id: Piracy killing PC gaming market
by Joystiq Staff 
{ Aug 7th 2006 at 12:45PM }
Next Generation reports that at a QuakeCon Q&A, id Software co-owner Kevin Cloud put some blame on why developers are shying away from the PC market and turning to the slightly less-hackable console market. Cloud is quoted as saying:
"Piracy is hard. It's really -- from my opinion, destroying the PC market. ... when you look out there at the number of games that are getting pirated, it is just devastating. It's the primary reason retailers are moving to the console. It's something that's on every PC developer's mind -- on how to reduce [piracy]. Because, if you like the PC, you hate to see it fall lower and lower down."
Todd Hollenshead, CEO of id, expressed similar concerns:
"... the problem that this industry faces above all else is the piracy. There is about seventy-percent of the landmass of the world where you can't sell games in a legitimate market, because pirates will beat you to the shelves with your own game. ... you may literally have more games being played illegitimately than being played legitimately. So when you're giving up that much market to people who aren't paying for the games, or who are buying the games in ways in which the developers aren't getting paid for it, it creates a big challenge. Not only for the developers and publishers. But also for retailers, because they have to make bets when they buy their game inventory."
But, this is not to say id will abandon the PC format. Cloud says that the company is still dedicated to producing games for the market.
Reader Comments (Page 1 of 2)
Moogle @ Aug 7th 2006 12:57PM
I'd like to see where they get their numbers for the ammount of piracy going on.
Just because no one's buying your crap doesn't mean everyone's stealing your crap. Which is, of course, the usual assumption that the BSA makes.
Also, cut out the stupid copy protection crap. I haven't pirated a PC game in years, but I still have to visit Gamecopyworld.com every time I buy a new game.
logikil @ Aug 7th 2006 1:00PM
This just furthers the notion that eventually at least PC devs will have to go to an electronic distribution method like Steam. I mean I don't necessarily like the idea of not having physical media (makes me feel like i really do own what i bought) but in order to maintain viability PC devs need to look at this. What it's going to hurt is consumers where broadband access hasn't penetrated (mostly rural areas.) I feel for PC devs. I love this industry and hope to eventually make my way into it, and those devs getting shafted by people who would rather steal games and then try to justify or worse yet not justify their theft makes me a sad panda.
Huzzah!! @ Aug 7th 2006 1:03PM
...Hence, we have STEAM for Half Life 2... Friggin pirates...
Sevon @ Aug 7th 2006 1:05PM
I think this is one of those situations where, if they were to cut the price of games, they'd make a lot more money. That's one reason people pirate games, the cost. Drop the price ten-twenty bucks, you'd sell more of them overall, make more money.
Mack Swift @ Aug 7th 2006 1:07PM
Is this really, truly as big a problem as developers and companies say it is? Or is it a very easy scapegoat for financial woes?
Whenever the entertainment industry posts a lose in comparison to some past point in time; piracy of some sort is quickly and easily blamed.
I find it very hard to believe that piracy and piracy alone is causing developers to ditch the PC format in favor of piracy-free consoles.
phipscube @ Aug 7th 2006 1:11PM
PC games are generally ALOT cheaper than console games already, in some cases half the price so there is no excuse really. Its a sad state but computers have always suffered to the hands of pirating right back to the days of cassette games, it just seems to get worse and worse. Its always been so much easier to pirate games on the computer formats. The old argument people say is "Well I spent all this money on my expensive computer so I have a right to get really cheap copied games" Hmmm, yeah right.
Zertoss @ Aug 7th 2006 1:14PM
Piracy is almost as bad on consoles. They're fooling themselves if they believe that moving to consoles will solve their piracy problems. The pirates will just focus more on the consoles.
Are you really losing that much money to people who weren't going to buy your game anyway?
crono141 @ Aug 7th 2006 1:14PM
No, its not just piracy...
Its World of Warcraft, remember?
http://www.joystiq.com/2006/07/21/is-world-of-warcrafts-success-hurting-pc-games-market/
SG evaNERV @ Aug 7th 2006 1:15PM
Where are the nubmers? We hear so much of this spouting...but I have yet to hear any hard numbers that directly tie from "this game was pirated" to "this game was not sold".
