Can EA get back on track with MMORPGs?
November 2, 2007 – 6:11 pm
According to a recent article over at Games Industries, EA is reporting a net loss of $195M for the quarter and the closure of a UK game shop. That’s a big Ouch! considering Madden and Tiger Woods ‘08 were released during the Q2 reporting period. In fact, EA released five titles that sold over 1M copies in the quarter, with Madden selling 4.5M itself.
When most people think of Electronic Arts, they usually think of sports games. Many forget that EA also has roots in the very successful, massively multiplayer online roleplaying game (MMORPG), Ultima Online (UO). Released over ten years ago, UO was the first game of its kind that I can remember: it actually charged users a monthly fee for online-only game play.
In 2002, EA released the Sims Online, which can also be considered a subscription-based MMOG, however, it wasn’t as successful as they hoped it would be.
With the recent acquisitions of Mythic Entertainment and Bioware, two gaming companies regarded for widely popular MMORPG releases, it would appear that EA is starting to again focus on the MMORPG genre. And why not?
MMORPGS are games that keep on giving! You sell a hard copy for $50+, give someone a free 30-day trial, and then try hook them for an extra ~$15.00 per month via credit card subscription. If successful, the earning potential is huge. Just look at Blizzard’s immensely popular World of Warcraft (WoW); a game with over 8 million monthly subscribers. That’s roughly $120M generated per month…
My suggestions to EA (as if they care)? Focus on your strengths! Keep on making your widely popular sports games and invest your development capital into a few strong WoW-killers. Continue to back the development of Warhammer Online, and market the hell out of it once it’s ready. Use the resources and market-share you’ll gain from Bioware (go Canada!) by developing a new kind of MMORPG based on Neverwinter Nights or Knights of the Old Republic. Realize that MMORPGs may be creative and developmental sinks, but the potential reward will keep your company in the black for a long time to come.
Blizzard reinvented themselves with WoW. It’s time for EA to do the same.
UPDATE: EA just announced they are closing EA Chicago!
What do the readers think? Leave a battle cry below! 
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5 Responses to “Can EA get back on track with MMORPGs?”
Honestly, what I think hurt their sales was making games for the PS3. Now, I own a PS3 and can honestly say that we are few compared to the 360 and I think most people who have the PS3 are waiting for RPGs to come out like Final Fantasy, and so most of the sports games they made and pushed out on the PS3 are not being sold.
I can see WAR among a couple of other games that can really help EA get some money back though.
By Arkane on Nov 25, 2007
I know several people who are holding off on the PS3 until the new Final Fantasy and Metal Gear Solid games are released. I’m a bit shocked that the console was released without the immediate support of such flagship franchises.
Were these games released even 3 or 6 months after the system, the PS3 would probably not be lagging so far behind the other next gen systems. Instead, it’s been a year and STILL no FF or MGS. Not the best marketing strategy IMO.
By Snafzg on Nov 25, 2007
I’m trying to hold faith in EA an expect them to do some major marketing for WAR as it nears release. They do a great job for their sports games so hopefully they put the same amount of effort into this project.
By Vasagi on Nov 25, 2007
If EA simply allows Mythic the budget they need along with the pressure of getting it done right and on time, i’m sure it’ll be great. As to EA’s losses… I’m not really sure what the big picture is for EA, but having WAR in their basket of games should only help them.
The thing that really worries me about WAR isn’t EA but this Paul Barnett guy, has anyone seen all the class videos etc he does? I’ve never met a more annoying person! Annoying doesn’t mean he can’t make a game but wow…
Alright, got a little sidetracked there.
By Knash on Nov 25, 2007
Ahh, the great thing about news is that it’s usually so new! Here’s a good read about NCSoft, makers of the popular Lineage, City of Heroes, and Tabula Rasa franchises:
http://kotaku.com/gaming/notag/ncsoft-to-shift-away-from-games-326111.php
Apparently, they’re stock prize has halved of the past couple months and they’re looking to diversify income away from the MMORPG market because they find it “plateauing.”
By Snafzg on Nov 26, 2007