Video Game Business

Home , Bejeweled (series), BloodRayne, Burnout (series), Diner Dash, Forza Motorsport 2, Gizmondo

Contents

Acknowledgments vi

Introduction: Video Games as a Global Phenomenon 1 1 An Industrial History of Video Games 12 Case Study: Atari 19 Case Study: Nintendo 34 Case Study: Sega 38 2 Market Structure, Audiences and Software Production 43 Case Study: Electronic Arts 54 Case Study: Activision-Blizzard 63 3 Video Game Hardware, Distribution and Retail 80 Case Study: Microsoft 87 Case Study: Sony 97 4 Video Games and Other Related Industries 111 5 Labour and Production in the Global Video Game Industry 140 Case Study: Electronic Arts, Rockstar and Labour 155 Case Study: Hollywood Unions, Video Games and Labour 159 Conclusion: Making Sense of the Global Video Game Industry 166

Bibliography 175 Index 217

Introduction: Video Games as a Global Phenomenon

Ten years ago, a book attempting to justify video games as a unique cultural industry would have been a tough sell. The common view was that they were just toys – admittedly fancy, costly toys, but toys nonetheless. Today, however, that view has changed. Video games have emerged as a fully developed industry that not only competes with but also often complements a wide variety of other cultural industries. Educators and academics have recognised their potential value as teaching tools since the first prototypes were developed in the 1960s. Similarly, concerns over potential negative effects, whether from too much time spent with video games or from exposure to violent content, have dogged the industry since at least the early 1980s. In 2004, the global video game industry first earned more than Hollywood’s domestic box office, a marker often used to demonstrate its growing importance. Moreover, a number of major media and communication companies began to use video games as integral parts of branding and advertising, including franchises such as Harry Potter, Lord of the Rings, James Bond and the NFL (Bloom, 2001; Bloom and Graser, 2002). Even popstar Britney Spears has a video game. The industry, which has tried to follow the Hollywood film system throughout its history, has even created its own hall of fame and the ‘Walk of Game’ in San Francisco (Harris, 2005). One doesn’t have to look far for examples of how significant and deeply ingrained video games have become in our day-to-day lives. They have been involved in a political scandal, as when a Norwegian representative was caught playing one during a major policy debate (CNN, 2003). Special ‘serious’ video games have been created for a variety of purposes. Serious games, which use the mechanics and capabilities of video games for training, have been used in a variety of areas including a number of political campaigns in the US. In fact, the ability of video games to energise the youth vote has led some experts to predict they’ll soon become a mainstay of most political campaigns (Foster, 2004b).Video games are being used as a part of medical treatment and have been the focus of debates about youth violence (AP, 2005b, 2005c; ESA, 2001; Johnson, 2004; New Zealand Herald, 2003). Industry studies show that video games are less and less toys for kids (ESA, 2002, 2004, 2005a, 2006, 2007). Increasingly, they’re facing the same questions of intellectual property

2 T H E V I D E O G A M E B U S I N E S S ownership and piracy as the recorded music and film industries (Chazan, 2005; Veiga, 2004). Moreover, the pedagogical value of video games has become so widely accepted that a school district in Michigan loaned PlayStation 2s to students to help them take advantage of educational software (Laskowski, 2005). Even the US military has shifted its long-standing use of video games into overdrive. The US Marine Corps has begun to use video game first-person shooter Doom (1993) to help teach its recruits tactics (McCune, 1998). Similarly, the US Army spent millions to develop and market its own video game, America’s Army (2005), to inform potential recruits about army life (Brickner, 2004; Nichols, 2009; Wadhams, 2005). Other groups have taken note, with Hezbollah creating two video games to help bolster its cause, while Damascus-based Atkar Games has created two games geared towards countering portrayals of Muslims in most Western-designed video games (Nichols, 2009). Most tellingly, an increasing number of universities around the world offer courses in video game studies and even degrees in video game design (Barlett, 2005; Carlson, 2003a; Foster, 2004a). Work in the video game industry has come to represent a major new hope for professional training in universities. Jobs in the industry have been described as ‘some of the best jobs the American workplace has to offer’ (Richtel, 2005b). In spite of this, increasing numbers of employees are leaving the industry or filing lawsuits citing unfair labour practices (ea_spouse, 2004a, 2004b). Understanding how the industry works is of paramount concern to video game studies, as education in the field is becoming professionalised. But there are other reasons a detailed examination of the industry is needed. Understanding the forces that produce video games that are violent or feature questionable portrayals may help provide solutions to those problems. Moreover, because the video game industry is seen as a desirable field to be employed in, with various policy and education institutions targeting game development for funding, an understanding of how different the video game industry is from other industries is needed. Changing technologies, including mobile phones and cloud-based services, are forcing the industry to adapt both its products and its structure. Time will tell whether these technologies represent a significant threat of disruption to an industry that is heavily concentrated and focused on only a small portion of the global market. Contextualising the potential for such a change is particularly important, as the industry, while global in terms of production, is much more limited in terms of consumption. Estimates suggest that eight countries made up approximately 80 per cent of global video game hardware consumption in 2009. The United States, Canada, Japan and a number of countries in Western Europe are the major consumers of video game products. Software production is even more

I N T r O D U c T I O N 3 concentrated, with three countries dominating the production of the bestselling video games of all time: the United States, Japan and the United Kingdom (Nichols, 2013). Such concentration has left many countries and regions to fend for themselves. Countries currently representing markets so small that sales data are rarely included in industry reports – such as Brazil, Argentina and India – are all likely to become important sites for game development (Peréz Fernández, 2013; Portnow et al., 2013; Shaw, 2013). In some cases, these differences can be explained in relation to infrastructure, particularly as the video game industry continues to push towards cloud-based gaming, which requires high penetration of networked technology and reliable, high bandwidth (Aslinger, 2010, 2013). Similarly, the advent of mobile gaming and of digital distribution has opened up game development in places poorly served by the mainstream industry (Moss, 2013). In other cases, political and cultural differences may play in. In a number of countries in the Middle East, for example, one limit on the penetration of video games is due to state concern with their apparent Western influences (Lien, 2013; Šisler, 2013). Finally, there are countries that are also limited by simple economics and labour factors. Lebanon, for example, has struggled bringing together workers who have the skills to make games, even as it has struggled with the political dimensions of gaming (Lien, 2013). In contrast, some countries able to supply the raw materials for the industry’s products or where they may be assembled include the Democratic Republic of the Congo, Ethiopia, Mozambique, Bolivia, Peru and China though the high cost of the final product leaves many unable to afford them.

