MS exec talks digital distribution

[GunnyMo]

GameIndustry.biz (http://www.gamesindustry.biz/content_page.php?aid=21076) has a short interview with Microsoft's casual games head honcho, Kim Pallister. They are talking about digital distribution and if it will have an effect on the brick and mortar retailers.

Speaking in an interview at the Montréal International Games Summit last week, Pallister said, "In terms of the short term, I don't think they're going to suffer a great deal for a number of reasons."

[GrinR]

I don't think they're going to suffer a great deal

When folks measure how things are going to be by what degree of suffering, that's bad.

"Hi boss, you wanted to see me?"
"Yes, sit down, I don't think your're going to suffer a great deal..."

No, that's not what I want to hear.

[Stryfe01]

I don't think so either...MS needs to up the storage limit on Live titles to like 2GB, and then start releasing some of their older games from Xbox using the much talked about breakthrough compression technology. Then they need to get less casual games and craptacular old school games. i like playing a clasic, but it's not worth downloading over Live! when I can play it on my pc.

[GrinR]

I don't think so either...MS needs to up the storage limit on Live titles to like 2GB, and then start releasing some of their older games from Xbox using the much talked about breakthrough compression technology. Then they need to get less casual games and craptacular old school games. i like playing a clasic, but it's not worth downloading over Live! when I can play it on my pc.

If you're a BnM retailer and suddenly Microsoft decides to sell the same stuff as you directly to their customers, how would you feel?

Personally, I'm all for it, but to say that retailers aren't going to feel the burn is silly talk.

[Jesse James 27]

I really don't think that digital distribution of games is a real to BnM businesses yet, and probably won't be for quit some time. I mean, first the dev and Microsoft (or whatever console maker it is) have to come up with a viable distribution method that can handle the bandwidth and storage devices that are large enough to support full-scale games.

Aside from that, with the consolidation of Evil Stop, and the continuing power of Wally World, there is enough pressure from the retail end to minimize the "harmful" distribution digital games. Combined they own over 60% of the video game market, much less how large of the console market they own. All they have to do is threaten the distributors now, and they get what they want (ex: street dates). Kinda like the oil industry blocking efforts to branch into alternative fuels.

My point is that I wouldn't be too concerned about this for a very long time.

[OrangePulp]

By "compression technology", are you by chance referring to what's used in Roboblitz? Because if so, it's not really compression per se; it's procedural content generation. And you can't just remake games to take use of that, it has to be something that the game is designed for.

[if76]

Good riddance to BnM. With the way they hurt game sales with their used games, they deserve whatever's coming to them.

I'm hoping for the day when a developer can make a <15 hour game and not lose half their sales to BnM bastards.

[GrinR]

Good riddance to BnM. With the way they hurt game sales with their used games, they deserve whatever's coming to them.

I'm hoping for the day when a developer can make a <15 hour game and not lose half their sales to BnM bastards.

I'm still dreaming of getting games in jewel cases. With manuals that actually explain how to play.

[BenkeiHami]

When asked about the possibility of full size Xbox 360 games being distributed digitally, Pallister replied, "Will we eventually get there one day? Possibly, but it's quite possible that the games grow in size and outsize the bandwidth growth or whatever.

He's only talking about the smaller games anyway, do retails stores sell these?

[Jesse James 27]

He's only talking about the smaller games anyway, do retails stores sell these?

Well, not necessarily. But he does go on to talk about how many of these games, if succesful, turn back up in retail stores with prettier packaging and higher price tags... which does help the retailer.

But many of the retailers do sell the Microsoft Points in pre-paid card form. While I'm not sure what kind of profit the retailers see from the points themselves, I'm sure that they are happy to have another opportunity to drive traffic into their store and increase sales by cross/up selling.

In any case, I think that it's a viable venue that needs to be explored in detail to move forward. We'll see a lot of fumbles (Lumines anyone?), and some great successes (Elder Scrolls Add-ons), before the market decides how digital downloads will play out in the long run.