Stemming from a recent SEC filing and financial report,
EA's third quarter software revenues -- broken down by platform -- reveal that the Xbox 360 proved to be the most rewarding during the three months ending September 30th. A
Gamasutra report ranks the revenue for the period, which saw the releases of
Boogie,
Madden '08 and
Skate, as following:
- Xbox 360: $218 million (an increase of $52 million over the same period last year)
- PlayStation 2: $73 million (a drop of $196 million compared to the previous year)
- Wii: $59 million
- DS: $47 million (up by $33 million)
- PSP: $21 million (down by $43 million)
- PlayStation 3: $17 million
Does CEO
John Riccitiello still think the publisher backed the "
wrong horse" by initially focusing on the PS3 and Xbox 360? Judging by third quarter revenues, it seems said horse was actually two buffoons in a poorly constructed costume -- except the one controlling the front two legs could actually make out where he was going. Driven by superb
Madden '08 sales
in October, the Xbox 360 yielded roughly the same amount as every other platform combined. Wii software revenue shows promise for the system's third-party developers, quite unlike the PlayStation 3's $17 million. With
lackluster hardware sales and unimpressive software revenues from one of the world's largest publishers laying quite the rocky road, it's no wonder Sony has to talk supporters
out of jumping ship.
(
Wait a minute. Did we just put a ship on the road? We've got to stop mixing our metaphors like that.)
Reader Comments (Page 1 of 2)
jsn @ Nov 8th 2007 11:25AM
lets talk about attach rates...
gonk @ Nov 8th 2007 11:41AM
whoo something else the 360 wins
copa @ Nov 8th 2007 11:45AM
PS3 SALES RATES ARE SO LOW BECAUSE OF THE BELGIAN BLUE RING OF DEATH! OH MY GOD!
(I'm sorry, I'm easily entertained)
Shagittarius @ Nov 8th 2007 12:20PM
Interesting this means that each owner of each console spent approximately the following amount on software:
PS3: 3.10 per console
Wii 4.07 per console
360 17.44 per console
Since the Wii has a bigger install base yet owners spent 4 times less on software the 360 looks to be the prefered platform this generation. Additionally since you can port games fairly easily between the 360 and PS3 I would expect that trend to continue as well.
What this data indicates is that theres not much money to be made in making software as EA for the Wii, especially original titles, and I would expect EA to focus in the future on the 360 and PS3 ports.
Poisoned Al @ Nov 8th 2007 12:36PM
Yes but that's just what people spent on EA games ONLY. Seeing how they didn't make anything for the Wii, it proves how piss poor the PS3 is doing to come last. Hell, I can't even think of an EA title for the Wii. Where did they get their money from?
Shagittarius @ Nov 8th 2007 12:51PM
EA has released more games for the Wii than for the PS3...Wii games include:
MySims
Tigerwoods
The SImpsons
Madden
Boogie
EA Playground
FIFA
Medal of Honor
NBA Live
Need for speed carbon
The Godfather
Harry Potter
Seeing as how it takes more work to port from the lead dev platform of the 360 to the Wii than to the PS3 I'd say EA will be seriously rethinking their Wii support if this trend keeps up.
Poisoned Al @ Nov 8th 2007 2:50PM
Ah, no wonder I forgot them.
FidliousWong @ Nov 8th 2007 11:25AM
Oh god, here we go....
F. Rocker or Fernando R.? @ Nov 8th 2007 11:26AM
And if EA put good games on the Wii, the revenues will be better.
FOXHOUND @ Nov 8th 2007 12:22PM
Though we'll probably both catch flame for this, I have to agree. I like the Wii's control scheme for Madden... but goddamn; the graphics are piss poor even for the Wii, the online features aren't as grandiose as X360/PS3, and frankly it feels like a totally half-assed attempt.
It's no surprise the PS3 sales of EA IPs/games are also dismal, considering they also were given such a lame effort. It's dreadfully obvious that since I have both X360 and PS3 consoles and a choice between MADDEN08 on either system... I'm going with the X360 because of not only the 60fps(which IS possible on PS3, but wasn't done), but it's quite obvious that with the management shift from MS to EA; you'd have to be crazy to think the two wouldn't be bedfellows.
I can't effin' wait until EA's contract with the NFL is up. That's still the biggest steaming pile of crap in videogaming today.
Rususeruru @ Nov 8th 2007 11:26AM
Wii60 FTW!