The STudy of Video GameS The formal study of video games is just beginning. As games have gained in popularity, with expanding audiences and incorporation of more sophisticated technologies, they are now recognised as a unique embodiment of culture worthy of study. It is not uncommon for this study to come under the lens of cultural and textual analysis, research which insists that video games can have legitimate artistic value because they can – though not always – maintain complex narra- tives and design elements. More than simple entertainment, video games have become texts to be unpacked and analysed. The ability of video games to fulfil ideological roles has resulted in their reeval- uation by policy makers. Governments around the world have begun to ask questions and seek solutions to the problems and potentials raised by video games. Even seemingly unlikely institutions such as the US Army have increasingly integrated video games into their recruiting efforts (AP, 2002; Huntemann, 2009). Beyond this ideological and pedagogical potential, there are other industry- related concerns that, until recently, have received less attention. First, a number

4 T H E V I D E O G A M E B U S I N E S S of European countries and American states are actively working to subsidise local video game production because it is seen as a fast-growing, highly prof- itable, competitive industry. Second, questions dealing with software piracy and intellectual property are posing problems to the industry but have received little attention compared to piracy in film and recorded music. Because of this, it is surprising that the production of video games – the understanding of how the industry is structured and why – has been left largely unaddressed. Since researchers, consumers and policy makers have emphasised that video games can have profound ideological implications, it is ironic that they have largely ignored questions of how and by whom video games are actually created. This lack of attention is, in some part, due to the lack of respect given to the cultural commodity of video games and of the industry that produces them. Long considered a minor sector of other more important industries, it was not difficult to dismiss video games as inconsequential toys for children. It also owes to the success the industry has had at self-description and regulation. Video games have become more than just a subset of the computer or toy industries and, while they are often produced in conjunction with films and television shows, they are distinct entities. Thought similar to all of those products, video games are produced by an important industry, worthy of consideration on its own merits. Its level of concentration and its relations between labour and management should both be taken into account when thinking of an industry as more or less desirable. This study examines the mainstream production of video games in order to better understand the industry and what Bernard Miege refers to as the ‘logics of production’ (Miege, 1989). Figure 1 diagrams the key factors the video game industry has navigated in order to produce the particular logics of production that govern it. The figure, which draws on Sousa’s (2010) explanation of how national culture and regulation could result in distinctions within an industry, elaborates on the range of decisions made both at an industrial and product level. What it suggests is that a number of different factors – audiences and how to engage with them, intra- and inter-industry considerations and the role and location of state control on the industry – impact how video game production works and, in turn, the ways in which video game production itself can change how it relates to those factors in the future. In other words, a different set of choices produces a different sort of production and industry. Video game production could work in various ways. This is important because, while this book focuses on mainstream production, there exist both new challenges and a growing resistance to that industry and, indeed, games are produced that attempt to ignore or subvert the logics of the mainstream industry. Choices about what logics to follow help to create the rules of the distinct markets in which video games

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AUDIENCE • Type of audience courted • Style of engagement (entertainment, education, critique, etc.) • Type of interaction allowed to audience

INDUSTRY • Shelf life of product (planned obsolescence, franchise, etc.) • Ties to other cultural industries (release schedule, branding)

STATE • Regulatory environment (self, government, etc.) • Ties to state apparatus

INDUSTRIAL FORMULATION AND DECISIONS

May result in: • Censorship • Ties between state and industry (ex: games representing state views)

May result in: • Convergence of industries • Labour challenges • Intellectual property challenges • Emphasis on ‘risk averse’ products over creativity

May result in: • Demographics determining content • Conflict between longer-term audience and newer ones • Audience creation as part of product (mods, community, etc.) • Alternative game styles (serious games, art games, etc.) • Alternative funding strategies (Advergames, etc.)

Figure 1 Forces Impacting Video Game Cultural Logics Source: Based on Sousa (2010). are made and sold, as well as labour patterns, methods of production, distribution, marketing and retail practices which bring video games to the point of consumption. Such logics suggest not only the ways in which a particular industry or institution works but also the reasons why it must work in these ways. The logics of the production of video game commodities are a key factor in the messages and ideologies conveyed. Central to the understanding of an industry and its logics is an examination of a product’s markets and consumers – in this case, audiences. As this study shows, the markets and audiences for video games are more significant and varied demographically, though still highly concentrated geographically and economically, than is often acknowledged. However, this study does not attempt to address how a video game will affect players or what those players will take from (or bring to) a video game. This book does not seek to explain how messages are constructed or why certain messages

6 T H E V I D E O G A M E B U S I N E S S are more popular than others, except by suggesting that particular types of messages may be more advantageous economically. Instead, this study seeks to provide at least part of the structure that surrounds these questions. If we want to understand the significance of any game, whether it is Pac-Man (1980), Grand Theft Auto: Vice City (2002), Bully (2006) or Manhunt (1983), or even America’s Army, one of the things we need to know is how making a game serves the interest of its producers. Once we have a sense of how and why they made a game, we can better address questions about the effects and meanings of those games. Video games are cultural commodities – the products of a cultural industry organised through the capitalist exchange of goods. As with most media commodities, they have the potential for considerable ideological influence. In part, the conditions under which they are produced and the forces to which they must respond impact the ideologies video games convey. In order to better understand these decisions, this study examines not only the industry as a whole but also the individuals and institutions involved in production. It places video games into a historical context and supplies a motivation for the particulars of production. How video games are produced has helped establish the business as a major media industry in its own right. As with other media industries, the video game industry’s status owes to its successful courting of a highly diverse group of consumers. But it also relies on a high degree of concentration, tight control over the products and who can produce them, and on maintaining its control over content rather than allowing outside regulation. These factors have heavily impacted the relationship between labour and management within the industry as well as how video games are tied to other media. This has played out in two major areas: the convergence of technology and the rise of advertising.

Video Game economicS Although limited, there has been some examination of the economics of video games. One of the earliest economic examinations provided an excellent linkage between their production and the Western military-industrial- communication complex (Toles, 1985). Little attention has been given to these ties following Toles’s study, but in her work lies the foundation for a critical understanding of the video game industry. Instead, later studies have typically focused on the software side, ignoring the production of the various hardware commodities that are also vital to success. A second thread of studies has focused on the portrayals of economic systems within video games. A number of games, in particular online ones such as Ultima Online (1997) and EverQuest (1999), have developed peculiar ‘virtual economies’, which have begun to spill over into the real world (Castronova,

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2001, 2002, 2005). Typically this has occurred as a result of the accumulation of virtual property that is then sold to other players in the real world. The sale of virtual property has become a chief source of revenue for online games and has gained the attention of regulators in countries and regions, including China and South Korea, where online gaming is particularly popular. Others have moved beyond this to suggest that the study of video games needs to more accurately portray the targeted audiences (Newman, 2002). This will be discussed in more detail in Chapter 2 as part of the analysis of the current industry structure. The audience commodity is crucial to the industry and has fallen, as have most areas of technology, into gendered categorisations (Meehan, 2002). This is a dangerous precedent and must be avoided because, as discussed in Chapter 2, the audience has had to shift in response to evolving logics of consumption. One move to understand video games as an economic force emerges from the industry and related sectors. These studies recognise the games as entertainment but also as marketing and policy forces that can be understood, controlled and/or exploited. On one hand, these studies seek to deal with the implied danger of marketing violent content to children as in Anders’s 1999 study. Ultimately, her examination suggests that the industry has to toe a deli- cate line on the issue of violence, though she does not address the overemphasis on violence in video games in media and research (Anders, 1999). The relation between video games and marketing has only grown more complex as the industry has matured. The modern industry has developed a complex strategy, which may rely on marketing at different phases of the development process, the use of players’ in marketing efforts and the range of ways to use games as marketing devices (Zackariasson and Wilson, 2012). Thomas Hemphill attempts to address the problem of violence in entertainment industries, including video games, by suggesting alternative issue management techniques and ways entertainment media can take better advantage of political views within the US. While his work does not focus explicitly on video games, his suggestions and concerns are mirrored in the literature – particularly in the news media (Hemphill, 2002). More recently, however, researchers have begun to acknowledge the similarities and differences between the video game industry and other media forms. Dmitri Williams lays out the initial structure of the industry, consisting of publishers, developers and hardware manufacturers. He also acknowledges the role of retail and advertising in the economics of the industry. Williams’s work, however, exhibits little concern with the level of concentration in the industry. Moreover, he does not address the problematic labour situation or any of the trickier matters of property control (Williams, 2002, 2003a).

