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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."

Mytheon site launches with trailer, game to release in Q1 2010

Filed under: Fantasy, Historical, New titles, Free-to-play, MMORTS


Mytheon from Petroglyph Games is a title we've mentioned in the past, as it's a different take on the type of games we cover at Massively. Essentially it's an MMORTS, and as such may be comparable to titles like Dreamlords the Reawakening or even Atlantica Online. As its name implies, Mytheon is rooted in ancient world myths, which could be a nice departure from the numerous pure fantasy games on the market. At launch Mytheon will have content based in ancient world Greece and Egypt.

The game mechanics seem to be heavily tied in to power stones, which provide different benefits to the game's three classes. According to Petroglyph: "The collection and casting of Power Stones is the backbone of Mytheon. Power Stones initiate every in-game effect possible, from summoning minions and structures that fight for the player, to conjuring fireballs and lightning bolts and healing a party." Mytheon can be played solo, but will also have group and PvP gameplay options. The game's first trailer might give you a better idea of what to expect. It's embedded on the new game site, and offers some of the first glimpses at Mytheon's gameplay as well as the setting of Hades.

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]

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]

A closer look at revenues in free-to-play MMOs

Filed under: Puzzle Pirates, Interviews, MMO industry, MetaPlace, Free-to-play, Casual


The free-to-play business model in the MMO industry is one that lets users play a game for free in hopes that a percentage of that userbase will opt to embrace microtransactions, allowing F2P game operators to potentially bring in more revenue per month than they would maintain through subscription fees. We periodically see announcements of yearly revenue from some of the larger companies, but these figures are typically announcements of average revenue per paying user (ARPPU), emphasis on 'paying'. But how much money are free-to-play MMOs really making? This is the subject of an article at Gamasutra written by Paul Hyman titled, 'What Are The Rewards Of 'Free-To-Play' MMOs?"

Hyman catches up with Raph Koster (Metaplace), Daniel James from Three Rings Design (Puzzle Pirates), and Jeremy Liew from Lightspeed Venture Partners (a funding source for F2P MMOs) to discuss the microtransaction model.

Runes of Magic community manager Jörg Koonen on game currencies and reducing gold spam

Filed under: Fantasy, Business models, Economy, Game mechanics, Interviews, Free-to-play, Runes of Magic


With only two months of operation under its belt, fantasy game Runes of Magic already seems to be enjoying a great deal of popularity. Runes of Magic uses the free-to-play business model, which is discussed in an interview with community manager Jörg "Kerensky" Koonen. Sam "Azerian" Maxted from ZAM caught up with Koonen to discuss the game's launch and where the title is headed in future updates, but their talk quickly turned to some of the details of how the game's economy operates.

Koonen discusses how players have responded to Runes of Magic's microtransaction system through the in-game Item Shop, and that by design the Item Shop doesn't sell certain types of items. "We do not sell any weapons or armour or such," he says. "All of this has to be collected by the players through the game." However, Runes of Magic also uses non-microtransaction currencies and some players are concerned that their gold lacks real value in the game. Koonen says that the developers are looking into this. They're presently gathering feedback from the playerbase and are willing to introduce other measures, if necessary, to ensure that non-microtransaction currencies serve a purpose in RoM.

The Digital Continuum: Business as unusual

Filed under: Business models, Opinion, The Digital Continuum


The subject of microtransactions has long been a point of contention. Not only do some people feel that the practice somehow lessens a game's worth, they consider the very act to be malicious in nature. Other people seem to be welcoming the idea with open arms, and more and more game developers are redoubling their efforts in North America and Europe. The reason? They don't want to get left behind.

The big business of selling virtual goods

Filed under: Business models, MMO industry, Virtual worlds

It doesn't seem like it was that long ago that the entire concept of people spending real money on virtual items and currency was just bizarre. The first mentions of such a thing this writer ever came across were back in 2003, when Julian Dibbell told the story of Black Snow Interactive, rumored to have been operating virtual sweatshops operating in Mexico. Fast forward to 2009 and the notion of shelling out real world cash for the ephemeral has become commonplace. Moreover, these formerly arcane business models centering around virtual trading have ballooned into a huge business, much to the chagrin of many game companies and their players.

However, not all companies attempt to fight this ever-increasing gravity of real money trading (RMT) that now permeates the MMO and virtual worlds industry, and some seek to make it an aspect of their business that they control rather than something they need to curb. Indeed, the profits of many (legitimate) businesses are largely derived from sales of virtual goods, as Rory Maher explains at paidContent.org in his article titled "From Pet Penguins to Flame Throwers: The Biggest Sellers In The Virtual World".

Maher looks at three companies doing well for themselves in the virtual goods game, and what they're selling that's proven so popular. He points out Tencent, a Chinese IM provider that incorporates microtransactions into the service, allowing users to spend their "QQ" currency to enhance and customize their IM interactions, even buying virtual pets that exist on their desktop and run around inside their instant messages.

Champions Online getting microtransactions?

Filed under: Betas, Sci-fi, Super-hero, New titles, News items, Champions Online


Eurogamer are reporting that upcoming MMO Champions Online may be testing out in-game microtransactions. Last week during their press beta coverage, they noted a Champion Store. While not currently active, using it summons an error which mentions microtransactions.

They contacted Cryptic for a chat and got the following response from an unnamed spokesperson: "As you may have noticed in the recent play test for Champions Online, we are currently testing functionality for in-game transactions. Virtual asset sales are a necessary component of the greater Cryptic platform since we plan on working on a number of different titles using our technology platform. At present we do not have any finalised plans for how and if these will be implemented in future releases."