It is not a 1-to-1 ratio. The majority of people that pirate do it because they have no intention on buying the game. College kids? No way can they blow $300 a year on games.
I agree with Sevon. Come up with a better pricing model and maybe you would sell more games. Complaining that every game pirated is a game not sold is not even close to the truth.
The reason consoles are winning is because: a) they are a heck of a lot cheaper to upgrade every 3-5 years b)the graphics look on par with anything on the PC c)developers don't have to dumb down the graphics so they can hit the biggest audience (people with dated video cards, old processors, etc...)
You tell me why my 3.7 GHZ, 2 Gig ram, ATI X800 computer games look comparable to my Xbox 360. Not better...but comparable? They should be miles difference between the two...but they aren't.
So.. take the RIAA stance and blame piracy... it's the easiest way to go.
Alysenne @ Aug 7th 2006 1:16PM
Sadly, piracy really is as big a problem as the developers say it is. Judging by my extended circle of PC gamer friends in college, everyone was playing pirated games. They only bought games when a unique code was needed for online play.
The problem is that it is just soooo easy to pirate and when developers try to add safeguards, there is a huge outcry. Even if the price of games was cut in half, people would still do it.
logikil @ Aug 7th 2006 1:18PM
Mack Swift:
You are thinking on a local level. Piracy, while a big problem here in the US, is astronomical in other places on the globe and thats what hurts most. I mean there are places in Russia at bazaars where you can find any piece of software you could care to find pirated. China is another place that has a huge bootleg market. So while we look at it here and kind of shrug our shoulders, the publishers have entire markets based off theft to contend with. Not a good thing for a business to have to handle.
Pretty Obvious @ Aug 7th 2006 1:21PM
Whats killing the PC market is the fact that half the people out there are not gonna consistently upgrade their rigs every year to play the newest game out there. Did piracy kill the Xbox? Did it kill the Playstation? I dont think so.
nyc @ Aug 7th 2006 1:23PM
If consoles had a keyboard/mouse control scheme I would actually buy one. But playing FPS games using a control pad is basically impossible for someone who was born and bred as a keyboard/mouse gamer.
Bring out a keyboard mouse for your console (Sony/MS/Nintendo) and support it in online FPS games and I'll make the switch in an instant.
Until then, sorry, I'm a mouse gamer.
PachuyiChomp @ Aug 7th 2006 1:26PM
Isn't this why Metallica has no money? Because of Napster right? I agree piracy is bad and wrong, but blaming your woes on piracy when console games can be pirated, and or emulated with PCs almost nearly as easy I think is an invalid scape goat. I think the main problem with PC developement is developing for cross platforms and hardware and OS's whereas console has a set Hardware configuration.
So wait is ID trying to say that back in the early 90's when games were still on floppy disks that could be copied as easy as sticking it in your A: drive, or Before CD keys and creating phantom drives or No CD cracks were needed to run a pirated that pirating of games didn't kill the market then? Yet somehow now despite all the failsafes pirating is killing PC gaming now?? Gimme a break
UNCCShannon @ Aug 7th 2006 1:26PM
One of the biggest problems behind all of this is that developers are constantly making consumers, like us, go out and shell out hundreds on new graphics cards and more processor power to play new games that could have easily been developed on a older graphics card, causing people to want to pirate games to save a few bucks.
This is where the console market will always win. Consoles are usually in the market for at least 5 years before a new one is released, keeping the consumer from having to pay to upgrade their system to play the newest games on the market. To be honest, I don't want to go out and spend 200 bucks on a graphics card to play a game then 3 months down the road it be obsolete b/c the requirements just got a little better. That is what sucks about PC gaming.
Developers for pc need to learn that lesson. I know hardcore pc gamers will disagree but to be honest it is the truth. Console gaming is way more affordable (well except for the PS3) than pc gaming in the long run.