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In contrast, Nick Dyer-Witheford offers a critical view of the labour practices, noting that the industry is increasingly taking advantage of transnational labour. He also points out that this labour is highly gendered (Dyer-Witheford, 1999). In later work, he begins to suggest a class structure within the industry that tends to fall along income and educational lines in addition to those of gender and nationality (Dyer-Witheford, 2002; Dyer-Witheford and De Peuter, 2009). Like much of the study of game hardware production, however, these studies focus on console production ignoring, in particular, the impact of handheld games on the industry. One of the best examinations of the global dynamics at play within video game production, his work suggests many questions about the nature of industrialised video game labour. As Zackariasson and Wilson note in relation to marketing, game players often contribute more than their consumption (2012). The industry also exhibits a particular set of labour practices that rely on the work of consumers. Most notable of these is the concept of ‘modding’ or the creation of game expansions by fans, which tends to occur particularly in the action and Role-Playing Game (RPG) genres. These, however, are only some of the ways players might take on the peculiar function of labour in the industry (Postigo, 2003). Along similar lines, Klang examines the struggles of ownership between fans and the industry. Drawing on ideas raised by Castronova, Klang examines the ways in which ‘avatars’ – or the representations of players in games, particularly RPG and Massive Multiplayer Online Role-Playing Games (MMORPG) – become contested zones of intellectual property (Klang, 2004). Raising more questions than it answers, Klang’s study suggests a number of interesting directions in which video games may force the ongoing intellectual property debates plaguing communication industries. These questions are particularly crucial in China and other countries where online gaming is popular (Chung and Fung, 2013; Ihlwan, 2007; Rosenberg, 2010). Two of the most in-depth examinations of the industry have come from European scholars. The first focuses on the battle in the European market between 16-bit consoles in the mid-1990s (Hayes et al., 1995). While primar- ily a historical study, a number of illuminating features are first analysed here in the economic literature. Europe has historically been treated as a secondary market for video games, with hardware lagging roughly a generation behind. As will be discussed in Chapter 1, one measure of the industry’s history is marked by console generation. Each new issue of a console, which tends to happen every three to five years, is marked as a new generation. For much of the industry’s history, the consoles available in many markets, including Europe, were one generation behind what was available in the North American and Japanese markets. It is in the period scrutinised by Hayes et al. (1995) that

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Europe begins to emerge as a primary market with its own systems of production and distribution. But the authors also discuss the use of planned obsolescence as a marketing tool, something acknowledged in earlier (primar- ily industry) literature, but not examined. In contrast, Kerr (2006a) details a more recent and more global perspective on the video game industry. Kerr situates video game production firmly within the question of video game meaning, allowing the global nature of the industry to be seen as a factor in the ways in which games themselves are used. This also reinforces the view that video games must be seen as creations of culture even as they are tools that can enforce a culture’s dominant views. Kerr also furnishes a useful sketch of the European market in spite of the scarce data available, pro- viding a good sense of not only how games are made but of how the costs for them break down in the European case (Kerr, 2006a). She has also examined the challenges the UK and Irish game industries face in a globalised production system, with increasing labour shortages (Kerr, 2012). The questions her work raises are particularly important as the video game industry has become a focus of a broad range of policy initiatives within the European Union and a number of individual member nations (Kerr, 2013). The book Digital Play examines similar issues, drawing on political economic concerns as a means of discussing the marketing of video games as a cultural force for audiences to respond to (Kline et al., 2003). While proffering some excellent frameworks for understanding the overall layout of the industry, little attention is given here to the system of production itself. Rather, video games are treated as cultural texts that must be understood in terms of their messages and marketing as a system for audience response and understanding. Finally, the nature of competition internationally within the industry has raised the question of territorial lockouts. Territorial lockouts occur when the industry creates products that only work in particular geographic markets – for example, DVDs that will play on machines sold for a specific market. The video game industry also creates products with these lockouts in mind. Ip and Jacobs (2004) attempt to examine reasons for this practice, concluding that the video game industry seems unsure about it, but has tended to follow it for almost traditional reasons: to protect against piracy and to spur creativity. However, their study suggests that both consumers and producers are increasingly sceptical about the practice. Such a practice also raises important concerns in regards to cultural imperialism that go unaddressed within the study and the industry. These studies often suggest that it is important to think of video games as more than an American or Japanese product. Like the film and larger computer industry, the video game industry has gone global, incorporating not only global audiences but global forms of production as well (Kerr and Flynn,

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2002). In addition, the industry has cemented ties and borrowed forms from other industries, most notably film (Howells, 2002). This trend has continued and is reflected in the current structure of the industry discussed in Chapter 4. The field of video game studies has grown considerably in recent years. It is imperative that this field pay attention to the institutional nature of the commodities and texts being studied in order to better ground their understanding of how they are used and what they mean (Douglas, 2002). Video game commodities have evolved beyond being toys for adolescent boys; indeed, they were never that simple. Video games must be viewed as unique cultural artifacts – both tool and art – that can be used in a variety of ways for a variety of purposes by a range of players. Video games are capable of both reinforcing and sub- verting ideologies and stereotypes. However, what the field of video game studies is lacking must also be considered. It seems clear that to better make sense of how video games work in terms of play and meaning, an in-depth, systematic analysis of the industry within its historical context is necessary. Based on the existing literature discussed above, a number of important trends warrant examination at the institutional level. First, the video game industry has become one of the dominant cultural industries of our age that earns billions in revenue; employs a substantial, globalised labour force; and draws the attention of a sizeable audience across a range of platforms. Second, the industry is tied to a number of other industries including the film and computer industries, becoming an important factor in their profitability. It has also attracted increasing attention from policy makers because, as a burgeoning sector in the information and creative industries, it is seen as important to growth and development. Third, the continued anxiety about the effects of video games requires a consideration of how games are produced. Despite some public concern – and even state interest – about video game effects, the policing of content has all too often been left to the industry. Fourth, the rise of video game studies as a field of academic interest has resulted in the creation of game studies programmes at a number of universities around the world. These programmes have focused largely on professional development. If only for the pragmatic reason of understanding the industries such programmes are training students for, a systematic study of the video game industry is required. Fifth, histories of the industry have managed to present it in a largely ahistorical and acultural fashion. Some attempt that considers the industry in relation to the events, institutions and culture surrounding its development is necessary. Finally, the shift felt in both effects and cultural research regarding who uses video games and to what end calls for a more thorough understanding of the practices engaged in directing the industry’s activities: at

Index

Notes t = table/diagram. Page numbers in bold indicate detailed treatment. Titles of games etc. do not distinguish between media unless speciﬁc distinction is made in the text. Consoles are listed under the developer’s name except in a few cases receiving extended or frequent mention.

