EA's Peter Moore: Digital Revenue Will Overtake Physical in Two Years

February 21, 2014 - GamePolitics Staff

Electronic Arts COO Peter Moore says that his company's digital revenue will overtake its physical disc sales in two years. Moore made the comments during a conversation with Entertainment Software Association president Mike Gallagher at the Digital Entertainment World conference in Los Angeles, as reported on by Games Industry International.

And while Moore thinks the new consoles are in a good position at this moment in time, he also says that the mobile gaming space is booming. Moore also said that the games industry must embrace what he calls "creative destruction," as consumer tastes and habits shift. Moore believes that the most important thing for EA is how to deal with games becoming live operations. This, he contends, means companies need to have a massive infrastructure to deal with customer service and global billing. And customers have an anticipation that these "services" will be available 24/7. Moore acknowledged that EA has had challenges in this area.

Moore also believes that the Internet has helped EA transition from selling to retailers to selling directly to gamers. He claims that, EA has tripled its customer support staff resources in the last five years. Moore also believes that marketing has changed dramatically.

"TV ads today are chum in the water. It attracts customers, then reel them in with digital media so you can engage instead of pushing a message out," he remarked.

Moore touched on some interesting topics in his discussion, including the fact that the industry is changing right now. When brand name developers like Irrational's Ken Levine and former Epic designer Cliff Bleszinski are turning to digital only and working with smaller teams that sell directly to players, it is clear that the industry is shifting into new territory and those companies that don't pay attention to the trends could end up in a bad position a few years from now.

Source: GII


Comments

Re: EA's Peter Moore: Digital Revenue Will Overtake Physical ...

Well, they won't be getting digital revenue from me.  I refuse to allow my computer to be infected with Origin.

Re: EA's Peter Moore: Digital Revenue Will Overtake Physical ...

Didn't they say this two years ago?

Re: EA's Peter Moore: Digital Revenue Will Overtake Physical ...

Because, ya know, EA has been so on the ball about everything else! So it must be true!

Re: EA's Peter Moore: Digital Revenue Will Overtake Physical ...

No, I think that they are actually on the mark for this one about digital revenues. The problem is that they're a pack of inept jackals, and they'll destroy the market in the process of trying to milk it. Nobody in charge read the story about the goose and the golden eggs, and it shows.

Re: EA's Peter Moore: Digital Revenue Will Overtake Physical ...

Hi There,

I concur that digital downloads will over take physical disc based sales. Much like Netflix blew Blockbuster bricks & mortar franchise out of the water. I fear "Game Stop / EB Games" is facing the very same barrel of the gun that Blockbuster faced in the near to mid future.

Also taking note that EA is noticing the loss of business from innovative developer studios due to the KickStarter phenomena of self-financing to the public at large.

It's been over a decade that game publishers have had a sorry response to customer support. Be it in house developed or subcontracted out with a service bureau that handles customer service for several companies.

Member of "The Older Gamers" Since 2004.

http://www.theoldergamers.com/

 
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