McWeen @ Nov 8th 2007 11:30AM
I can't even remember the last EA game I played that didn't make me envy the dead.
gonk @ Nov 8th 2007 11:42AM
skate? cod4? mass effect? rock band?
sorry, but ea actually has some good franchises now
F. Rocker or Fernando R.? @ Nov 8th 2007 11:49AM
Wii need some good franchises from EA =(
Not Boogie
McWeen @ Nov 8th 2007 11:52AM
gonk
skate? cod4? mass effect? rock band?
sorry, but ea actually has some good franchises now
skate was not fun. cod4 woo hoo another army shooter! mass effect looks boring. could not possibly care less about rock band.
mcatrage @ Nov 8th 2007 11:52AM
skate is a great game. After playing it I can't believe we had things like Tony Hawk for so long.
arrrgh @ Nov 8th 2007 12:13PM
+ on that
skate is amazing fun (jus add intoxicants)
cod4 looks sick too cant wait
Shockgamer @ Nov 8th 2007 12:32PM
Guys...
Call of Duty belongs to Activision.
Medal of Honor belongs to EA. Being they're more different than ever this year, there's no excuse to mix them up anymore.
Also, I enjoyed SSX Blur and Godfather Wii.
Billiam247 @ Nov 8th 2007 1:21PM
COD4 was published by Activision.
JJ Rooster @ Nov 8th 2007 11:31AM
Now you can see why developers don't bother to make PS3 ports look any better (or equal in some cases) when the payoff is nil.
Negativecool @ Nov 8th 2007 11:31AM
Such is the power of America's love for Madden.
Negativecool @ Nov 8th 2007 11:34AM
I think it's pretty clear from those numbers that those upgrading from PS2's are not buying PS3's for the brand recognition that was suppose to sell PS3's without games.
No, they are clearly buying 360's and Wii's.
Poisoned Al @ Nov 8th 2007 12:41PM
Oh I think the rest of the world had a hand, dumbly buying FIFA++ too. If memory serves me correctly, Madden didn't shift as many units as expected this year. Maybe people are cottoning on to the fact it's the same shit they bought last year.
xXFenixKnight13Xx @ Nov 8th 2007 11:37AM
Xbox360 $218 Million
PS3 $17 Million
So only by $201 Million? Meh.
Bwahahahahahahahahaaaaa!!!!!!
Wii60 FTW baby!!
apoc06 @ Nov 8th 2007 11:50AM
until ea creates games on the ps3 that are equal or better than their xbox360 counterparts, i wouldnt buy anything from ea on the ps3 either.
if the xbox360 attach rate is around 7.8 games, and the ps3 is about 5.5... taking userbase into consideration, that equates to the ps3 owners buying nearly the same amount of games, but would only increase EA's sales to $35M.
that means that ps3 owners are buying the games, its just not from EA. can you blame em?
dunlop @ Nov 8th 2007 8:29PM
it's not looking like a valid argument as so far it looks like Ratched and Clank (which looks awesome) is selling horribly.
arrrgh @ Nov 8th 2007 12:14PM
you're supposed to buy ps3 games because they're in 4D. not because they're good. Kaz said so.
Spartacus @ Nov 8th 2007 12:36PM
Latest NPD numbers put PS3 attach rates around 3.5, not 5.5.
Sony either has a long hard battle ahead of them or a really short one...
jsn @ Nov 8th 2007 12:38PM
didn't the post last week put the ps3's attach rate at like 2.6 or 2.8? Where are you getting 5.5? I think that number is WAY off.
apoc06 @ Nov 8th 2007 2:54PM
my apologies. the attach rates are approximately [or as approx as the source assumes] 6.59 for the xbox360, and 3.58. that brings the numbers to about 7 and 4.
note: these are only the us figures.
anyways, even with the updated numbers the equation still stands. doubling the size of the ps3 userbase while maintaining that all of the new users will have similar buying habits equates to: PS3 owners are still buying loads of games, but very few EA titles.
if the ps3 userbase was equal to the xbox360s and the attach rate tripled to 12 games per console, EA would have still only made $51M, because PS3 owners refuse to buy their subpar software.
i look at it like this, i own both consoles. in my eyes, the second that a developer comes out and says 'x version is inferior'. i immediately realize: "they really dont care to make decent software. im not buying this". i eliminate the potential possibility of me ever buying that game. the second that they said that they couldnt [read: didnt put in enough effort] get their flagship game to run at equal framerates, i eliminated that purchase from my shopping list. [im not paying for live again, so most multiplayer stuff i buy on PS3]
EA ruined their own payday, and tons of PS3 owners are on strike against EA and capcom. if you dont keep your customers happy, what do you expect? they get no sympathy from me.
Orca94 @ Nov 9th 2007 1:15PM
Attach rates are normalized per console sold, so they're not about the same at all.