8 Mile (2002) 120 Age of Mythology 89t Atari cont. A.I.: Artificial Intelligence failures/losses 21, 22, 27, Act of War 20t (2001) 127 32, 45, 170 Activision-Blizzard 11, 56, Aktar Games 2 impact in Europe 22 63–7, 129 Alcorn, Allan 25 lawsuits 23, 24 bestselling games 56, 65–6 AMD 80 market share 21–2, 34, 62t corporate profile 64t American Idol (2001–4) 50 marketing 31 global expansion 66 America’s Army (2005) 2, 6, reasons for success 24, 30 lawsuits 66–7 72 reissue of old games 67 market share 53t, 60t, 62, Anders, Kelly 7 relations with smaller 62t animation(s) 124–5 developers 20 merchandising 65, 66 in-game creation 126–7 relaunch as public company sales 64t AOL 141–2 24–5 actors, voice work in video AOL Games 69 representativeness of games 126 Apple 92–6, 103 industry as a whole 19, adults, proportion of development costs 96 20 purchasing audience distribution of profits 96 sale/purchase of company 33–4, 42, 49–50 labour conditions 147 21, 22 Advanced Research Projects products see iPad etc. sales figures 20t, 21 Agency (ARPA) 15, 17, arcades/arcade games 25–6, successes 21–2, 23–4 81 32–3, 105–6 Atari consoles advertising 134–7, 139, 168, 21st-century remodelling 400 19 169–70 105–6 2600 14t, 19, 26t cross-media 111–12, 120 decline 105 2600 Junior 26t in-game 136–7 early dominance 13–14, 14t 5200 26t measurement of as test markets 105 7800 26t effectiveness 137 The Art of Halo (2004) 131 Jaguar 27t spending on 134–5, 136 Assassin’s Creed 58t Jaguar CD 27t see also custom games Asteroids (1979) 20t, 21 Lynx 25, 26t, 29 Aerosmith 130 Atari 11, 18–19, 19–25, 38, PONG 26t AFTRA (American Federation 105, 126, 156 Stunt Cycle 26t of Television and Radio audiences 34 Super PONG 26t Actors) 159–60 corporate profile 20t Video Pinball 26t Age of Empires 89t expansion (1980s) 22–3 Atari Flashback 20t

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Atlus USA 60t BloodRayne (ﬁlm, 2005) 124 CDs, playability via computer audience(s) 32–4, 48–52 BloodRayne (game, 2002) 80, 86 age 13, 16, 32–4, 42, 124 Centipede 20t 49–50, 49t, 52, 68, 85, Blu-ray 81 Cerrati, Michael 130 117, 127, 170 BMX XXX (2002) 74 children diversity 48 Boll, Uwe 124 exposure to inappropriate expansion 78, 111 books, games inspired by content 7, 108–9 gender 50–2, 50t, 68 131 increased media access 111 national/regional The Bourne Supremacy (2004) mobile apps aimed at 96 distribution 48–9, 51t 120 seen (wrongly) as primary studies 7 Brain Age/Brain Training 35t audience 13, 33, 42, 88 targeting 5t, 7, 10–11, 16, Brave (2012) 125 as target audience 40, 85, 33, 40 Brutal Legend (2009) 67 117–18, 125 audio workers 149 Buena Vista Games 123t China gender 152t, 154t Bully (2006) 6, 158t game regulation 7, 77, 161 salaries 149t, 154t Burnout 3 59t online gaming 66, 161 Australia Burnout Paradise (2008) outsourcing of production age of gamers 50 136–7 to 82, 90, 144–6, 151 female gamers 51, 51t Bushnell, Nolan 18, 20–1, video game market 45, 48, handheld sales 92t, 93t 30, 105 59, 66 ratings system 74, 75t business staff see management workers’ earnings 145–6 sales by genre 71t, 72 Butterﬂy.net 81 chips, developments in 26 software sales 57–8, 59t see also microchips video game market 49 Call of Duty (2003) 63, 64t, Christmas, game sales video game production 168 65 concentrated around Avalanche 63 Call of Duty franchise 65–7 18–19, 25, 47, 140, 168 Call of Duty: Modern Warfare Chrysler 138 Bally Manufacturing 2 (2009) 65, 66–7 Clancy, Tom 131 Association 40 Call of Duty: Modern Warfare CLC (College Licensing Professional Arcade console 3 (2011) 65–6 Corporation) 132 26t Call of Duty 4: Modern Cole, David 100 Bandai 127 Warfare 58t, 59t Coleco consoles WonderSwan console 27t Campbell-Kelly, Martin 28 Colecovision 26t Battletech Center 105 Canada Gemini 26t Bayonetta 39t game industry Telstar 26t The Beatles: Rock Band (2009) employment/salaries Telstar Alpha 26t 52, 129–30 149t, 150 Telstar Arcade 26t Bejeweled 69 game regulation 73, 74, 75t Telstar Classic 26t BestBuy 109, 168 Capcom 60t Telstar Colortron 26t ‘Beta testers’ 143, 149 Carnegie Mellon University Telstar Combat 26t earnings 150 162 Telstar Gemini 26t Big Brain Academy 58t Cartoon Network 127 college athletes, licensing of BioShock (2007) 135, 158t Castronova, Edward 161 132–3, 138–9 BioShock 2 (2010) 135 casual games 67–9, 101, 134, Coltan (mineral) 146 BitTorrent 77 137–8, 171 Comcast 128 Black and White 89t interest of established Command and Conquer Blondie 129 developers in 69 franchise 54t, 116t

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commodification (of video Counter Strike 103t Dr. Kawashima’s Brain game production) 169 Crash Bandicoot franchise Training 58t Commodore 64 PC 29 64t, 98t, 116t Dragon Ball Z 20t Commodore International Crazy Taxi (1999) 39t, 77 Dragon Quest franchise 116t Ltd 22, 23 ‘crunch time’ 148–9, 155–6, Dragon Quest IV: comp (compensatory) time 157–9, 164 Michibikareshi Monotachi 156–7 custom games 137–8, 139 58t computer industry, DreamWorks SKG 118–19 employment in 141–4 Dafoe, Willem 159 DreamWorks Animation (non-)unionisation 141–3 Dave and Buster’s 124 similarities with video game (restaurant/arcade chain) Duck Hunt (1984) 117t, 118 industry 142–3, 150, 105–6 Dungeon Siege (2002) 124 154–5 Day of Defeat 103t Dungeons and Dragons 20t computers Dean, Howard 72, 111 DVDs, playability via early history 16 Def Jam (band) 52, 129 computer 80, 86 increasing memory capacity Def Jam (game franchise) 52, Dyer-Witheford, Nick 8, 16 18 54t see also computer industry; Del Ray Publishing 131 ‘E’ (universal) rating 75–6 home computers Democratic Republic of the ea_spouse see Hoffman, Erin Congo see Democratic Congo, minerals sourced Eastern Europe, outsourcing Republic of the Congo from 82, 146 of production to 151, 168 consoles designers 149 Eastwood, Clint 125 adaptation for non-gaming gender 152t, 154t eBay 77 purposes 81 salaries 149t, 154t education, and video games bestselling 85t Diablo 64t 162–4, 172 competition between 40–1, digital distribution 100–4 breakdown by country 163t 83–7 (potential) impact on Electronic Arts 11, 24, 45–6, development, by decade industry 104, 174 54–6, 70, 95, 129, 167 26–7t specialised distributors college sponsorships 163–4 dominant companies 83–5, 103–4 corporate profile 54–5t 83t Diner Dash (2003) 68 focus on video game as driving force in industry Dirty Harry (1971) 125 development 55–6 109 Disney 96 franchises 54t, 115, global production levels 83 acquisitions 63, 69, 123t 116–17, 116t market share 56, 57t, 83t, Channel 127 job cuts 157 84t, 86t, 99t corporate profile 122–3t labour practices 77, 155–7 networking 15, 37–8 game development unit lawsuits 77, 155–7 prices 33, 34, 84–5, 101 118–19, 122–4 licensing/merchandising sales by country/region 86t Interactive Studios 60t, deals 38, 56, 63, 72, superseded by home 123t 132–3, 138 computers 27 licensing revenue 117 market share 53t, 60t, 61, see also handhelds DJ Hero (2009) 129 62, 62t convergence 85–6, 87–8, 171 Donkey Kong (1981) 35t, 37, mergers/acquisitions 69 ‘Convergence Epoch’ 116t revenue per employee (2000–10) 14–15, 14t, Doom (1993) 63 156–7, 156t 109 Dora the Explorer 158t sales 47t, 48, 54t, 56, 137 Corcoran, Elizabeth 143 dot-com industry 142 studios owned 55t

