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Filed under: Business models

The Daily Grind: Is there a difference between item malls and gold farmers?

Filed under: Business models, Culture, MMO industry, Making money, The Daily Grind

With the recent news of China banning the exchange of virtual currency for real world currency, it brings up the future of gold farming in that country, and possibly the world. While China is certainly not the only country which employs MMO gold farmers, it's often labeled as the biggest offender. There is certainly a difference between trading real world money for virtual money and trading virtual money for real world money, but this new China legislation shows that the legalities of both practices are becoming real issues to lawmakers.

So we're curious to know how you feel about the whole process of trading in either direction. It was once a stigma among gamers, but many companies are adopting this practice in a legal way, conducted by item stores and in-game currency exchange. Besides the fact that these item malls are supported by the game studios, do you see a difference? If so, what are they? Discuss!

How do you support players that don't trust your support?

Filed under: Business models, Culture, MMO industry, Free-to-play, Browser, Casual, FusionFall


Let's face facts -- people don't like admitting that they don't know something or need help. They'd rather hammer at the problem until they solve it themselves, or they'd rather ask a trusted friend for help. Kids are super guilty of this, as they'd rather not tell an adult when they can't do something themselves.

So how do you work with kids when you're the support staff of their favorite game?

Steve Wilson, customer service manager of FusionFall, decided to do some digging with support groups to find what they could do better in their customer support. What did he find out? Simplicity is key -- something that goes way beyond just the 8 to 13-year-old demographic.

Customers don't want to be railroaded through a knowledgebase, nor sent to be put on hold with phone support. They'd rather perform a quick in-game chat to have their problems solved.

He also found out that players would rather consult with other players than a member of a support team, which is why why FusionFall puts such a strong emphasis on their community forums and the support section. Players can ask questions of their fellow players while a support agent can chime into the threads when necessary. It maximizes the agent's time, and it allows the player to feel comfortable. A win-win all around!

[Via Parature]

The Chronicles of Spellborn to be re-developed as free to play, bankruptcy issues loom

Filed under: Fantasy, Business models, MMO industry, The Chronicles of Spellborn, News items, Free-to-play, Chronicles of Spellborn


The Chronicles of Spellborn only launched a few months ago, but they've already announced that they're going to "re-develop" the game as a free-to-play title. Acclaim Games stated on Monday: "The development is planned to carry into 2010 and will include several enhancements and changes to the current game. The enhancements and development of the new model will be carried through a joint venture between Spellborn NV and the development studio of Frogster Asia Co. Ltd based in Seoul, the Korean studio bringing its expertise in the field of free-to-play and micro-transactions."

Once this re-development is complete The Chronicles of Spellborn will cease to be a subscription game and will switch over to the free-to-play model. We're not sure if there will be any further development on TCOS as it exists now, but a post on the game's EU forums by community manager Kelas stated, "For now, the servers and system (subscription) will remain the way it is. There are still people available for running the daily work and systems."

Massively speaks with Sparkplay Media's CEO on Earth Eternal

Filed under: Fantasy, Business models, New titles, Free-to-play, Browser, Casual, Earth Eternal, Massively Interviews


With Sparkplay Media's first game, Earth Eternal, going into beta, we got the chance to sit down with the CEO of the company, Matt Mihaly, and pick his mind on a variety of things related to setting up shop in the free to play genre.

Matt's no stranger to the massively multiplayer space, holding a strong background as the CEO and founder of Iron Realms Entertainment, a company dedicated to creating multi-user dungeons (MUDs) including Imperian, Aetola, Achaea, and Lusternia. If that wasn't enough, Achaea was one of the first games to introduce the sales of virtual goods, making him one of the pioneers of the base that free-to-play games now stand on.

So what's his thought process behind Earth Eternal? What are some of the things we can expect from the MMO that's sporting over 22 races? Hit the continue reading link, and find out!

Massively speaks with Sparkplay Media's CEO on Earth Eternal pt. 2

Filed under: Fantasy, Business models, New titles, Free-to-play, Browser, Casual, Earth Eternal, Massively Interviews


How have the launches of FusionFall and Free Realms affected Earth Eternal? Have you changed your development or goals in any way because of the success of those two games, or have you stayed the course and continued to build things your way, disregarding those two games?

Not really, no. Games like Runescape and Habbo have had more influence on our plans than either of those two games, simply because they're so much bigger. FusionFall and Free Realms have gotten a lot of press in the last year, but neither of them have achieved the level of success that games like Runescape and Habbo have.

Actually, nobody really knows how Free Realms is doing outside of SOE. Three million registrations doesn't tell you much about how many active players they have as you don't know how quickly players are churning out of the experience. With the massive dollars they spent on marketing too, it'd be surprising if they couldn't get a few million registrations. The challenge for them (and everyone else in this space, including us) is to convert that fleeting attention into long-term, loyal players.

"We're more in the vein of a classic fantasy MMO than a collection of minigames."

