It amazes me that the recent pumping of cloud-based gaming hasn't had a seriously positive impact on the PPS of gaming companies. It is another readily accessible gaming platform that will require PC-based games. The fact that you don't have to have a PC is great, gaming machines and next generation consoles are expensive and a luxury. EA doesn't make consoles or PC's! They make the games that run on them. If Google, V, VZ, TWC, etc. decide to get into providing a new platform, EA will sell more and more games. This is fantastic news for game publishers. Terrible news for MSFT, SNE, and GME. MSFT will shrug it off and go back to there ridiculously dilluted $25 a share, SNE will get hit hard and GME will go the way of Blockbuster. That is if the world takes on the tech.
Game producers would do very well. It is merely allowing more people access to there games. I simply don't understand why there has been a negative reaction to this news, it is like investors seriously don't get it.
So how will EA's $60 game compare to hundreds of $5-$20 games? Probably not very well. I think that is the problem. Sure, I'll buy games I like for $60, but a lot of people might not, especially casual gamers. Look at games for iPhone, WP7, Droid... There are tons of games for $.99 - $10, but I always get the free ones. Why pay?
There may be tons of games out there free and .99 but NOT the ones I want. EA will do great on cloud based gaming. How could anyone think otherwise??? I'll bet the NBA that got cancelled is going to be cloudbased, and that's partly why they pulled it to do it in the cloud. Star Wars subs are down, just think how much better off EA would be to put that in the cloud???
If you can't see the difference between a .99 game and a $60 game then need to go back and play with your toys. Also, EA makes about $35 per $60 game because of marketing expenses and middle men. That is the beauty of Origin/Steam. For those that want to shell out $15 for a jewel case and a paper insert... Well, it is time to change with the times, hoard something else.
Also, the price of a $60 game hasn't changed for about 10 years, can you name another product that can claim that? Look at movie tickets.
EA has a strong portfolio in in your beloved .99-$10. So don't be a "hardcore" gamer and buy the $60 games. Stick with disposable $.99 games, the demographic was developed just for you!
Here is the math since you don't understand:
I'm currently playing Borderlands 2, a $60 game on my $1000 gaming PC. I freakin love it, just as I did Borderlands 1. I have been playing almost everyday since September 18, I am still on my first of four characters and am about 3/4 through the game. I have spent about 70 hours playing so far. I imagine I will play this game for around 600+ hours over the DLC and lifespan of the game. So my entertainment is costing me 10 cents per hour.
I played Angry Birds and enjoyed it. I played for around 3-4 hours and then had enough. So if I had bought it, my entertainment would have cost me about $1 per hour or 10x what a $60 game provides. Not to mention sling-shoting birds at stuff doesn't really play in the same park as a totally immersive FPS RPG with a story and characters. The artwork and creativity is pretty amazing and humorous at times. You don't get that in a .99-$10 game.
I am a gamer and there are a lot of us out there, we were all that were out there (for decades) before tablets and smartphones came along to give you your flash-based "games". Core gamers aren't going anywhere. See Deus EX, DA, ME, COD, Warcraft, Madden, Starcraft, etc. etc. etc. We are not entertained by mindless flash garbage on a 4" screen.