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electronic games, rooms employment cont. film industry cont. devoted to 33–4 see also ‘crunch time’; dominance of film 118, 120 Electronic Software player-centred labour; licensing deals 117–18, Association (ESA) 34 unionisation 119–20, 138 Electronics Boutique 106 Enter the Matrix (2003) 126 shelf life of products 120 Emerson Arcadia 2001 Entertainment Software see also films; Hollywood console 26t Association (ESA) 70–2, films employment (in video game 75, 154 based on video games industry) 2, 140–60, Entertainment Software 120–1, 121t, 124 164–5, 172–3 Ratings Board (ESRB, formatted for games age of employees 142, US) 73 machines 120 152–3, 159 Epoch Pocket Computer 26t tools for making in-game bonuses on offer 142, 150, ESPN 63, 132, 158t 126–7, 172 156, 165 E.T. the Extra-Terrestrial video games based on closures/layoffs 143, 151, (1982) 21–2, 24, 32, 118 21–2, 63, 120–1, 125–6 157 Europe see also Hollywood compared with age of players 49–50 Final Fantasy franchise computer/information game regulation 75t, 169 (1987–) 61, 98t, 116t industries 141–4, 150 gender of players 51, 51t Finding Nemo (2003) 125, comp(ensatory) time hardware preferences 86–7 127 156–7 impact of individual Finland creation of jobs 141 developers 22, 36 age of gamers 50 credit for work 157–9 salaries 149t gender of gamers 51, 51t demography 151–3 sales by genre 72 Flight Simulator 89t disputes/lawsuits 77, software sales 57–8, 58t Forza Motorsport 2 59t 155–9, 165 video game market 8–9, ‘Foundational Epoch’ distinguished from other 44–5, 48, 144, 168 (1972–6) 13–14, 14t, 19 creative industries video game production 149 Fox 142–3 EVE Online (2003) 161 Animation Studios 124 duration of employment EverQuest (1999) 6–7, 161 Interactive 77, 119–20 153, 165, 168, 172–3 TV network 127 gender of employees 8, Facebook 65, 68 France, handheld sales 92t, 143–4, 152–3, 152t, 154t, Fairchild Electronics 18 93t 159, 163, 165, 173 Channel F console 26t franchises 57, 115–27 job (dis)satisfaction 153, Farmville (2009) 68 bestselling 116t 165, 168–9, 172–3 FIFA (Fédération rise in popularity 115 labour practices 8, 38, 77, Internationale de Football target audience 117–18 144, 150, 164 Association) 134 Frogger (1983) 59t (notional) benefits 140–1 FIFA franchise 54t, 134 From Russia with Love (1963) numbers employed 142 FIFA ’13 (2012) 134 70 overtime, unpaid/disputed FIFA 2008 58t 155–7 film industry, links with video Gamasutra.com 157 salaries 145–6, 149t, 150, game industry 79, Game Breakers (2003) 138 153–4, 153t 115–27, 170–1 Game Developer Magazine skills 140–1, 164 comparison of box office 163–4 working conditions 144–7, and game sales 118, 119t, Game Show Network 127 164–5 171 GameFly 108

I N D E x 2 2 1

Gameloft 104 Greenpeace 146 Harry Potter and the Sorcerer’s Gamepark GP32 console 27t Guitar Hero (2005) 64t, 67, Stone 117t GameStop 106–7 102, 129 Hawkins, Trip 24, 55 corporate profile 107t Guitar Hero: Aerosmith (2008) Hayes, Michael 8–9 Gamewatch.org 156 130 HD compatibility 86, 89–90 Gangster: West Coast Hustle Guitar Hero III: Legends of Hemphill, Thomas 7 (2009) 104 Rock 59t Henson, Jim 124 genre(s) 30–1, 67–72 Gulf & Western 39–40 Hezbollah 2 sales by 70–1tt, 70–2 history of video games 11, Germany .hack/sign (2002) 127 12–42, 14t, 41–2 handheld sales 92t, 93t Hajimete no Wii 58t epochs in 13–15, 14t, 19 ratings system 74, 75t, 169 Half-Life (1998) 103, 103t Hoff, Ted 27 Ghost Recon franchise Hall, Jason 126 Hoffman, Erin (ea_spouse) (2001–) 131 Halo franchise (2001–) 57, 155–6, 157 Gizmondo console 27t 77, 88, 89t, 126, 135 Hollywood global financial crisis Halo 2 (2004) 56–7 alliances with developers (2008–9) 143, 151 strategy guide 131 42, 118–20, 168 globalisation 90, 168–9 Halo 3 (2007) 59t, 118 back catalogue, games Go, Diego, Go 158t development costs 148 based on 125–6 God of War 98t handhelds 91–6, 98–100 misunderstanding of video The Godfather (1972) 70, bestselling 85t games 121–2, 170 125, 126 competition to 99–100 as model for video game Godzilla 20t main developers 36 industry 42, 45–6, 55, 56, GoldenEye: Rogue Agent market shares 91, 100t 63, 73, 138 (2004) 157 price of games 99 profit margins 116 Google 69, 92 rise in popularity 25, see also actors; film industry; governments, involvement in 29–30 films game production/research sales by country 92t, 93t Holmdahl, Todd 88 2, 3, 10, 15, 44–5, 76, hardware 80–101, 167 home computers 151–2, 162 impact on other media increased use for games 29 see also regulation technologies 81, 82 preferred genres 72 Gran Turismo franchise 98t, multimedia capabilities rise in popularity 19, 26, 116t 80–1 27, 29, 29t Gran Turismo 4 59t outsourcing of production House of the Dead (2003) 124 Grand Theft Auto franchise 82, 90, 141, 144–6, 164, Howard Dean for Iowa (2003) 104, 116t, 157, 158t 168–9 72, 111 Grand Theft Auto: San Andreas planned obsolescence 30, (2004) 56–7, 59t, 74, 118 32, 128, 140, 168 IBM 80, 81, 86 Grand Theft Auto: Vice City resource supply chain 145t microchip design/ (2002) 6, 117t trends in 25–30 manufacture 90, 113–14 accompanying albums 129 types 45 In the Name of the King (2006) Grand Theft Auto 4 (2008) upgradeability 30 124 101–2 see also consoles; handhelds; The Incredibles (2004) 77, Grandmaster Flash and the home computers; 125, 135 Furious Five 129 microchips India, outsourcing of graphics, (early) lack of Harry Potter franchise 1, 54t, production to 82, 144, sophistication 25–6 56, 116, 125 151

