Video game industry analysis Essay Example for Free

Video coarse-grained persistence analysis EssayHistory The invoice of word-painting endorses goes as far-off back as the 1940s, when in 1947 Thomas T. G former(a)smith, Jr. and Este Ray Mann filed a United States patent request for an invention they described as a cathode ray tube fun device. Video gaming would not reach mainstream customaryity until the 1970s and 1980s, when arcade pictorial matter adventures, gaming consoles and home figurer games were introduced to the general public. Since then, motion picture gaming has croak a popular form of entertainment and a wear out of modern culture in around parts of the world. on that point are currently considered to be eight generations of tv game consoles, with the seventh and the eighth concurrently ongoing. Early Founders During the golden age of television system games in the 1970s, it was a rush to the start to see which smart set and which programmer could create a characterisation game and platform that could trump the rest. However, most large exposure game manufacturers can trace their roots far before that decade, reaching back into the early 1900s or even the late 1800s.While some photograph recording game companies, such(prenominal) as Nintendo and Sony, would begin their economic pursuits in former(a) fields, companies standardized Atari and Sega were created with an eye toward producing the net gaming system. The showtime major tv game company to come into being was Nintendo, which would eventu all(prenominal)y nominate characterization games popular again in the 1980s. Nintendo is a Japanese company that was created in 1889 and was originally named the Marufuku Company. In 1951, this company, which manufactured Western-style playing cards in Japan, would take the name Nintendo, meaning leave luck to heaven.In 1891, the Philips Company, owner of Magnavox and an important frontrunner in the delineation game production race, was established in the Netherlands. In 19 47, another(prenominal) major video game icon was founded under the name Tokyo Telecommunications Engineering Company. After the founders realize this name was too cumbersome to say and remember easily, they modified the Latin word sonus (meaning sound) to form the company name Sony. Sega was founded in 1952, under the name Service Games, as a company that provided coin-operated games and jukeboxes to the Statesn servicemen in Japan.It would not be until 1972, well into the beginning of video games, that Atari was formed as a cooperative partnership among leading video game programmers Nolan Bushnell and Ted Dabney. First Video Games and Platforms The idea for an interactive video game was set-back conceived of by Ralph Baer, an engineer with an airborne electronics company, in 1951. Commissioned to design a video for the company, Baer believed the TV could be more than commercializeable to consumers if it contained a type of interactive game (Kent 2001).His idea was dead rec koning down by the company, but other engineers and programmers would not let it settle for long. The first official video games, a table-tennis type game and a computer space game, were positive in 1958 and 1961, respectively. These early video games proved to be the necessary catalyst for game programmers and were the early predecessors of the popular arcade games Pong and put Invaders. Pong, created by the Atari Company in 1972, turned into an incredible success in arcades and led to the creation of the first home video gaming system, the Magnavox Odyssey.After the moderate success of the Odyssey, several video game companies would find with their own home gaming systems in 1976 and 1977, including the Atari Video Computer System (VCS). Video Games Take sour By 1978, home video game consoles were beginning to sell well, and more competitors had entered the market. Nintendo of Japan released its first video game that year, a simplistic version of the board game Othello that wa s marketed in arcades.The popular toy makers Mattel and Milton Bradley besides entered the video game scene in the following two years with a hand-held video game unit from Milton Bradley and the Intellivision by Mattel, the first video game console to offer true disceptation to Atari. During this golden age of video games in the late 1970s, the two leading contenders, Magnavox and Atari, twain tried to summarize competition to the home computer market. Magnavox released the Odyssey 2, a programmable video game console that included a constituent(a) keyboard, while Atari began selling its own personal computer designed to rival Apple.However, most consumers connected Atari scarcely with video games, and the computer system was widely disregarded. During this time period, Atari also released its first home version of the popular arcade game Space Invaders, leading to a massive increase in sales for the VCS game console. As video gaming entered the 1980s, two incredibly popular games that would revolutionize the industry were created. Pac-Man, created by Namco in 1980, became the best-selling arcade game of all time and the first video game that was popular with both males and females.The later version, Ms. Pac-Man, would also prove to be immensely popular at arcades. The next year, in 1981, Nintendo of America created Donkey Kong for arcades. While the hero of Donkey Kong was originally named Jump man, this name was later changed to Mario and he would become an icon in years to come as a key video game hero. Unfortunately, as video games began to take off in the early 1980s, the market quickly became flooded with multiple consoles and games, and the industry get laidd a market crash in 1984.Industry Growth Along with increasing net and broadband penetration throughout the world, online and runny gaming represents the greatest encourage in the video game growth. The implication of this increase in accessibility to technology is many developing countrie s -specifically the BRIC economies (Brazil, Russia, India and China) are now become major players in the industry. As online and wide awake gaming becomes more affordable, video gaming becomes more well-disposed to developing countries.Though console gaming currently represents the largest market in the industry, its growth is project to muted down in the upcoming years, from a 10. 9% growth between 2003 and 2008, to a 5. 5% between 2008 and 2013. In 2008, Europe, the Middle East, and Africa (EMEA) represented the largest video gaming market share (35. 