The Flops Are Piling Up for Video-Game Titans
- In-game purchases, tournaments don’t eliminate need for hits
- Battlefield V gets outgunned by Red Dead Redemption 2
Attendees walk past signage for the Activision Blizzard Inc. "Destiny 2" video game, developed by Bungie Inc., during the E3 Electronic Entertainment Expo in Los Angeles, California, U.S., on Wednesday, June 14, 2017.
Photographer: Troy Harvey/BloombergThis article is for subscribers only.
In recent years, the video-game industry looked like it had found the antidote to the boom-bust cycles that had long plagued the business.
Publishers focused on a few well-known titles and extended their lives through in-game purchases, expansion packs and online tournaments. Electronic Arts Inc., one of the largest players, doubled its market value to almost $45 billion last year as a new era of steady, predictable revenue seemed at hand. Then, like a wrong turn in Pac-Man, it was game over.