Game Creation for Everyone Overview and Industry Analysis
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The document discusses opportunities in the game creation industry. It begins with an overview of GameSalad, a tool that allows developers to create games for multiple platforms without coding. It then provides statistics on the game industry and market segments. There is a brief history of video games from the 1970s to present, focusing on trends and major companies. Examples are given of the Austin, Texas game industry. The document outlines areas of upheaval in gaming brought about by social, mobile, and free-to-play models. It discusses new revenue sources like in-app purchases and advertising. In closing, it argues gaming remains a significant investment opportunity.
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Game Creation for Everyone Overview and Industry Analysis
- 1. Game Creation for Everyone.
- 2. Overview Shameless Plug - GameSalad Industry Overview Quick History of Video Games Austin Game Industry Industry Upheaval Opportunity Investment Considerations GameSalad 2
- 3. GameSalad 3
- 4. GameSalad: A Professional Tool for Everyone! GameSalad allows developers to quickly create successful games for iOS, Android & HTML5 without having to write a single line of code. World’s Fastest App Creation Engine No Coding Required! Drag & Drop Interface Powerful, Professional Tool Multi platform: iOS, Android, Web & Win8 500,000 65 Top 100 developers games in the US App Store GameSalad 4 11,000 100,000 iOS games total games
- 6. Global Games Market Today Video game revenues will grow to $70.4 billion worldwide this year, representing a 6% year-on-year increase. The number of gamers is expected to surpass 1.2 billion by the end of the year. GameSalad 6
- 7. Video Game Market per Region GameSalad 7
- 10. Quick History of Video Games 10
- 11. 1970s 1st video game launched in 1971 Atari released Pong in 1972 Space Invaders (1978) - 360,000 cabinets and $2B Atari 2600 (1977) - home video game market GameSalad 11
- 12. 1980s “Golden Age” of video arcades Arcades $8B revenue 1982 (more than pop music & film combined) Pac Man - $1B in 1980 (350,000 cabinets) The Crash - 1983 Nintendo Entertainment System GameSalad 12
- 13. 1990s New tech - CDs, 3D graphics, new CPUs 1998 Revenues - $30B worldwide Start of mobile gaming Emergence of internet and competitive gaming GameSalad 13
- 14. 2000s XBox 360 & Playstation 3 iPhone and Android Facebook & browser based gaming Asia GameSalad 14
- 15. Almost Forgot: Handheld Gaming GameSalad 15
- 23. Game Industry Upheaval Social Gaming (Facebook) Mobile Gaming (Smart Phones) Rise of Free to Play & Virtual Goods In Game Advertising Digital Distribution Gaming as a Service Data Driven Design New Console Generation GameSalad 23
- 24. Traditional Publishing Flow Game Developers Game Publishers Game Players Game Retailers GameSalad 24
- 25. Social Gaming New gamers and mechanics Easy to play * no winner/loser Viral elements (play with your friends) Free to play and virtual goods New game platform GameSalad 25
- 27. Growth of Smartphone Usage GameSalad 27
- 29. Mobile Games and Purchasers GameSalad 29
- 30. Free to Play - In App Purchase GameSalad 30
- 31. Free to Play - Growth of Model GameSalad 31
- 34. Gaming as a Service Device and Platform Agnostic Increase Engagement and Stickiness Improve Monetization EA Origin & Valve’s “STEAM” MMOs Downloadable Content GameSalad 34
- 37. Opportunity 37
- 38. Big $$$ for the Top Games GameSalad 38
- 41. Video Game Dev Costs GameSalad 41
- 42. But Lots of Competition Over 800,000 Apps in the iOS Store GameSalad 42
- 43. Investment 43
- 44. Kickstarter Pre-sales reduce risk 3/4 of video game Kickstarters fail Most video game fundraising is in 10s of thousands GameSalad 44
- 45. Gaming is (Still) a Great Bet! Virtually unopposed growth opportunity ** Big publishers are distracted by new consoles Plenty of “Blue Water” opportunities ** Opportunity to define a genre Chance to go global ** China, Japan and Korea - high Android adoption Unprecedented Margins ** Low headcount - can get to profit quickly M&A / IPO Markets ** While Zynga has slowed things down, it will be back GameSalad 45
- 46. Investment Considerations Passion: business or gaming or both? Team Game - Hit Driven Industry Monetization Kickstarter Data / Live Game Management Distribution Localization Revenue Source Company GameSalad 46
- 48. Game Creation for Everyone