Alysenne @ Aug 7th 2006 1:26PM
The explosion of bittorrent and other filesharing services is probably the primary source of piracy. The use of these p2p applications is international and ubiquitous. Even computer illiterate people are taking advantage because it's just so easy.
BPM? @ Aug 7th 2006 1:29PM
True, no matter what the price is, people would still pirate games (unless it were free, of course... then piracy seems dumber than normal). But the lower the price, then there are likely to be more people who think the price is reasonable. Thus, more actual sales.
Personally, I think games, in general, are expensive. $50-60 for console games (and add $10 for special editions, but that's acceptable, I suppose) really adds up quickly. Two games will already set you back 100 bucks (and then there's tax).
I guess that's why I've liked portable gaming so much. You can play them everywhere, they're just as enjoyable as console games, and they're cheaper. I mean, holy crap, I have over 30 DS games as it is, and the system's just a few months shy of being two years old! And only one of those titles I regret buying (Atari Retro Collection, but it was on clearance for $10, so not a huge loss).
Piracy is wrong, yes. I'm not arguing with that. It's theft, plain and simple. However, I do understand WHY people pirate. But it isn't the only problem for the PC market (and gaming market in general).
jq @ Aug 7th 2006 1:31PM
I blame the high specs needed for new games. why should i buy a game that requires a $1000 or more investment when my current machine runs just fine but not a graphical & cpu intensive.
Pag @ Aug 7th 2006 1:32PM
It would be false to claim that every pirated copy of a game is one less sold copy, but it's just as false to claim that pirates would never buy any of the games they pirate.
Let's say a given college kid pirates an average of 4 games per month. If he couldn't pirate, he'd buy only 1 game each month, so 3/4 of the games he pirates aren't losses -- but 25% are! An increase of 25% in sales number is a BIG difference.
That said, PC games are losing ground to consoles in large part because it's just so much better to play on consoles: no updating of drivers and other technicalities, cheaper cost, larger screen, etc. Piracy plays a part, but it's always been there on the PC (remember when you had to look up specific words in the manual to start playing?)
I agree with CliffyB when he says games should be 4-6 hours long and cost 20$. It would make a lot more sense than the current model. 20$ is an impulsive purchase, 60$ is an investment.
crono141 @ Aug 7th 2006 1:32PM
then pull said market. If there is no profit and nothing but piracy in the chinese market, then don't sell to that market. You get to save on localization and inventory, so any "losses" to piracy there are then moot, because they aren't a market to begin with.
The only way to get these foreign gov't to crack down on their local piracy is to pull the legit software until its under control.
Scooby Doo @ Aug 7th 2006 1:33PM
I'm with Mack. I want to see some real numbers that indicate piracy the number one reason why PC gaming is 'dying'. I can think of a few good reasons why PC gaming is difficult for me like:
- Having to keep up with the graphics card wars (or any of the numberouse upgrades you go through but graphics cards are top on my list of pet-peeves).
- Lack of joystick functionality
- Poor selection of games
- Lack of demos or having difficulty finding a site for download so I can try the game first
And that's the short list. Consoles solve most of these issues, especially for those of us who buy multiple systems.
I can remember when PC games used to rock, but now the best sellers are MMO's and FPS's and you get little else. If I have a choice between a console version and PC version, I'll usually go console.
I'm sure piracy is alive and well, and I've heard that certain markets around the Pacific Rim are really bad about piracy but it feels much more like a scapegoat in this instance. Does Mr. Cloud really think that if a game could be 100% protected from piracy, all those people who would have pirated the game are going to buy it instead? It's not the same revenue loss as how he paints it.
Art Guy @ Aug 7th 2006 1:34PM
Sevon - If that were true, nobody would pirate DVDs which only cost $10-20. And yet DVDs are pirated as well. Some people feel they are entitled to a free game/movie for one reason or another. Also you are forgetting that in many countries you will have an easier time finding pirated movies/games than legitimate copies, as the copyright laws in those counties need to change.
