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forenoon filings

shiny, oh so shiny

e3 previews the online battleground

Wednesday, May 10, 2006
After observing the success of the Apple's iTunes service and the proof that given the right price many consumers are willing to buy into an online entertainment service, it should come as no surprise that the big three gaming companies are all positioning themselves to make their next three consoles centred around the online experience.

Nintendo, as in previous years (cf. optical storage) has decided to join the online battleground quite late - although when we say join, we mean actively promote a service, as opposed to releasing the necessary add-ons and letting us figure the rest out! But one thing that Apple's iTunes Music service unexpectedly awoke content providers to was the fact that the majority of users do not necessarily want to pay for complete or epic downloads. The $0.99/79p download allows (or even it could be argued) actively encourages bite sized consumption. Nintendo appears to be aiming for that same level of use with its announcement that classic (and - more importantly - shorter) games will be made available to download from their own and SEGA's and NEC's respective libraries.

If the price and organisation is executed correctly, this could easily give Microsoft a strong level of competition. After reading accounts of the Microsoft E3 event, it has shown how much the Live service has grown from strength to strength. Many people were rather sceptical, and prematurely critical of Microsoft for adopting a centrally controlled online environment. The Live Arcade has clearly struck a chord with many users who do not have the money, or more importantly the time to invest in many full length games. One area of Live to watch is its rebirth as a pseudo online independent publisher (following on from Steam).


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