Parallels between free-to-play MMOs and the iTunes Store

Filed under: Business models, MMO industry, Opinion, Free-to-play


Have you ever looked at your favorite subscription MMOs and thought about how much of the content available there you actually play through, use, or experience? Do you ever feel you're paying for more than you're actually using? Beau from the Spouse Aggro podcast points out an interesting parallel between how free-to-play MMOs vs. subscription titles relates to the iTunes Store vs. buying CDs.

Even though many people embrace the piecemeal approach to buying music through services like the iTunes Store, there are still plenty of consumers out there who still prefer to buy their music on CDs. After all, that's just how it's been done for years and some people really like to own a CD. They might not listen to every track frequently, but the music's always there for them in case they choose to enjoy it at some point. But how many times have you bought a CD after having heard a certain track you like, only to find out that only a few tracks on that CD are actually good? Maybe your friends like the whole album but for you, there are only a few you'll ever listen to. Did this make you look at the entrenched idea of having to buy the whole CD differently?

Petroglyph general manager Chuck Kroegel on Mytheon's union of MMO and RTS

Filed under: Fantasy, Historical, Interviews, MMO industry, Free-to-play, MMORTS


We've been seeing a number of new options in online gaming, some clearly definable as being 'massively multiplayer', others less so. One of those game categories that blurs the line a bit is the MMORTS (massively multiplayer online real-time strategy) game... we'll probably just stick with the acronym from now on. But we've wondered, what exactly can we expect from RTS titles as they adopt more features traditionally associated with MMOs?

Steven Crews from The MMO Gamer spoke with Petroglyph Games general manager and executive producer Chuck Kroegel about their upcoming title Mytheon. The game is a free-to-play, downloadable title that will be supported by microtransactions and focuses on the myths, heroes, and monsters of the world's ancient cultures. Crews asks the questions we think are on a lot of people's minds when they hear "MMORTS" -- "Why bring strategy games into the MMO space? What do you get from a persistent universe that you couldn't get out of something like Battle.net?"

Live Gamer's Andy Schneider on legitimizing RMT in games and virtual worlds

Filed under: Interviews, MMO industry, Virtual worlds

Most mentions of real money trading (RMT) in massively multiplayer online games and virtual worlds conjure up images of virtual sweatshops and the resulting blitz of gold spam. Despite how loudly many protest against the idea of RMT in games, the fact remains that there is a market for this and people spend a lot of real world money on virtual goods every year.

Live Gamer is a company that aims to legitimize real money trading, creating a way for players to spend their cash without the risks inherent in dealing with shady gold and item sellers. It also ensures that money spent on virtual goods is going back into the pockets of the game companies. While services such as Live Gamer don't end the debate on whether or not RMT should be permitted in the first place, it's clearly here to stay, and some game publishers are getting proactive about real money trading.

The Daily Grind: When does RMT cross the line?

Filed under: Business models, Culture, Economy, Game mechanics, Opinion, The Daily Grind


This question was posed yesterday by Saylah at the Mystic Worlds blog, and we couldn't help but wonder the same ourselves. When RMT or micro-transactions are first introduced as a business model for a game, the claim is always that these items for sale are not detrimental to the actual gameplay itself. They're cosmetic, or they aid your character with convenience items like extra bag space or a faster mount. But as Saylah points out, Runes of Magic has introduced crafting items to their Item Shop recently. This allows players to purchase bundles of resources for crafting, which gives an advantage towards things like guild castles. "My first reaction is to suspect that the massive grind in this area is intentional to encourage the purchase of the resources now available in the Item Shop," she says.

So what do you feel is going too far in RMT purchases? Is selling crafting resources too much, or would you only raise an eyebrow at the sale of overpowered weapons in an RMT shop? With the popularity of micro-transactions, do you think developers will edge closer and closer to that line to see what they can get away with? Let us know your thoughts!

GDC09: Applied RMT Design with GoPets and Live Gamer

Filed under: Business models, Economy, Events, real-world, Game mechanics, MMO industry, Free-to-play, Casual, Massively Event Coverage

Massively sat in on a GDC 2009 session this week titled Applied RMT Design which was part of the Worlds in Motion Summit. Andrew Schneider, Founder and President of Live Gamer and Erik Bethke, CEO of GoPets, Ltd. presented a case study on balancing a game's primary and secondary markets, using GoPets as an example of how it can be done.

The market for virtual goods in massively multiplayer online games and virtual worlds is worth billions. Not all of this is grey market, and more games are now being designed with microtransactions in mind. Live Gamer aims to bring greater legitimacy to microtransactions through a regulated secondary market providing benefits to companies as well as the players themselves. Thus far they've worked with EverQuest II, Vanguard, and GoPets, with Acclaim's 9 Dragons on the way.

Bethke and Schneider kick off their talk by explaining the fact that RMT in MMOs is inevitable, explaining how developers can be proactive about incorporating RMT into their titles rather than having it exist outside of the game. Live Gamer works with developers to create a legitimate system for trading virtual items for real money, one that's safe and secure. Of course, legitimizing RMT can also stir up controversy.

Microtransactions anticipated by game industry professionals

Filed under: Business models, Culture, MMO industry, Free-to-play, Academic


If you thought microtransactions weren't taking off, think again. In a recently conducted survey by VentureBeat, the microtransaction business model was voted the most impactful area of the games industry by a sample of 160 industry professionals.

The second place choice for the professionals who answered the survey was the appearance of smartphones as a game development platform. The two results came in very close, with 66 percent voting for microtransactions as the most impactful and 61 percent voting for smartphones.

The survey comes as a part of VentureBeat's GamesBeat event, where the main conference is scheduled to take place tomorrow in San Francisco. The GamesBeat conference isn't a part of the main Game Developers Conference, but their wish is to view their conference as complementary to the main GDC instead of competing against it.

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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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