Mack Swift - Console games almost always sell more units than PC games. Lets look at a best selling game that came out for both the PC and Xbox 360. The PC version was $20 cheaper, yet the 360 version sold over twice as many units even though the 360 has a relatively small user base. One might say that either the PC market is about to really die, or there is a lot of piracy going around. In reality it's a bit of both, the PC market is going downhill, and piracy is accelerating the process.
Ian @ Aug 7th 2006 1:34PM
Steam FTW.
Sam @ Aug 7th 2006 1:39PM
In my opinion, large-scale piracy is usually fueled by a bad or outdated business model.
For years the music industry whined about mp3's and refused to accept the idea of selling music online. They assumed that people only downloaded songs because they were free. Then iTunes came along and was a huge success right out of the gate. What that tells me is that a lot of people were downloading mp3's not because they were too cheap to pay for music, but because the labels weren't giving them options. Consumers had the internet, this incredibly powerful tool, at their disposal, but still had to do things the old way. Go to the store, purchase a cd full of songs (when maybe you only want 1 or 2 tracks), and then put work into making a mixed cd (unless you get stopped by copy protection on the disk). The consumer had to jump through hoops to get what they wanted.
Now that iTunes and other mp3 stores are well known, you don't hear much about music piracy. Instead, we have movie and game makers shouting the same old complaints, unwilling to consider that maybe the real problem is the way they do business. We're still going out to stores to buy games, including boxes and packaging we don't need, just to bring it home and hope that the copy protection doesn't stop us from playing our legal copies. Then we either go find a crack or deal with changing the cd everytime we change games.
We're jumping through hoops to get what we want. And in that situation, many people start asking why they're paying a company that doesn't serve it's customers. Investing time into finding a pirated version becomes more attractive because what you're getting is better, not just cheaper.
I'm not saying that piracy will disappear the moment online distribution becomes big. I'm just saying that the draw to it is more about ease than money. I would much rather buy a game on Steam (where the distribution lets them sell it for less) and have it forever locked to my account, than buy a more expensive boxed version that's ruined if a cd gets scratched.
Thryon @ Aug 7th 2006 1:47PM
Piracy does play a big part. I know off hand a good 50+ console owners (PS2, Xbox, Gamecube and Xbox 360) and only one had a MOD chip on his Xbox. On the other hand, all but 3 of these users currently own 1 or more pirated PC games. The main reason is that it does not cost anything to pirate a PC game. You do not need to open your computer and install any extra hardware that will void your warrantee.
But piracy on the PC is not always a way to "steal" a game. I am a big hockey fan. I purchased NHL06 for the Xbox, but downloaded it for the PC. The reason is that I had borrowed a friends copy to demo the game as the Xbox version appeared dated compared to the PC version. But the game kept crashing on me. It was the anti-piracy software that cause my system to crash. This is not the first time I've had problems with anti-piracy software. The irony is that the game's anti-piracy software caused me to download the pirated version of a game.
I no longer have any pirated PC games, or any PC games for that fact. The whole Starforce/SecuROM/SafeDisc compatibility issues have turned me, and my hard earned money, on my Xbox 360. I now own 2 and over 20 games....that would have been a lot of money for PC developers in the past.
Disgruntled gamer @ Aug 7th 2006 1:48PM
Piracy... yea right... Mark Rein said it best really. The fact that people don't have computers to play these games are the reason the pc game industry is dying.
I look at the pcs being sold to consumers today, being marketed as gaming pcs, while have an intel integrated video. everyone in the pc wold knows that the integrated video from intel cannot handle anything like what id pushes out... doom3 was hard enough to run on a radeon 9600 when it came out, how the hell do they suppose people run it on an intel integrated video!!! and sadly enough, integrated graphics still hasn't progressed, only ati chipsets offer at least some decent performance.
copa @ Aug 7th 2006 1:52PM
I think Oblivion has been tearing up the sales charts on PC's, but my understanding is that the game has no copy protection whatsoever.
The PC game market has big problems, but I'm not sure piracy is at the top of the list.
