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THE GAMES INDUSTRY INDUSTRY STRUCTURE
INTRODUCTION• The games industry, once a niche form of interactive entertainment often dismissed as being for children or teenage boys, is now a multi-billion pound industry that rivals the film industry in terms of revenue and prestige.
INTRODUCTION• Gaming was perceived as having ‘hobby culture’ (created by enthusiasts rather than big business) as recently as the 1970s so this is relatively young industry and the way it functions is constantly changing.
INTRODUCTION• The main reason for this is due to it being a technology led industry, and as software and hardware develops so does the framework around which games are created, sold and consumed.
INSTITUTIONSThe games industry is made up of thefollowing institutions:Developer - Publisher – Distributor –Hardware – Consumer
PUBLISHERSThese are companies that areresponsible for the marketing anddistribution of the game.
DISTRIBUTORA distributor works with retailers (shops,online) to make product available forthe consumers to purchase. In thegames industry the Publisher usuallyhandles the distribution.
HARDWARE MANUFACTURERSWhile developers create software, othercompanies create the hardware that thegames run on. In the games industry themajor players are Microsoft, Sony andNintendo who make the Xbox 360,PlayStation 3 and Wii respectively. There are,however, many other types of hardwareapart from consoles on which games can beplayed such as PC, phones and handhelds(DS, PSP).
CONSUMER• Or ‘the audience’ - anyone that buys, plays, downloads games.
STRUCTURE• Basic illustration of how the videogames industry functions and the process in which games go from ‘concept to consumption’:• Developer - Publisher – Marketer- Distributor – Hardware -Retail– Consumer
HOWEVER…….• Because of new technology, convergence and new ways of distribution the development of concept to consumption has changed• E.G.developer-Facebook-Consumer
PAIRED ACTIVITY/FEEDBACK• Research into two games!• One which fits into the traditional model of concept to consumption and one which fits into the new model of concept to consumption• Using your notes describe the process of the game from development to consumerism!• Who is the developer? What stages were taken for the game to reach its audience? What is the revenue of the game? Where can you play the game? Etc….