How will Earth Eternal separate itself from the growing free-to-play genre in America? What will make this game stand out?

We're a different kind of experience from FusionFall or Free Realms. We're more in the vein of a classic fantasy MMO than a collection of minigames. I think where we stand out is by offering the best browser-based fantasy MMO out there. We've made the decision to have no humans, elves, or dwarves (or gnomes, hobbits, or anything else too close to human), preferring instead to offer everything from humanoid lizards and falcons to the Clockwork and Yeti. We're definitely fantasy but we want to stay away from the pack, almost all of whom have the humans/elves/dwarves thing going on. We've also got an enormous number of races for players (unlike the two games you mentioned) – 22 at launch.

Considering all of Earth Eternal's development, what part of the game are you the most proud of? What is that one feature you can't wait to show off?

The number one thing I'm proud of is how much our team has managed to do on relatively little funding for an open world 3D MMO (about five million dollars.) As far as game features go the biggest feature I'm looking forward to showing off is our Groves system, which will be introduced at final launch, a few months after we go into open beta.

Thanks so much for your time, Matt!

Mortal Online pre-orders delayed by two weeks

Filed under: Fantasy, Business models, New titles, News items, Mortal Online


We announced some details about the Mortal Online pre-order which was slated to kick off today in the game's online store. However the Mortal Online developers, Star Vault, announced there will be a two-week delay with the launch of the Mortal Online online store.

Star Vault CEO Henrik Nystrom announced: "On the 25th of June we brought you some good stuff, but today we have to bring you bad news. We have been working very hard to get the shop up and for it to accept different methods of payment, however it's not obvious we have been too optimistic this time as we have encountered several last-minute problems.

More information and a new schedule will be announced on the Mortal Online game store soon."


(Thanks for the tip, Rhys)

38 Studios CEO Brett Close on the Big Huge Games acquisition and the Copernicus IP

Filed under: Fantasy, Business models, Interviews, MMO industry, New titles

Joystiq's fearless leader Chris Grant recently caught up with 38 Studios CEO Brett Close to discuss their recent acquisition of Big Huge Games, and what this might mean for the "Copernicus" MMO. Massively has mentioned Copernicus at a few points in the past, but unfortunately in terms more vague than we'd like. We know it's a fantasy MMO project that draws upon notables like R.A. Salvatore and Todd McFarlane, but Joystiq turned up some more info about Copernicus.

Close stresses that Copernicus is an IP that will exist in several channels; there will be books, graphic novels, and of course an MMO that draws upon these elements. "Rather than drilling into details about why this is going to give people something they have never experienced before... what I will tell you is that it's simply based on that talent [R.A. Salvatore and Todd McFarlane] and based on our approach and our experience in building these products. There's nothing like it out there right now. And I don't believe there's anybody working on anything like this right now."

Square-Enix sued over "hidden fees" in Final Fantasy XI

Filed under: Fantasy, Final Fantasy XI, Business models, MMO industry, Consoles, Legal

A class action lawsuit has been filed earlier this week against Square-Enix North America for intentionally deceiving customers regarding hidden penalties and fees associated with the PlayOnline and Final Fantasy XI service.

The suit, filed on behalf of Esther Leong of San Francisco, is seeking over 5 million in damages. The suit also goes on to specifically list the penalties for the late payment of fees, the interest charges for unpaid fees, charges that occur while the game account is suspended, termination of game service for unpaid fees, and the termination of game data due to the late payment of fees as the specific causes of this lawsuit.

In Square-Enix's defense, however, the suit also lists the standard monthly subscription as being intentionally decieving. Final Fantasy XI's case does, in fact, say that additional online fees would be required and it also has a large sticker announcing "Free subscription for 30 days!" on the front of the box -- something more than most online games provide regarding their subscriptions.

We have contacted Square-Enix, and are currently waiting for their response to this matter.

[Via IGN.com]

Realtime Worlds to announce second MMO project next year

Filed under: Business models, New titles, News items, All Points Bulletin, Crime


Not one, but two MMOs are to come out of Realtime Worlds, the Scotland based developer of All Points Bulletin. Even more intriguingly, this second MMO is actually the company's original MMO project!

According to Realtime's CEO, Dave Jones, during his keynote speech at GameHorizon, their original investment drive of 30 million dollars was actually for their new product, this unnamed MMO. However, due to the ambitious nature of the project, All Points Bulletin was moved forwards in the production list to give the company a solid foundation before moving onwards.

While all details of this next project remain a mystery, Jones has said that the company is very excited to move fowards with this next project, their original MMO project. While we can't first hand attest to how ambitious this project is, we believe that actually moving your project backwards just so you can get another MMO out first really says something about how ambitious the project is.

The Daily Grind: What MMO would you like to see go free to play?

Filed under: Business models, MMO industry, Opinion, The Daily Grind


We all seem to have that one game that hangs on the edge of our radar -- taunting us with alluring gameplay mechanics while still being just expensive enough for us to pass up the offer. You want to play it, you really do, but you just don't want to pay that much for it.