A bigger problem is that the PC game experience is just not that compelling. The two things it had going for it in my book (hi-def graphics, good online play experience) are now available on the Xbox 360 (and soon, PS3).
Like Scooby Doo, I got sick of wrestling with the drivers and the hardware, and optimizing video settings for my platform, and wondering if the publisher's copy protection was going to install rootkits on my computer. I gladly pay a $10 premium for the plug-and-play goodness of console gaming.
Evan @ Aug 7th 2006 1:56PM
11. Did piracy kill the Xbox?
People were buying XBoxes and immediately modding them. Some people who bought an XBox never bought a single game! The games-sold to consoles-sold ratio was very low on the XBox compared to other consoles (I forget the number, but it was published on Gamasutra). Microsoft sold the XBox at a loss, and depended on games to make up the difference, which never happened.
hoohoo @ Aug 7th 2006 2:04PM
http://thepiratebay.org/search.php?q=quake4&audio=&video=&apps=&games=on&porn=&other=&what=&page=&orderby=se
for those who want proof of pirated numbers, straight from the piratebay. quake 4 was downloaded almost 3 million times on pb alone. i bet if you tallied up from all the torrent sites out there the number would be closer to 5 million.
Brandon Konran @ Aug 7th 2006 2:04PM
To continue on what #22 said. I think another reason why things are constantly pirated is that a digital copy can last forever, while a game cd/dvd cannot and most people dont have the knowledge or means to backup their dvd's and games.
Or the fact that most of the crap that is being released today (especially the movie side) isnt worth the pricetag. You buy a DVD thats only an hour and a half long for 10-20 bucks, that isnt worth it. I just want to -see- the movie and then if I like it and its worth a repeat viewing I would certainly go out and buy it.
The same thing with games, I would -never- spend 40-60 dollars on something I could beat in 6-10 hours and ALOT of games you can. Personally I could careless about unlockables and extra content. I want the content there -already-.
Personally I think every company should just nix their marketing budget and lower the price of games to a more reasonable level. If something is made and it is good, it will be picked up on, especially with the likes of gaming blogs like joystiq and kotaku.
Azrael @ Aug 7th 2006 2:06PM
Nah, is easier to find and burn a ps2 game than a PC game (I dont even have a PS2 so dont give me the cold stare, but is true! google it)
Come on! keep guessing! maybe one day you will realize that not everyone has a "gaming able PC" and large percenteage of PC users dont even know how to install a game, much less directx or "the latest graphic drivers"
A console doesnt need any of that mubo jumbo and is a LOT cheaper (in most cases) so I'll let you do the math.
I do have a gaming able PC Im a tech geek and I still find myself playing a lot more in my console than my PC. (Its a condition, I cant help it!)
Steven @ Aug 7th 2006 2:10PM
Im a student and im strapped for cash 99.9% of the time, this means forking out £40-£60 on something I dont really need, can be quite painful, therefore I only probably buy a game a month at most. When I download games, I play them, if I like them I buy them, this way it stops me wasting money on games i regret buying, lets face it these days there are so many shit games coming out, chances are your wasting your money.
If you were to ask me whats screwing PC Gaming, its the flood of shit expensive games, high hardware requirements, and poor support.
I wish developers would stop producing mass, and start producing classics, if the game sucks it wont sell. HL2 sold well not because it was on steam, but because it was a good game (and there were pirate versions around). Quake 4 didnt sell so well because it was sub-par, with high system requirements.
I wish they would stop blaming the market, and look at themselves before questioning why games dont sell.
Bender @ Aug 7th 2006 2:18PM
The best way to stop piracy is to include a multiplayer mode that people just HAVE to play (either cos that's the game or cos it's so good).
lostgamer @ Aug 7th 2006 2:19PM
I love the justification for piracy in many of these posts: Oh, its too expensive, i'd rather d/l it then buy it if I like it. To that, I say b.s. If you've already played the game, I doubt you think to yourself "oh, i better buy the game, I enjoyed it so much". Gaming is not a god-given right, its a privilage, and people who make games deserve to get paid for what they made. If you think its too expensive, why not wait the 6 months for the price to drop to a decent level? No one can ever put a number on how much money is lost to videogame piracy, not the companies and not know-nothing consumers who dismiss piracy as a nothing, but if you think it doesn't matter with the bottom line, then you're deluded. Yeah, game prices suck, but thats what you get for living in a capitalist society. You want your game for free? Start pushing for communism.
idioteraser @ Aug 7th 2006 2:32PM
The piracy market is huge. There have been routine arrests of groups with hundreds of millions of pirated software. Stores that got raided often have had hundreds of thousands of pirated games.
