An unexpected change is taking place in the video game industry: a focus on smaller screens.
It seems like a strange transition when TVs are bigger and offer higher definition than ever before. But mobile games clearly win on portability. Or at least, that’s part of the recipe behind why mobile gaming generated $93.2 billion in revenue in 2021.
Another piece of that titanic success is a newer model widely used in the mobile space. Called Free To Play, or FTP, the games are free to download, but they offer players plenty of opportunities to purchase features that make the games more interesting and engaging, such as in-game currency, weapons, rare items, and more.
The FTP model has turned out to be a money-printing machine for the video game industry.
ActivisionBlizzard (ATVI) The first title made for mobile devices, the recently released “Diablo Immortal,” grossed $100 million in its first 60 days. That’s the kind of revenue no developer can ignore, especially considering it was the company’s most financially successful title since its founding in 1991.
With the mobile industry forecast to hit $338 billion by 2030, it’s easy to see why so many are looking for a way into it.
Netflix (NFLX) he has looked at it as a potential solution to his struggles. The streaming giant has been aggressively building its gaming presence, promising a 50-game mobile library by the end of the year and dropping hints that it, too, intends to enter the cloud gaming space.
sony now (Sony) has made an announcement that makes it clear that it plans to push further into mobile as well.
Sony/TS
Sony partners with wild games
Sony’s PlayStation Studios boss Hermen Hulst said on August 29 via the PlayStation Blog that the company would acquire Savage Game Studios, a young mobile developer from Berlin, making it its new PlayStation Studios Mobile division.
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Founded by Michail Katoff, Nadjim Adjir and Michael McManus, the studio has yet to produce its own titles. But its co-founders have worked on “Clash of Clans” and “Angry Birds,” both hugely successful mobile titles. Clash of Clans grossed $489 million and Angry Birds grossed €286.2 million ($287.8 million) in 2021.
Hulst gave some insight into why PlayStation made the move, listing successful titles on PlayStation 5 and PC and explaining how mobile efforts would follow the same formula.
“Our mobile gaming efforts will be equally additive, providing more ways for more people to engage with our content and striving to reach new audiences unfamiliar with PlayStation and our games,” he said.
“Savage Game Studios joins a newly created mobile division of PlayStation Studios, which will operate independently of our console development and focus on innovative on-the-go experiences based on existing and new PlayStation IPs.”
Sony plans a live-action format
Hulst also says that Savage is already working on “an unannounced new mobile live service action game.”
Sony has already experimented with bringing some of its best-selling franchises to mobile devices in the past, including a spinoff of the storied “God of War” adventure series in 2018 and a “LittleBigPlanet” runner called “Run Sackboy! Run! ” in 2015.
While these are casual titles, the new game in development will follow the now popular live service format. These games are designed to keep players constantly engaged in ever-changing worlds populated with live events, tournaments and more, giving them a reason to keep playing and spending money.
While these games require more resources to keep running, they also lure players in with the promise of being free, often persuading them to spend more money on the game than they would if they paid retail price in the first place.
electronic arts (USA) the publisher behind the long-running series “Madden,” said in November 2021 that it expected to generate 70% of its transactions through live services.
That’s just one of many whose earnings are proving that live service and mobile are where gaming is naturally moving to, which is great news for any gaming company looking to grow their earnings.
