Top Video Game Companies Generate Annual Revenue of $25 Bill

Discussion in 'PC Gaming' started by Unknown Soldier, Apr 8, 2005.

  1. Unknown Soldier

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    Top Video Game Companies Generate Annual Revenue of $25 Billion According to DFC Intelligence

    San Diego, CA --March 22, 2005


    A new report released by DFC Intelligence takes a close look at the top publishers in the video game and interactive entertainment industry. According to the report there are several factors that leading companies share in common. These include expansion internationally, platform and business model diversity and a focus on core franchises that build value over time. Leading companies like Activision, Electronic Arts and Square Enix have a global business, are bringing core franchises to online and mobile platforms and are looking at emerging opportunities like advertising in games.

    The seventeen companies in the report reported fiscal 2004 revenue of $24.5 billion, down 3% from fiscal 2003. So far fiscal 2005 revenue is up 3%. The four leading companies, Sony, Nintendo, Electronic Arts and Microsoft, dominate the market and reported fiscal 2004 revenue of $16.7 million. In terms of revenue, Sony is the clear market leader, having generated $45 billion in game related revenue from fiscal 1998 through 2004. However, Nintendo has been the most profitable company, earning about $7 billion in operating income from fiscal 1998 to fiscal 2004, compared with about $4.5 billion for Sony (from its games division) and $1.8 billion for Electronic Arts. Microsoft is clearly an up-and-coming powerhouse, although the company has reported heavy losses from its games division.

    Beyond the top four companies, the interactive entertainment market remains fragmented. Other then Electronic Arts solidifying its position as the leading software publisher there has been very little consolidation in the game market over the past few years. Electronic Arts is in a league of its own and other software publishers are in a tight race for a distant second place.

    The new report, Market Leaders in the Video Game and Interactive Entertainment Industry, is 750 pages and analyzes each publisher’s history, financial performance, the strengths/weaknesses of their corporate strategy, product lineup, development teams, marketing and distribution skills and future potential. DFC Intelligence is a market research firm focused on video games, PC games, online games and interactive entertainment. They offer free monthly research briefs to anyone signing up at http://www.dfcint.com/mailing_signup.html. Other DFC Intelligence reports include The Business of Computer and Video Games 2004, The Impact of Licensing in Interactive Entertainment, The Online Game Market, and. Worldwide Market Forecasts for the Video Game and Interactive Entertainment Industry.

    News Source: www.dfcint.com
     
  2. Acert93

    Acert93 Artist formerly known as Acert93
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    Re: Top Video Game Companies Generate Annual Revenue of $25

    Very interesting stuff. It will be great when MS starts making a prophit. That means the 3 biggest players will all be profitable. Who said the market cannot sustain 3 console?
     
  3. IgnorancePersonified

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    Nice info. That site is blocked but do they include PC sales at all?

    Cheers.
     
  4. silence

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    i just read somewhere that men spend more cash on games then music....
    which is pretty much understanable, cause with more and more older gamers they have shitty music on one hand and cool new games on other hand...

    would you rather listen to N'Sync or play Far Cry?.... :lol:
     
  5. Acert93

    Acert93 Artist formerly known as Acert93
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    I can believe that because I am part of the "problem" :twisted:

    I have spent $150 in 10 years on music (I know exactly what that purchase was too... an 8CD Psalm collection... and no, I do not do P2P or the like, I just never listen to music outside of my wife's piano and violin).

    Conversely, in the same 10 years I would be ashamed of the amount I have spent on games ;)
     
  6. Unknown Soldier

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    Try this if the site is blocked for you.

    http://www.misterprivacy.com/cgi-bin/nph-mpfree.cgi/000110A/http/www.dfcint.com/

    There are these following reports:

    Market Leaders Report Released
    New Forecasts Released!!!
    New for August 2004 The Online Game Market 2004!!!
    New Forecast Service Launched!!!
    The Business of Computer and Video Games 2004 Released!!!
    New Online Game Research Package for 2004!!
    New Market Research Reports Released!!!

    Nothing with PC Sales.

    There are Individual and Research Reports too .. which I haven't looked at.

    US
     
  7. Unknown Soldier

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    Me too .. this last year alone i've spent almost $500 on games.

    US
     
  8. hoom

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    Big revenue != big profit
     
  9. silence

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    why ashamed?
    playing good game online with your firends is surely much more entertaining then buying some crappy CD with few idiots that were assraped to get on charts....

    i'll rather buy game then fucking music CD.... except REALLY few i find interesting, but since i listen to them in my car, i get bored to fast for the ammount of cash i gave for it....

    OTOH...good multplayer can get you months of fun, new friends, clan wars....

    i'll go with games any day. :wink:
     
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