So yeah they can estimate how much is being lost because guess what a lot of pirated software is actually sold for cash. It's a huge source of income for criminal organizations in various parts of the world. It's considered a lot more lucrative then drug traficking.
Often times the retail shops are willing partners to the pirates.
crono141 @ Aug 7th 2006 2:38PM
Cuz we all know that in communist russia (80s) and china, everybody gets all their gaming systems and games for free.
Moron.
Prices are high because the developers are the ones setting the prices, and they all set the prices the same. Its called price fixing, and there should be a federal investigation, because Gaming is one of the few places where capitalist tendencies are not working. Nobody is dropping the price on games or movies because all the publishes have some how, independently, decided that a new game is worth 50 dollars and movies are worth 20.
I call shinanigans!
idioteraser @ Aug 7th 2006 2:39PM
Maybe you should read reviews Steven or try out demos that are often put out to advertise the games or better yet go shopping for online deals most of those games will be 20 bucks four months from now.
There are tons of movie rental places you can rent the damn things for a month. Go netflix.
Yes I would say Piracy hurt Microsoft on the xbox. It barely outsold the gamecube and the game sales were in the toilet. Microsoft lost four billion dollars because guess what they were doing the software makes the money routine.
Gamecube games were incredibly hard to pirate so more were bought. Most gamecube games outsold most of the xbox games. Without Halo and noob fpsers buying the system most xboxs would never have been sold.
Scooby Doo @ Aug 7th 2006 2:39PM
Lostgamer, I can only imagine you must work in the industry, but I think you're missing the point most of us are trying to make. It's not that we completely dismiss that piracy and copying games is hurting the PC game industry, it's that we disagree that it holds that much weight. There are so many other factors involved and if you're like me, who doesn't pirate at all, it seems like a cop-out.
Piracy isn't something that crept into the woodwork recently. In fact, for all the talk about how much money is lost, I would argue that me and my friends were much worse about it in the late 80's and early 90's. I even installed a CopyIIPC board so I could copy diskettes bit-by-bit, allowing me to copy almost any PC game on the market back then.
Does it hurt the industry? You bet it does. However Mr. Cloud comes off that if piracy went away, all of sudden PC gaming would be mainstream again. We're just arguing that there are things his company (and the industry) could be doing in terms of distribution. development and hardware specs that would help push a lot more PC units. And for the record, I actively send e-mails to big development companies with my concerns but they don't seem to be listening.
idioteraser @ Aug 7th 2006 2:47PM
crono do you realize how much a developer gets out of that 50 dollar game each sale? About ten dollars and the game costs 20 million to make.
Do you know how many copies it takes at the 50 dollar price tag to break even? Yeah it's real high. But guess what most games don't make that number so a lot of developers go broke unless they do the movie or merchandise route.
It's why movie tie in games come out because guess what they are a surefire hit and the movie studio pays for the game development so the publisher and developer get a large cash wad.
Add in high def graphics and your game development costs triples. Make a new engine your game development goes up. Add in all that extra content you want and the game development once again skyrockets.
It's why you hear all this talk of ads and adware being put into your games ads you have to watch before proceding into the game.
It should also be noted the price is upped to compensate for the losses caused by pirates. Ever hear of shrinkage costs? Guess what retail stores do the same. In America 25 million dollars a day is lost due to the effects that shoplifters have on retail stores. It's why you see all that extra packaging on stuff such as those hard to open er visit inducing clamshell packs.
