Video games | Asian invasion | Economist.com - The Diigo Meta page

• 04 Jul 08
  

  Michel Bauwens

  A new business model: give away the game and charge avid players for extras

  P2P-Gaming P2P-Business P2P

• 02 Jul 08
  

  Sean

  For games, the Asian model has many benefits. It lowers the barrier to entry for new players by allowing people to play games without having to pay anything. And since the game’s software is usually given away, there is no need to worry about piracy—indeed, the more a game is copied and passed around, the better. Given the huge cost of developing the most advanced video games, however, the new model seems unlikely to push aside the traditional model of selling games on disc (or as paid downloads) any time soon. But as gaming reaches out to new audiences, there may be more scope for new business models based on advertising and micropayments.

  The Economist 062008 gaming business models micropayments social network freemium

  • For games, the Asian model has many benefits. It lowers the barrier to entry for new players by allowing people to play games without having to pay anything. And since the game’s software is usually given away, there is no need to worry about piracy—indeed, the more a game is copied and passed around, the better. Given the huge cost of developing the most advanced video games, however, the new model seems unlikely to push aside the traditional model of selling games on disc (or as paid downloads) any time soon. But as gaming reaches out to new audiences, there may be more scope for new business models based on advertising and micropayments.

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