Technological Environment of Video Game Industry
Technology Environment
The Video Game industry is constantly undergoing new innovations and ground breaking technology. New trends and innovations are introduced on a yearly basis that alters the marketing environment. The Level of technology in this industry is very high. The speed of technology and usage is ongoing and expanding throughout the country and the world. With the constant growth, a fast and a high rate of Obsolescence is the outcome. The video game industry also has social concerns pertaining to the overall health of the users. Within the past 10 years the video game industry has boomed to keep up with the rapid growth of technology. Each video game console starting from the Atari 2600 ( September 1977) to the Nintendo 64( September 1996) and to the recent Sony Play station, Nintendo WII, and Microsoft X-box franchise has evolved insignificant ways.
Trends: Mega-Gaming, Interactive
• Mega-Gaming
A new trend like Mega-Gaming which has been becoming popular
Schmidt, D(2013,November )“These last ten years have ushered in the age of the mega-game; video games with budgets of $100 million and massive marketing pushes designed to break single-week sales records” Video Games in the US. Retrieved from IBIS World Industry Report. This Mega-Gaming consists of a high return and in return comes with high risk ,where if one game does not meet sales then the whole gaming company can go under. The highest budget game is Grand Theft Auto 5 reaching 265 million dollars invested to production, but within the first 3 weeks their sales were above 1 billion dollars being the most successful release in all entertainment in the world. Such high budgets come from factors like developing and development staff. But the majority of the portion of their budget is put in to marketing. Even to the very little spent on development, a big part of it goes towards the non-gameplay parts such as motion capture and expensive voice acting talent. The result in this could
The Video Game industry is constantly undergoing new innovations and ground breaking technology. New trends and innovations are introduced on a yearly basis that alters the marketing environment. The Level of technology in this industry is very high. The speed of technology and usage is ongoing and expanding throughout the country and the world. With the constant growth, a fast and a high rate of Obsolescence is the outcome. The video game industry also has social concerns pertaining to the overall health of the users. Within the past 10 years the video game industry has boomed to keep up with the rapid growth of technology. Each video game console starting from the Atari 2600 ( September 1977) to the Nintendo 64( September 1996) and to the recent Sony Play station, Nintendo WII, and Microsoft X-box franchise has evolved insignificant ways.
Trends: Mega-Gaming, Interactive
• Mega-Gaming
A new trend like Mega-Gaming which has been becoming popular
Schmidt, D(2013,November )“These last ten years have ushered in the age of the mega-game; video games with budgets of $100 million and massive marketing pushes designed to break single-week sales records” Video Games in the US. Retrieved from IBIS World Industry Report. This Mega-Gaming consists of a high return and in return comes with high risk ,where if one game does not meet sales then the whole gaming company can go under. The highest budget game is Grand Theft Auto 5 reaching 265 million dollars invested to production, but within the first 3 weeks their sales were above 1 billion dollars being the most successful release in all entertainment in the world. Such high budgets come from factors like developing and development staff. But the majority of the portion of their budget is put in to marketing. Even to the very little spent on development, a big part of it goes towards the non-gameplay parts such as motion capture and expensive voice acting talent. The result in this could