3%). In 2013 it is projected the Asia-Pacific region will be the leader in both growth and market share. The projection is market share in EMEA and North America will decline, while it is expected to increase in Latin America.The video game industry in the BRIC economies has developed in parallel fashion to these countries general economic expansion. It is projected the BRIC countries will possess increased market share in futur e years. grocery store size The Video Games are a cultural phenomenon that is growing ever more prominent among young and old alike. They get become an integral part of the mass media culture and confuse been in existence for about as long as the television. While the video games of today are growing ever more detailed and lifelike, early video games like Pong, Space Invaders, and Pac-Man wereequally impressive and highly entertaining at their time. From their earliest years to the complex video game landscape of the twenty-first century, video games have developed into enchanting, alternate worlds that have captured the hearts of millions of players. As of today, it is estimated that video game consoles represent more than 25% of the worlds general computational power. Also they were banned in China since June 2000 and now China is seeing explosive growth. Market size from 2003 to 2013 in $ zillions REVENUE FOR 2012.Size of global traditional video game market tax revenue, e xcluding mobile games on smart phones and tablets $70 gazillion, up from $65 cardinal in 2011 Size of global video game market revenue, including mobile games on smart phones and tablets $78. 5 billion for 2012 Retail software revenue $28 billion, down from $29. 5 billion in 2011 Online revenue, including digital delivery, subscriptions, Facebook games $24 billion, up from $18 billion in 2011 (Source DFC Intelligence) CONSOLE MAKERS Microsoft Corp * Xbox 360 launched in the United States November 2005 * Xbox consoles sold 67 million.* Kinect motion sensors sold 19 million Major initiative Microsoft is expected to show off naked entertainment features of its Xbox 360 and a new version of Halo. Sony Corp * PlayStation3 launched in the United States and Japan November 2006 * As of March 31, PlayStation3 units sold Over 63 million units * As of June 6, 2011, Sony Move motion sensors shipped 8. 8 million units Major initiative Sony is expected to push new games to boost sales of the Vita and PlayStation 3. Nintendo Co Ltd * Launched Wii in the United States November 2006 * Wii units shipped More than 95 million * DS units shipped More than 151 million.* 3DS units More than 17 million Major initiative Nintendo will finally unveil the first home console in six years at E3. Device is expected to feature HD graphics, a special tablet controller and motion sensors.SOFTWARE PUBLISHERS Activision Blizzard Annual revenue $4. 8 billion Top franchises Call of Duty and World of Warcraft Electronic Arts Inc Annual revenue $4. 1 billion Top franchises The Sims and Madden NFL Take-Two Interactive Software Annual revenue $826 million Top franchises Grand thieving Auto and Red Dead Redemption Ubisoft Annual revenue 1. 06 billion euros Substitute Products.Substitute products for games possibly songs from music industry, movies from movie industry, and television programs from television industry which people also sought fun and entertainment. There have not been so many probl ems with the substitute products because video game industry is uprising. According to a writer for Fortune, music sales have been falling in recent years, the movie going experience hasnt change that much and network TV is on the skids.Political Determinants Unlike many other industries, the gaming industry isnt universally affected by political determinants. Political determinants are chiefly specific to a rustic.While violence and sexual content of games are common themes of discussion, how they are handled varies from country to county. Social and Environmental Factors Social Factors Video games have an enormous place in society most kids are exposed to video games in some sort of capacity growing up. Just like other technological mediums, there are both positive and negative social issues related to video gaming. Some Positive Effects of Playing Video Games Video games have proven to be potent tools for childrens saying when used appropriately as they impart specific attit udes, skills and behaviors on the player.For example, some video games have helped to teach children how to effectively deal with their asthma and diabetes. Further, in a deal with college students, playing a golf video game improved students actual control of force when putting, even though the video game gave no bodily feedback on actual putting movement or force. Video games have also been shown to increase surgical skills for doctors, and research has more broadly proven that people can learn iconic, spatial, and visual attention skills from video games. 1 Some Negative Effects of Playing Video Games.Research has shown that video games can lead to negative effects on childrens physical health, including obesity, video-induced seizures, and postural, muscular and skeletal disorders, such as tendonitis, nerve compression, and carpal tunnel syndrome. Additionally, the amount of time spent playing video games has been shown to have a negative correlation with academic performance. 2 But even more prevalent, is that playing video games has been shown to have a positive correlation with antisocial and aggressive behavior. Violent video games are most unremarkably defined as games where the player can intentionally harm the other characters.Not only do a majority of video games today fall under this definition, but a recent study established that the majority of 4th to 8th grade students prefer violent games. 3 Environmental Factors E-Waste Almost 50 million tons of electronic products are discarded every year, and the figure continues to grow as the animation of new devices continues to shrink. According to the environmental organization Greenpeace, that estimated amount of e-waste generated every year put into containers on a train would be enough to circle the globe In fact, up to five percent of all municipal solid waste worldwide is this electronic waste (e-waste).Such is the magnitude of this e-waste that it now ties with pliant packaging in number yet electronic waste is much more hazardous.While mobile phones and computers are the main causes of this ever-increasing waste as they are replaced on average more frequently, video games and video game consoles contribute significantly to e-waste. 1 http//www. mediafamily. org/facts/facts_effect. shtml 2 http//www. buzzle. com/articles/effects-of-video-games-on-children. html 3 http//findarticles. com/p/articles/mi_m0816/is_6_21/ai_n9772319/.