Yet, Dungeons and Dragons Online has shown that it's certainly not impossible for developers to embrace a new business model. So that now begs the question, "What game would you jump all over if it went free to play?" If you could choose any game in the whole MMO genre, what game would it be?

Furthermore, why that particular game? What about it makes you want it to be free, so you can get your paws all over it? Speak to us, oh readers, via that little comment box below, and shout your opinions to the internet beyond!

Facebook MMO is the Warcraft killer, says EverQuest's lead developer

Filed under: Business models, Culture, Game mechanics, Interviews, MMO industry, Opinion, Casual, Virtual worlds


Ryan Barker, the lead designer of EverQuest, is a man who believes in the power of Facebook and social networking. In an interview with The Escapist, Barker is quoted as saying that a Facebook MMO might have the power to eclipse the MMO market much like World of Warcraft has already done some years back.

Barker's reasoning behind declaring a Facebook MMO as a champion is due to the ease of playing with your friends. Facebook has the power to remove many of an MMO's social blocks, such as a lack veteran players, ease of access, a lack of servers, and the ease of playing with your friends, and turn those stoppages into forward momentum for a game and its community.

Online gamers are logging more hours, but spending less money

Filed under: Business models, Culture, MMO industry, News items, Free-to-play, Casual


Interactive marketing firm Future Ads revealed a very telling survey from Gamevance today, showing that casual gamers were playing games for longer, yet were spending less money on them overall. Other notable sections of the survey showed a declining gender gap in the gaming population, a melding of the "casual" and "hardcore" gamer markets, and a decline in purchases made for video game consoles.

Gamevance's survey revealed that 61% of the 8,000 "casual" gamers who responded said they were playing games for longer periods of time than they were a year ago. However, 80% of those same gamers reported that they were cutting back on console game purchases while 77% of the 8,000 stated that the biggest drawback to console gaming was that it was too expensive.

Pair this with the rising Free Realms, Wizard 101, and FusionFall populations, as well as the proliferation of free online gaming sites, and you have a very noticable switch to cheaper gaming alternatives. Will this recession be the rise of the free to play gaming model in America, or will this die off once the economy stabilizes?

[Via GigaOm]

Black Prophecy creators reach out to the community

Filed under: Sci-fi, Business models, Game mechanics, New titles, Black Prophecy


Black Prophecy is a space-based science fiction MMO in development at Reakktor Media in Germany, which we've covered a bit here at Massively. But the fact is that Reakktor may not be a company that many MMO gamers are all that familiar with. The Black Prophecy team has decided to try and remedy this, with a Q&A in their community forums that introduces a bit about CEO Kirk Lenke and development director Simon Bachmann, as well as their approach to the game.

Ultimately, the Q&A answers some of the questions that people have about Black Prophecy, both in terms of game mechanics and the business decisions behind getting the title published.

2009 online game revenue could reach $11b

Filed under: Business models, MMO industry, News items


Analysts really do like to live up to their job titles, because Colin Sebastian went all out at this year's E3 event. But his biggest prediction? This year online games will rake in $11 billion dollars in revenue, out of a global $44 billion in the videogame market. That's a whole heaping ton of cash, and a sizable chunk of the pie, too.

With Free Realms hitting three million players in only two months, it's safe to say that online games are indeed becoming a force to be reckoned. We're kind of in amazement when considering the potential numbers of Star Wars: The Old Republic's first few months after launch.

The next few years are certainly going to be interesting for online games. Hopefully by the end of it all, we'll still be able to walk outside without immediately hissing and burning alive from the sunlight.

Market research firm predicts population explosion for virtual worlds

Filed under: Business models, Economy, MMO industry, News items, Virtual worlds


We all sort of knew that virtual worlds usage would continue to grow over the years, but a new report put out by Strategy Anayltics has given us some numbers to think about -- and they're pretty darn big. They've predicted that by 2015, the overall population of virtual worlds will go from what it is now at 186 million people all the way up to 640 million, or more than triple today's userbase. Here's the firm's breakdown of the populations today and in the future:


"Kids" in this case refers to those aged 5 to 9, and as can be seen in the above table, this group is predicted to grow the most over the years. As for how companies will cash in on all this growth, subscriptions are still listed as one of the key drivers of revenue, but 86% of revenue in 2015 will come from microtransactions -- this equates to a growth from 2008's microtransaction figure of roughly $1 billion, to $17.3 billion in six years time.

[Via Virtual Worlds News]

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Events Calendar

NameDate
Fallen Earth Launch Q2 2009
Global Agenda Closed Beta July 2009
CrimeCraft Launch Aug 25 2009
Champions Online Launch Sep 1 2009
Cities XL EU Launch Sep 3 2009
Aion Launch Sep 22 2009
Earth Eternal Open Beta Q3 2009

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