2 2 2 T H E V I D E O G A M E B U S I N E S S

Infogames 24–5, 62t, 67 Japan cont. Lineage franchise 116t information industry 141–4 salaries 149t litigation employment trends 143–4 sales by genre 72 between game developers wages 153–4 software sales 57–9, 58t 23, 24, 66–7 Intel 80, 88, 90 trade agreements 38 brought by employees 77, Pentium 3/4 chips 113–14 video game market 36, 44, 155–9 rise in profits (1970s) 28 48–9, 144, 168 Lizzy McGuire (2001–4) 50 intellectual property 8, 77, video game production 44, The Lord of the Rings trilogy 162, 171–2 46, 149 (2001–3)/franchise 1, see also employment: credit Journey (band) 128–9 54t, 56, 120–1, 125 for work Journey Escape (1982) The Lord of the Rings: The Interactive Entertainment 128–9 Battle for Middle-Earth Merchants Association (2004) 157 (IEMA) 74–5 Kent, Steven L. 28 LucasArts 60t, 115, 120–1 Interactive Software Kenya, mobile gaming in Federation of Europe 104 ‘M’ (Mature) rating 74–5 (IFSE) 48 Kerr, Aphra 9 ‘machinima’ 126–7 Internet Kingdom Hearts 122t, 123t Machito and his Afro-Cuban creation 15 Klang, Mathias 8 Orchestra 129 creation of new jobs 141–2 Kline, Stephen et al., Digital Madden, John 132 file sharing 77 Play 9 Madden NFL franchise social networking sites 65, Konami 60t, 62t (1993–) 54t, 115, 116t, 68 Kotick, Bobby 65 132 see also online games; social Madden NFL ’13 (2012) 132 games Lara Croft, Tomb Raider Mafia Wars (2009) 68 IOC (International Olympic (2001) 121t, 124 Magnavox consoles 34 Committee) 133 Lara Croft, Tomb Raider: Odyssey 26t Ip, Barry 9 The Cradle of Life (2003) Odyssey 100 26t iPad 94, 96, 134 121t, 124 Odyssey 200 26t iPhone 92–3, 99–100, 134 Lebanon Odyssey 300 26t apps, development costs 96 governmental use of video Odyssey 400 26t growth in sales 94–5 games 2 Odyssey 500 26t iPod 91, 92–3, 94–5, 134 video game production 3 Odyssey 2000 26t Iran, ratings system 75t Left for Dead 103t Odyssey 3000 26t iShoot 96 The Legend of Zelda 35t, Odyssey 4000 26t 116t Maguire, Tobey 159 Jackson, Michael 129 licensing 62–3, 78, 115–27, management Jacobs, Gabriel 9 138, 167, 169–70 departments 149–50 James, Rick 129 agreements with sports relationship with workforce James Bond franchise 1, 54t, franchises 56, 63 169 56, 64t, 70, 115, 116, 116t cross-media 38, 117–18, salaries 149t, 153–4, 153t, Japan 119–20 173 handheld sales 92t, 93t imbalance of agreements Manhunt (1983) 6, 76, 158t hardware preferences 86–7 118 Mario Party 8 58t, 59t ratings system 74, 75t, 169 see also films; sports games Mario Party DS 58t relations between Limbaugh, Stephen, Judge Markoff, John 81 developers 90–1 73 Marvel Comics 122t, 124

I N D E x 2 2 3

Massachusetts Institute of Microsoft cont. mobile games 68–9, 91–6, 171 Technology 162 HD compatibility, benefits to software Massive (advertising group) introduction of 89–90 developers 95–6 137 losses 85, 88, 144 comparison/competition The Matrix trilogy market share 53t, 59–61, with handhelds 99–100 (1999–2003)/franchise 60t, 62, 62t, 83t, 99t costs of development 95, 20t, 126 online distribution system 96 Mattel consoles 102–3 deals between developers Intellivision 26t price wars 84–5, 87 and telecom companies Intellivision II 26t publishing operation 53 93 Maverick Records 129 relations with game impact on industry 104 Max Payne franchise 157, developers 90–1 opening up of new regions 158t sales 47t, 48, 89t 104 McGregor, Ewan 159 software development price 99 McGuire, Mike 102 61–2 profit levels 96 Medal of Honour 54t unique chip, design of 90 ‘Modularity Epoch’ Mega Man franchise 116t Microsoft consoles see XBox; (1976–2000) 13–14, 14t, merchandising 56, 63, 65, 66, XBox 360 19 169–70 Middle East, mobile gaming Monster Hunter Portable 2nd Michael Jackson’s Moonwalker in 104 58t (1989) 129 Midnight Club 158t Montag, Sandy 132 microchips 112–14 Midway Games 60t, 105, Moore’s Law 18, 80 development of 27–30 121–2, 124, 128 Mortal Kombat franchise dominant companies 80 Miege, Bernard 4 (1992–) 105, 116t individualised capabilities military games see US Army, Mortal Kombat (film, 1999) 114 recruitment/training 121t manufacture 82 games Motion Picture Association of market shares 113t Milton Bradley 18, 28, 33–4 America (MPAA) 73 mineral resources 82 Comp IV game system 33 MTV 102, 127, 128, 129–30 outsourcing of production Microvision console 26t The Mummy Returns (2001) 82 minerals, sourcing of 72, 120 stabilisation of market 28 146–7, 147t The Muppets 124 toxic Missile Command (1980) music components/procedures 52 games based around 52, 82, 146–7 MLB (Major League 128–30 unique to one developer Baseball) 133 industry, similarity with 90, 114 MMORPGs (Massive video games 79 Micromania 106 Multiplayer Online Role- licensing arrangements 130 Microsoft 11, 87–91, 167, Playing Games) 6–7, 8, MVP Baseball 54t 171 67, 160–2, 165 MySpace 68 bestselling games 56–7 compared to real-world Myst: The Official Strategy Chinese manufacturing economies 161 Guide (2004) 131 centres 90 intellectual property in 77, corporate profile 89t 162, 171–2 Namco Bandai 60t development strategy scale 81 NASCAR 54t 88–91, 144 trading of assets in real- NBA (National Basketball directors 88 world currency 7, 161 Association) 132

2 2 4 T H E V I D E O G A M E B U S I N E S S

NBA Live 54t Nintendo cont. Nintendo consoles cont. NBA Street 54t corporate proﬁle 35t Super Nintendo 2 27t NCAA (National Collegiate dominance of market areas Virtual Boy 35t Athletic Association) 91, 98, 117–18 Wii see separate main heading 132–3, 138–9 franchises 35t, 37, 115, Nintendogs 35t, 59t, 117t NCAA Football franchise 54t 116t, 117–18 Nokia 41, 92 NCAA Football 2005 (2004) game ratings 75–6 Noughts and Crosses see Tic- 132 impact on US market 36 Tac-Toe NCSoft 60t investigation by US legal nVidia 80, 90, 112, 114 NEC consoles bodies 38 Turbo Express 26t labour practices 38 Obama, Barack 136–7 Turbo Grafx 16 26t lawsuits 24 Olympic Games, video games TurboDuo 27t market share 35–6, 57–8, based on 133–4 Need for Speed franchise 54t 59–61, 60t, 62, 62t, 83t, Olympic Gold (1992) 133 Need for Speed: ProStreet 58t 91, 99t online games 67–70 Need for Speed: Underground 2 microchips 90, 113, 114 ﬁle sharing 77 59t as model for industry 34, 37 popularity in Far East 45, Need for Speed: Underground networking of consoles 66 Platinum 59t 37–8 see also casual games; NetEase 66 online distribution system MMORPGs; social games NetFlix 108 102–3 Open Season (2006) 125 networking 15 reasons for success 37–8 Osbourne, Ozzy 129 developers’ moves into regional markets 36 overtime 37–8, 81 retail outlets 106 time off in exchange for ‘Networked Epoch’ sales 35t, 36, 47t, 48 156–7 (2010–) 14t, 15, 109 target audiences 34, 85, unpaid/disputed 155–6 Neverwinter Nights 20t 117–18 New Super Mario Bros. 58tt, Nintendo consoles Pac-Man (1980) 6, 21, 52 117t 64 27t, 35t, 40, 85t Pacino, Al 126 New Zealand, game DS 27t, 35t, 85t, 93t, 95 Panasonic consoles regulation 75t, 76, 169 Entertainment System 3DO FZ-10 27t NFL (National Football (NES) 14t, 26t, 35t, 36, 3DO Interactive 27t League) 132, 133 40, 85t Paramount 124, 131, 137 NHL (National Hockey Entertainment System 2 patents, violations of 77 League) 132–3 27t PBS Kids Sprout 96 NHL (game franchise) 54t, Game and Watch 26t Perfect Dark 89t 132 Gameboy 26t, 29, 35–6, Periscope (1965) 39 NHL ’13 (2012) 132–3 35t, 85t, 91, 93t, 98 PGA Tour 54t Nicholas, Ethan 96 Gameboy Advance 27t, Pimp My Ride (2004) 128 Nickelodeon 96, 127 35t, 85t, 93t piracy 76–7 Nike 138 Gameboy Color 27t Pirate Islands (2002) 127 Nintendo 11, 19, 23, 34–5, Gameboy DS 91 Pirates of the Caribbean 42, 44, 167, 171 Gamecube 27t, 35–6, 35t, franchise 122t, 124 advertising 37 40, 75–6, 85t Pitfall! (1982) 63 competition 37, 40–1 N-Gage 27t Pixar 124–5 control of products 34, 38, Super Nintendo (SNES) Playdium.net 105 45 27t, 35t, 85t Playdom 69