Rikki @ Nov 8th 2007 11:51AM
But....but....but.... just wait till the PS3's great games come out. Like Lair, and Heavenly Swor... oh wait... they already did.... ummmm...Ratchet and Cla... ummm.... Home! Yeah, Home! Just you wait, you will see. It's just off to a slow start, just like the PS2 was! Once developers understand how to program for the needlessly overly complex architecture, which is causing budgets to balloon over development of the same game on the other consoles, things will work themselves out!
arrrgh @ Nov 8th 2007 12:16PM
know why that architecture is so nedlessly complex? Just ad Blu-Ray!! Smooth sony. Now because of hdcp and sony's blu ray lust, everything that was going to be amazing about ps3 has been stretched and delayed and now no one is as interested :(
WHERE's MY REAL PS3!?@!?@!
The Fuzz 53 @ Nov 8th 2007 11:56AM
IF EA is making all of their money off of the 360, then why do all of the commercials for The Simpsons Game only mention the Playstation platforms?? I also noticed that same thing on an Assassin's Creed commercial. Who is Sony blowing for this advertising?
arrrgh @ Nov 8th 2007 12:23PM
I think you answered your own question here. EA needs their sony sales up, so they're advertising the sony stuff...they know 360 will sell
Dale @ Nov 8th 2007 12:31PM
If Mass Effect doesn't significantly improve the 360's lead next quarter, you should all be ashamed of yourselves.
LR @ Nov 8th 2007 1:20PM
Sony may be subsidizing those ads.
It's the same thing that happens with Best Buy or Circuit City weekly circulars. Some weeks you may notice that Sony is on the front cover or certain movies are on all the television sets.
Jake @ Nov 8th 2007 12:01PM
Wow. The 360 is busting the PS3's ass really bad in the US. Numbers like this will have a serious impact on the future of PS3 exclusives, especially 3rd party.
Why not just make it for 360 instead?
William @ Nov 8th 2007 12:02PM
Wow, considering that EA got on the Wii bandwagon late, it sure is doing well with Wii profits.
I have to think the 360's lead is in response to wanting a faster platform for the games, so they chose the 360 for most of the new ones.
J.Goodwin @ Nov 8th 2007 12:03PM
Not profits, revenues. There's a big difference.
J.Goodwin @ Nov 8th 2007 12:02PM
They're not blowing anyone, they're just doing comarketing, which is one of the things they were falling down on earlier.
Sony puts up part of the ad buy, and their tag is on the end of the clip. It's the same for 360.
===
I'd be interested in seeing the contribution to operating profit for each of these lines of business.
Iced_Eagle @ Nov 8th 2007 12:04PM
What can I say that hasn't been said? :)
Wii60 for the win.
HectorTheValiant @ Nov 8th 2007 12:18PM
ROCK ON Wii60!
SMG, Assassin's Creed, Need For Speed: ProStreet, AND Mass Effect....
The ps3 doesn't stand a chance...
But wait for it..."umm yeah just wait till Uncharted!"
That will save the psTRIPLE!"
baka_07 @ Nov 8th 2007 12:24PM
EA's makin' tons of money on Xbox 360 without even try hard on advertising... well, business is like this and I don't think Sony bandwagon can spin this in any favorable way either...
JJ @ Nov 8th 2007 12:27PM
hmm that seems strange, even just taking into account august, if PS3 sold 338k copies of Madden 08 in august, that alone would be near 20million (53mil just for madden ont he 360 in august too) in software revenues... maybe i'm missing something here?
Djuan @ Nov 8th 2007 8:13PM
I was wondering the same EXACT thing!
Michael C. Sherrin @ Nov 8th 2007 1:02PM
What's missing here is the number of games released. I mean, yes the PS3 is totally lacking, but aside from Madden with its lower 30fps than the 360, there weren't many marque names for the PS3. And even with probably a lot fewer PS2 titles (except for Madden), the PS2 still did quite well.
Of course, having all these former Microsoft people at EA can't have anything to do with this.
*******
Michael C. Sherrin
http://www.prodigeek.com/
samfish @ Nov 8th 2007 1:17PM
So Microsoft is the new Sony
Sony is the new Nintendo
...and I guess Nintendo is the new Microsoft. Or possibly Apple.
Cyro @ Nov 8th 2007 1:27PM
The PS3 software sales will eventually pick up. But I still believe the Xbox 360 owners just by more games than the rest of the bunch. I mean, just by looking at how many games I am buying this next month, : Assasin's Creed, Mass Efect, COD4, NFS:Prostreet, Blacksite and maybe Timeshift. I already got Bioshock, Halo3 and The Orange box in the previous month. My wallet is hurting bad, but hey thats what I work for and my wife is fine with that.
On the other hand I know a couple of people that actually own a PS3... Yes amazing as it is... And they are not exactlly happy with it. They dont seem to be anxious in getting new games and I dont understand why?
They should be crazy about getting new games for their PS3.
driven2sin @ Nov 8th 2007 2:24PM
ps3 is teh dead