exchange to launch in 2010

Beginning in the first quarter of 2010, social sites IMVU and MyYearbook will launch a virtual currency exchange allowing users from either service to exchange currency between the sites.

Currency Connect is billed as a "cross property virtual currency exchange" system similar to how you would change U.S. dollars into euros if you were traveling in Europe. Users simply swap their currencies depending on what site they are on. Overall this is not a bad idea as I still find it surprising that users pony up real money for virtual money that can never be taken out … Read more

Brazil looks to ban video games while U.S. makes ratings work

Late last week it was reported that following Venezuela's lead in attempting to reduce "violent tendencies" in South American children, Brazilian Sen. Valdir Raupp has authored a bill that would make it a crime to make, import, or distribute "offensive" video games.

The goal of the bill is to "curb the manufacture, distribution, importation, distribution, trading, and custody, [and] storage of, the video games that affect the customs, traditions of the people, their worship, creeds, religions and symbols."

Where this ban, like many others, falls short is in assigning blame for societal ills to video games instead of dealing with larger social issues, including a lack of parental oversight. There are, no doubt, influences in Brazil that are different from the U.S., but video game ratings have proven to be an excellent example of an industry-wide standard that could easily be adopted internationally.

In a recent report, the Federal Trade Commission (FTC) praised the video game industry for continuing "to have the strongest self-regulatory code" of all the entertainment sectors. … Read more

Nintendo launches paid video content for Wii

The Nintendo Wii remains a force to be reckoned with in the video game world and new survey statistics along with new revenue streams suggest that Nintendo has still has something up it's sleeve.

New survey data from Lottay, an online wish-list and gift giving site, shows that the Wii and its associated accessories will regain momentum during this year's holiday season.

The Wii and Wii-related gear were wished for twice as much as the Sony PS3 and Xbox 360 combined though 38 percent of people wanted something other than products--namely cash, and in one case, Satan (I … Read more

Analyst: Money transfer soon to be No. 1 phone app

If smartphones aren't already helping us navigate the modern world, they are certainly on track to do so soon.

In Gartner's top 10 predictions for how consumers will use their mobile devices in the year 2012, location-based services landed the No. 2 position, just behind money transfer.

There aren't many surprises on the list, released Wednesday by the analyst firm, though I would have expected to see gaming enter the top 10 consumer applications for mobile devices within the next two years, especially considering the firm previously predicted that mobile gaming revenue would experience a compound annual … Read more

Apple's App Store review irking developers

I received a note from Andy Gilbertson, one of the developers behind Parallel Kingdom, a location-based mobile massively multiplayer (or MMO) game that uses your GPS location to place you in a virtual world atop the real world. The game seems like an obvious winner for the iPhone, but the team has been struggling to get it past Apple's app review policies.

Gilbertson's travails with the iPhone application acceptance process illustrates why Apple's gating of applications is a troubling reality for developers--and for consumers. And while it's understandable to have a gating mechanism in place, if … Read more

Is Ohai the next big thing in social games?

With Electronic Arts' recent $400 million purchase of Playfish, social games are all the rage in today's tech industry. That's no surprise: lightweight games on social networks (which people usually play while they're goofing off at work) and social games have attracted huge player numbers with the biggest titles boasting 20 million to 60 million regular players.

But here's the worst kept secret about the genre: most social games aren't very, well, fun. They offer limited interactivity, game play challenge, and graphics. Consequently, players aren't invested enough to spend much money on them, especially … Read more

Turning Twitter into an application server

As much as Twitter is a powerful communication and social application, it's a relatively simple Web app. As part of a new contest sponsored by Engine Yard, Ruby on Rails developers are going to turn Twitter into their own application server.

The contest asks developers to program the "Worst App Server Technology Ever" (Waste) using Twitter as the message bus. While much of the contest is being done tongue-in-cheek, it's actually an interesting use case to see if a service like Twitter can take the place of a more traditional message bus like IBM MQ series … Read more

Virtual goods: Duping the masses?

I attended the Virtual Goods Summit on Friday and walked away struggling to figure what topics might be interesting to write about. My net takeaway is that not much has changed in the year that I've been writing about social gaming and virtual goods, with the exception of two facts:

1. Virtual good providers are being lauded as the next big thing to replace advertising 2. There's something weird going on with the ads and offers that have taken over the more traditional banner advertising role

There is no question that virtual goods have become an integral part of social network revenue streams. And the mainstream media has finally started to catch on.

But, I didn't realize the oddities of the way users are being monetized until I attended the event and saw the heavy emphasis not just on monetizing users but on doing so in a way that was transparent and non-intrusive. Theoretically, it's a good idea, but in practice, many of the "offer" providers are purposely or inadvertently running Ponzi schemes.

TechCrunch's Michael Arrington arrived at my second point above and took the theory much further with data that shows many social gaming offers and advertising practices amount to little more than a complicated scam that gets people in the door for free only to take advantage of their lack of understanding of what they've technically agreed to in the various offers.

In short, these games try to get people to pay cash for in game currency so they can level up faster and have a better overall experience. Which is fine. But for users who won't pay cash, a wide variety of "offers" are available where they can get in-game currency in exchange for lead gen-type offers. Most of these offers are bad for consumers because it confusingly gets them to pay far more for in-game currency than if they just paid cash (there are notable exceptions, but the scammy stuff tends to crowd out the legitimate offers). And it's also bad for legitimate advertisers.

… Read more