Tim @ Aug 7th 2006 2:47PM
As far as DVD Movies being in "impulse buy" range, that's just not true. I paid 30 dollars after tax for a DVD (canadian). That's ridiculous. That's an investment. It's a 2 hour film that I'll watch 1 time now, 1 time in 6 months, and 1 time three years from now. Not only that, but I dropped 15 bucks to see it in the theater. And that's why every movie except this one (I really wanted it) I just download. I'm not an idiot. I wont get screwed out of my money like that. I dont think anyone is stupid enough to put up with it.
The same applies for video games. CliffyB is definitely right, 4-6 hours, 20 bucks. Or stop making these single player campaigns no one cares about and just make the online fun. That would lower dev costs by a ton.
LordBug @ Aug 7th 2006 2:49PM
"The whole Starforce/SecuROM/SafeDisc compatibility issues have turned me, and my hard earned money..."
This is the exact reason I don't buy PC games anymore (and I don't pirate them either, before you ask). The copy protection schemes are horribly draconian. You want to dictate what other software I have installed? Piss off. You want to completely take over my CDROM drives? Fuck you.
My GC/PS2/DS libraries are expanding at quite a fast pace since I'm not spending money on PC games anymore.
PS - Message to the PC game developers: Quit using these bullshit schemes. You're killing yourselves with them. Piracy has nothing to do it.
Raptor @ Aug 7th 2006 2:55PM
Hey here is an idea....MAKE THEN GAMES CHEAPER! AND MAKE ONLINE TO PLAY PRICES WAYYY CHEAPER!
And POOF! People will pay to play there games and not steal!
crono141 @ Aug 7th 2006 3:08PM
Idioteraser,
Since that is the case (and it is) then PC games have passed the point of diminishing returns. The amount of time, effort, and money they put into a single title far outweighs the actual value of the completed product.
The solution, of course, is to stop programming for the bleeding edge of technology. They'd lower dev costs and have a much wider market that could buy their product.
Example:
Sure, DX10 is about to come out, and it'll make games look great. Its also a brand spanking new tech that will cost tons to develop for, and cost the consumer tons to be compatable with (DX10 cards anyone?). Conversly, developers could continue developing for DX 9 (expensive, but not as expensive as 10) or better yet, DX8. There were plenty of title for both series that looked beautiful. Production costs for DX8 is more than likely cheap compared to the other 2, and best of all, even the bargain PC's with onboard video can support most or all of the features of DX8 no problem.
Results, a wider audience with more compatable hardware with cheaper development costs.
Its the same reason devs are flocking to Wii. Its familiar technology, so they don't have to set up a new dev house to support it, production costs will be cheap, and its older, cheaper technology.
PC developers need to stop being such elitests. Everyone wants to develop a great game with cutting edge technology. But there just aren't any substantial returns on it anymore, and only the hardcore PC gamers can play their games.
Aim a little lower on the tech curve, costs drop, price for games drop, sales increase.
Peter S. @ Aug 7th 2006 3:43PM
Developers are only abiding by the nature of the beast: PC gaming requires constant upgrading. (Maybe not every one or two years, but more often than consoles.) That is the given and accepted difference between PCs and consoles.
"I think this is one of those situations where, if they were to cut the price of games, they'd make a lot more money. That's one reason people pirate games, the cost. Drop the price ten-twenty bucks, you'd sell more of them overall, make more money."
I hope you know how the business works, because cutting the price of games isn't always that easy. A company makes so much money and expects to run off said amount and keep it constant with more revenue. If the company makes less money, then it is harder for it to continue as it is and cuts must be made somewhere.
POOL'S CLOSED @ Aug 7th 2006 4:19PM
I'm Guybrush Threepwood, a mighty pirate!
herman allen @ Aug 7th 2006 4:21PM
I think piracy is not the sole reason PC gaming is in trouble, but its a big one. Everybody I know who plays pc games has at least 1 pirated game. The average pc gamer is tech savy, and getting bootleg copies is easy. There are keygens everywhere on the net. Yes its true that not all piracy equates to lost sales, but even if its a 1:5 ratio thats a lot of money. Then add in all the other factors: high game cost, ever-escalating hardware costs,the complexity/will it work factor, and consoles that look just as good and are cheaper. This all equals a small consumer group buying pc games. Online distribution seems to be the light at the end of the tunnel, but now your customers either need broadband or a download station possibly located in stores.
