SWTOR might be EA's best chance at improving profitability

In a recent article on Gamasutra, Cowen Group analyst Doug Creutz discussed EA's disappointing performance of late, blaming the software giant's "inability to develop hit core-gamer console titles". This has led to him significantly lowering his estimates for their 2009 earnings. The analyst's reportings are fairly doom-and-gloom, but he did mention A New Hope for the company: Star Wars: The Old Republic.

EA acquired BioWare, the developers of SWTOR, back in October last year. Creutz is of the belief that EA has really messed up their console campaign this generation, and SWTOR could be the "best chance" they have to increase profitability -- that is, if it can hold its own against the reigning champ World of Warcraft. We have faith that BioWare will be able to bring out a quality MMO, and you couldn't ask for a better IP. It really all depends on how well the title will have to do to be of any use to EA -- obviously better than Warhammer Online, which did not even earn a mention in the analyst's report.

Reader Comments (11)

"Warhammer Online, which did not even earn a mention in the analyst's report"

Hmm this does not look real game for Warhammer Online... or there makers... If this SWTOR becomes a hit and with Bioware behind it there is a big change it will even if it sucks Bioware make there self a big name in the PC biz. EA may just drop Warhammer online all together!

No.

EA has had Mythic's DAoC for years now. And haven't shut it down. This isn't NCSoft. WAR isn't the WoW killer some predicted, but it's turning a profit.

That sentence isn't sayinf "WAR failed" it just says it wasn't as big as expected.

But... SW:TOR won't overtake WoW. It just won't. Nothing will for many moons. If that's EA's goal, they'll fail like they have. They should instead say "Ok, no more bullshit. This game isn't going to be predicted into any quarter's numbers, and it comes out when it's fucking done". That's one thing the Darkfall devs have done right. Bitching, whining, vaporeware insults... all ignored. They say "sick our ducks, we'll release it when it's near perfect." I wish more studios would do this.

Yeah ; it is a shame ( or a horrible anlayst blunder, of course ) that Warhammer did not warrant a mention - I thought that its launch would register as a definite peak.

Of course the source article mainly seems to be concerned with console gaming, so in the long run Warhammer's subscriptions revenue may make it a much more profitable development for EA than the "modestly-performing titles" it was seemingly grouped with.

I doubt that even the success of TOR will fix EA's problems.The financial woes of EA has to do with their company culture which reminds me of the motorola days choosing anlogue over digital.

They spend way to much money and have no real optional view for long terms profits when it comes to the MMORPG market. They are to quick to cut subscription based games. I am sorry but TOR will not be a WoW killer or a fix for EA's stupid decisions. I wish BioWare was not part of the EA scheme.

Kind of a kick in the balls for WAR here!

EA poisons anything they touch, especially PC games and ESPECIALLY MMORPGs.

Actually EA has made two damn good games and one fairly good expansion pack for pc.
Battle for Middle Earth
Battle for Middle Earth II
And the expansion for Battle for Middle Earth II.

Unfortionatly byond that I REALLY have not played anything from EA that made me fall in love and lets be honest the only reason I really like the expansion pack is the dwarven zealots and and thier "C'mon Lads we got carpses teh make!"

I agree those are some of the most fun strategy games I've played.

is there still someone that listens to analysts? Their predictions turn more and more laughable every year.

Everything EA touches turns to dung.

fifa09 was somewhat fun.

but then again, its like the 20th sequel or so :p

I wonder what kind of impact this will have on SWG though. It's like 7 years old and still turning a profit, but I'm guessing the gamer population that is receptive to a star wars based game can only be so big.

Sony have done a good job overall, and while I'm looking forward to TOR I really hope it doesn't kill off it's predecessor.

SWTOR might be EA's best chance at improving profitability

Reader Comments (11)

Posted: Dec 24th 2008 11:38AM TheJackman said

Posted: Dec 24th 2008 12:13PM (Unverified) said

Posted: Dec 24th 2008 12:08PM Minofan said

Posted: Dec 24th 2008 12:50PM Lateris said

Posted: Dec 24th 2008 2:02PM Jesspiper said

Posted: Dec 24th 2008 8:34PM Holgranth said

Posted: Dec 26th 2008 6:01AM ultimateq said

Posted: Dec 24th 2008 3:56PM Abriael said

Posted: Dec 25th 2008 12:06AM wjowski said

Posted: Jan 17th 2009 10:26AM (Unverified) said

Posted: Jan 18th 2009 11:13PM (Unverified) said

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