I N D E x 2 2 5

player-centred labour 160–2, Prince of Persia: The Sands of RedBox 108 165, 171–2 Time (2010) 121t regulation 72–8, 169 Playfish 69 Pro Evolution Soccer 2008 58t national systems 75t, 78 PlayStation 2 14t, 27t, 30, 40, Pro Skater (1999) 136 state-level (US) 73 98t producers 149 see also rating(s) compatibility 86, 97 gender 152t, 154t rentals 108–9, 168 competition with rival salaries 149t, 154t breakdown by outlet models 85t programmers 149 108t customers’ loyalty to 44, gender 152t, 154t Resident Evil (2002) 124 81, 84, 108, 109 salaries 149t, 154t Resident Evil: Afterlife (2010) marketing 135 PSP (PlayStation Portable) 121t sourcing of materials 146 27t, 36, 85t, 91, 93t, Resident Evil: Apocalypse technological capacities 98–9, 98t (2004) 121t 97 films especially formatted retail 106–9, 168 PlayStation 3 14t, 27t, 98t for 120 controls 108–9 chips 113–14 publishers 53–4 market shares 106–7, 107t compatibility 86 concentration of power 53, revenue per employee, competition with rival 78 company success models 83–4, 84t, 85t, emergence 45–6 measured by 156–7, 97–8 licensing agreements 62–3 156t, 173 development costs 61, 66, market share 53t, 60t Road Rash (1994) 129 85, 97–8, 114 publishing, and video game Rochester Institute of purchase by US Air Force industry 130–1 Technology, NY 162 112 Puente, Tito 129 Rock Band series (2007–) 54t, technological advances 81, Puma (sports wear) 136 102, 129–30 85, 90 Rockstar Games 11, 70, Pogo 69 Qualcomm 87 101–2 Pokémon franchise (1996–) bestselling games 56–7 35t, 116t, 118 Raiders of the Lost Ark employment disputes Pokémon: The First Movie (film/game, 1981) 21 157–9 (1998) 121t Rainbow Six franchise market share 62t Pokémon: The Movie 2000 (1998–) 131 role-playing games (RPGs) 8, (1999) 121t Ratchet & Clank franchise 72 Pokemon Blue/Red/Green 98t see also MMORPGs version 117t Ratchet & Clank 2 Platinum Rollercoaster Tycoon 20t Pokémon Diamond/Pearl 58t, 59t Rosen Enterprises 39–40 59t rating(s) 72–6 Ruggill, Judd 73 Pokemon Emerald 59t game sales by 74t Russell, Steve 17, 18, 25 Pokémon Fushigi no Dungeon: national agencies 75t, 76 Russia, software piracy 77 Yami no Tankentai 58t national systems 75t, 76, 78 politics, games based RCA 18 Sahnda Entertainment 162 on/referencing 72, 111, Studio II console 26t Sakaguchi, Hironobi 61 136–7 Real Networks 51–2 sales Pong (1972) 14t, 18, 20t, 21 Red Dead Redemption (2010) by genre 70–1tt PopCap 52, 68, 69 157, 158t, 159 global distribution 46–8, Portal 103t Red Dead Revolver (2004) 58–9tt, 144 Prima Games 130–1 157, 158t global total 47–8

2 2 6 T H E V I D E O G A M E B U S I N E S S

sales cont. service industries software cont. hardware, trends in 29t employment levels 142 importance within industry seasonal 18–19, 25, 47, gender of employees 43 140, 168 143–4 key features 30–1 software 31, 31t, 57t sex, role in gameplay/ outsourcing of production Sammy, merger with Sega 41 marketing 74 151 Scarface (1983) 125 Shrek franchise 63, 64t production sites 147, 149, Schulman, Milton 32, 34 Shrek (2001) 127 151 Schwarzenegger, Arnold Shrek 2 (2004) 125, 135 sales by platform 57t 126 Sid Meier’s Civilization 158t separation from hardware Sci/Eidos 60t Silent Hill (2006) 121t 14, 45, 167 Screen Actors Guild 126, SimCity (1989) 54t, 127 small developers 52 159–60 Simon (1978) 17, 18, 33 trends in 30–2, 41–2, 45 Second Life (2003) 161, 162 The Simpsons Game 58t Sonic the Hedgehog 39t, 95, Sega 11, 19, 38–41 The Simpsons: Road Rage 116t, 134 competition 40–1 (2001) 77 Sony 11, 44, 97–101, 167, console production 40–1 Simpson’s Hit & Run Platinum 171 corporate proﬁle 39t 59t acquisitions 97 lawsuits 77 The Sims franchise 54t, 116t, corporate proﬁle 98t market share 60t 127 development of Cell merger with Sammy 41 The Sims (2000) 117t processor 86, 113–14 Olympic Games licensing The Sims 2: University 59t entry into console market 133–4 Sims 3 (2009) 54t 97 sale/purchase of company The Sims Online (2002) 136 franchises 98t, 115, 116t 39–40 Skorpion K.O. (2002) 138 handhelds 91, 96, 98–100, sales 39t Skylanders: Spyro’s Adventure 100t survival strategy 40–1 (2011) 66 job cuts 151 Sega consoles 40–1 Slide 69 lawsuits 77, 155 CD for Genesis 27t smart phones 41, 91–2, market share 59–61, 60t, CD for Genesis 2 27t 99–100 62, 62t, 83t, 91, 99t, 100t CDX 27t global sales 94t networking of games 81 Dreamcast 27t, 39t, 40 SNK consoles online distribution system Game Gear 26t, 39t NEO-GEO 27t 102–3 Genesis 26t, 40, 85t NEO-GEO CD 27t price wars 84–5, 87 Genesis 2 27t NEO-GEO Pocket 27t publishing operation 53 Genesis 3 26t, 27t social games 65, 68 rentals 108 Genesis 32x 27t SOCOM 98t sales 47t, 48, 98t Master System 26t software 52–4, 167 sourcing of hardware Mega Drive see Sega costs 101 materials 146 consoles: Genesis developers’ salaries 149t work with cellphone Mega Jet 39t development process manufacturers 93 Nomad 27t, 39t 56–63, 148–9, 148t Sony consoles Saturn 27t, 39t, 40 development time/costs 61, PlayStation 27t, 30, 35–6, SG-1000 40 147–8, 148t, 150 85t, 97, 98t semiconductors 28 division of labour 14, 53–4 PlayStation 2/3 see separate production 147 genres 30–1, 67–72 main heading ‘serious games’ 72 growth of industry 142 PlayStation PS1 27t