PayTheMan @ Aug 7th 2006 4:53PM
Anyone else notice how he subtly attacks the used game market with the quote "or who are buying the games in ways in which the developers aren't getting paid for it".
Of course he could also mean people buying the games from some shady middleman, but the possibility is still there. I know that the used game industry is considered a bane to developers.
Casey @ Aug 7th 2006 4:58PM
Hmm, Piracy. Tricky subject. Most people pirate games due to costs - why purchase a 50-60 dollar game when it can be downloaded for free?
When I first bought Doom 3, it was $60. It was Doom 3 and I had been waiting for it for 3 years, so hell yeah I bought it. I bought Halflife 2 as well, $50. Then it was Unreal Tourny 2k4, another $50. Then came call of duty, republic commando, starcrraft, wow - eventually costs added up. Eventually, the price of 4 games became $200. For four games that were beaten and hardly ever played again. $200. Xbox 360 games cost $60 a pop, and thats absurd. That is just BEYOND absurd. Gaming itself is just far to expensive. I probably have over $2000 in ps2, xbox, and gcn games, and $1000 on PC games.
I refuse to purchase a ps3, because the better version is $600. Each game will be from $60 to $100. That is whats going to kill sony in the next console war - its costs. Nintendo probably anticipated gaming cost, so they kept the tech familier - they have a suped up gamecube coming out, and I'll be buying that for sure. It doesn't have the super duper graphics the ps3 and xbox 360 have, but It'll have affordable games and, quite possibly, MORE games.
Game piracy happens due more to cost then anything else. A $10 decrease won't hurt that much.
Stick_Man @ Aug 7th 2006 5:12PM
Being a Dev I can say I have no problem with Piracy. I'm still under the firm belief that you should do what you love to do and the money will follow. Too many times have I seen people enter into the game industry with the intention of "OMG teh Money$111!" and decry Piracy and moan about lost profits. What I tell those people is quit! if you are in it just for the money then you don't need to make video games. Do what you love and try your damn hardest and the money will follow.
I've seen it work in every other industry. Every single person I know (with the odd exceptions here and there) that has become sucsessfull did so on the merits of they love what they do and try hard as hell. Conversley the people I know that aren't monetarily stable are the ones stuck in a rut doing stuff they hate and don't give a rats ass about it.
Though I would guarantee that the PC market should move to an online distribution model to offset rising manufacturing and distribution costs. That's just smart business. The world will always change. If you can't learn to adapt to a changing world you will die (economicly and business wise in this example ;) Dev's need to rally and push publishers to get more online distribution rolling and fast.
On a side note though. Sam & Max will be doing an episodic download scheme for the game though I don't know if they will be doing a "Steam-esqe" account validator or if it will be just a single download. I praise these distribution methods. If i don't want to play a certain part then I don't have to buy it. I'm not a huge fan of HL2 (I played it and it was good, but not my favorite game) But I can garantee that I will be buying "Portals" when it is released! How great, that I didn't have to spend another 50 bucks and I get it beamed right into my computer!
The wonders of modern technology! learn to embrace it.
Plug @ Aug 7th 2006 5:46PM
Someone made an interesting comment that I forget but is sorta related to what I will say: I don't pirate games I think are worth buying. I have a special edition copy of Oblivion sitting on my desk, paid at full price, because I felt it was worth it. All the other games I've pirated, there's no way in hell I'd ever actually purchase them. Case in point: I tried to download Prince of Persia: Two Thrones, but since it has star force, I couldn't get it to work. Did I purchase the game because of this? Nope. Didn't feel it was worth it. I purchased Gothic 2, Baldur's Gate, KOTOR, but if I pirate anything, it's because I know I would never, ever purchase it.