I N D E x 2 2 7

Sony consoles cont. stock options, offered to The Terminator franchise PSP see separate main heading employees 142, 150, 156, (1984–2003) 126 PSP Go 98t, 99 165 territorial lockouts 9 Sony SkatePark (2002) 136 strategy guides, publication of Test Drive 20t Sousa, Catarina 4 130–1 Tetris (1989) 35t, 117t, 118 South Korea Street Fighter franchise 116t THQ 60t, 62t, 125 game regulation 7, 75t Stringer, Howard 151 Tic-Tac-Toe, computer online gaming 45, 161 students, as gameplayers 49 versions 15, 16 outsourcing of production research/marketing aimed Tiger Electronics Game.com to 151 at 163–4 27t video game market 45, 48 see also education Tiger Woods 54t Southern Methodist Super Mario franchise (1985–) Time Warner University 163 35t, 37, 115, 134 game development unit Space Invaders (1978) 21 Super Mario 64 59t, 117t 118–19, 121–2 Spacewar! (1962) 15–17, 18, Super Mario Bros. (1985) 37, licensing revenue 117 25 117t, 118 Toles, Terri 6, 15 Spain Super Mario Bros. 2 117t Tomb Raider franchise 116t age of gamers 50 Super Mario Bros. 3 117t Tony Hawk 64t gender of gamers 51, 51t Super Mario Galaxy 59t Toontown (2001) 124 handheld sales 92t, 93t Super Mario Land 117t Toshiba 86 Spears, Britney 1 Super Mario World 117t Toto 129 Spider-Man franchise 63, Super Monkey Ball (2001) Touhoku Daigaku Mirai 64t 39t, 96 Kagaku DS Gijutsu Spider-Man 2 (2004) 125 Superman Returns (2006) 121 Kyoudou Kenkyuu Center Spielberg, Steven 22, 127 Surf’s Up (2007) 125 Kawashima Ryuuta Kyouju Spike TV 127–8 Sweden, employment in game Kanshuu: Motto Nou wo The SpongeBob Squarepants industry 142 Kitaeru Otona no DS Movie (2004) 125 Training 58t sports games 131–4, 138–9 tablets 94, 96 Toy and Hobby World licensing agreements 56, global sales 94t (magazine) 34 63, 72, 132–3, 138 Taiwan, hardware toys, video games seen as 41, licensing trends 133–4 manufacture oursourced 46 market share 72 to 82, 144 see also children role in development of Take-Two Interactive 70, Toys for Bob 66 industry 30–1 101–2, 157 training Spyro franchise (1998–) 64t, corporate proﬁle 158t games 3, 72, 137 98t market share 53t, 60t investment in 141 Square Enix 60t Taxi Driver (1976) 125 Tramiel, Jack 22–4 SSX 54t Team Fortress 103t Transformers 64t Star Trek (game, 1977) 17 Tears for Fears 129 True Crime: Streets of LA Star Trek (TV, 1966–8) 17 Tectoy 87 (2003) 136 Star Wars franchise (1977–) television Twisted Metal 98t 63, 65, 120–1 impact of games on 127, StarCraft (1998) 64t, 66 170 Ubisoft 95, 131 Starfox 35t use of video games 127–8 market share 53t, 60t, 62, Steam network 103–4, 109 Tencent 66 62t Stern, David 133 Tennis for Two (1958) 16, 17 UEFA 54t

2 2 8 T H E V I D E O G A M E B U S I N E S S

Ultima Online (1997) 6–7, University of Washington 162 video games cont. 54t, 160–1 Unreal Tournament 20t development costs 61, Underground (2003) 63 US Air Force, purchase of 147–8, 150, 164 Underground 2 (2004) 137 consoles 112 development process/ unionisation US Army, recruitment/ schedules 148–9, 148t, lack of, in game/computer training games 2, 3, 72, 164 industries 141–3, 150, 73, 81, 137 earliest examples 16, 25–6 155, 159–60, 173 uWink (restaurant chain) educational use 2 moves towards 159–60, 173 105 links with other media 10, United International Pictures 14–15, 78, 111–39 (see 120 Valve 103–4, 109 also film industry; films; United Kingdom corporate profile 103t Hollywood; music) age of game players 49–50 Vandross, Luther 129 myths/misunderstandings employment in game Vectrex console 26t 12–13 industry 142, 168 Viacom 121–2 outselling of film releases gender of game players 51t video game industry 118, 119t, 171 handheld sales 92t, 93t company closures 143 rise in popularity/cultural United States dominant companies 47, significance 1–2, 10, age of game players 49, 49t 47t, 167 41–2, 134 Bureau of Labour Statistics expansion of audience 78 shelf life 120 142 future directions 173–4 strategy guides 130–1 Defense Department 81 global distribution 2–3, studies 2, 3, 6–11, 12–13, employment in game 9–10, 45t 174 industry 2, 142 impact of new platforms study programmes 162–4, game retailers 106–7 104 172 handheld sales 92t, 93t internationalisation 78, 82, terminology 16–17 hardware preferences 86–7 90, 153–4, 168–9, 172, testing 143 numbers of game players 173–4 see also audience(s); genres; 48, 134 links with other industries history of video games; ratings system 73–6, 75t, 111–39, 141–4, 150, ratings; regulation; sales; 169 154–5, 166, 170–1 video game industry salaries 149t, 150, 154, logics of production 4–5, Video Mods (2004) 128 154t 5t, 43, 140, 166–7 violence, in-game 7, 77–8 service sector employment market structure 22t, 44–8, regulation aimed at 76, 142 46t 108–9, 169 state legislation 73, 76 production schedules Virtua Fighter 39t trade agreements 38 147–8, 164, 167–8 ‘virtual economies’ 6–7, 161 TV viewership 127 profit margins 116 Vivendi 63–4 universities 162–3 see also employment; film VRPhobia project 72 video game production 46, industry; sales 149 video games WalMart 106, 168 video game sales 31t, 36, bestselling 56, 117t Warner Bros. 127 47, 57–8, 59t, 70–1tt, competition with other see also Time Warner; 144, 168 media 15, 171 (see also Warner Communications see also US Army films; television) Warner Communications, University of Southern cross-industry promotion purchase/sale of Atari 21, California 162 111–12 22, 24, 118

I N D E x 2 2 9

The Warriors (1979) 70, 125 women cont. XBox cont. Wickham, Robert F. 18 health risks 147 development costs 85, 144 Wii 14t, 27t, 28, 35t, 90, salaries, compared to those marketing 135 118 of men 154t, 173 XBox 360 14t, 27t, 28, 89t competition with rival in service sector 143–4 competition with rival models 83–4, 84t, 86t, women, as game players models 83–4, 84t, 85t, 97–8 50–2, 152 86t, 97–8 development costs 61, 66 impact on licensing deals development costs 61, 66, global dominance 57–8, 117 144 58tt, 86, 87 national distribution 51t development strategy 85, microchip 113, 114 online 68 87, 88–90, 144 Wii Fit 35t preferences 51–2 microchip 90, 113 Wii Play 35t, 58t, 59t, 117t Wonder Wizard 1702 console technological advances 86, Wii Sports 35t, 58t, 59t 26t 89–90 Wii Sports Resort 117t World Bank 161 Williams, Dmitri 7 World of Warcraft (2004) 56, Yahoo Games 69 Wilson, Timothy L. 8 59t, 64t, 65, 66, 67, 81, Yoshi 35t Windows operating system 118, 161 Young, Larry 90 88, 89t, 90 Wright, Will 127 Wing Commander 54t Zackariasson, Peter 8 women, as employees 152–3, X-Men 64t, 122t Zeebo console 87, 109 152t, 173 XaviXPORT console 27t Zircon Channel F System II in China 146 XBox 14t, 27t, 40, 87, 89t console 26t game industry’s lack of competition with rival Zynga 52, 68 appeal to 159, 163 models 83, 85t Zynga Poker (2007) 68