According to a report on Gamasutra
, investors have been slow to support Electronic Arts
in its latest MMORPG endeavor, Star Wars: The Old Republic
. The article released today cites Janco Partners
analyst Mike Hickey as saying, "We believe many investors are betting against SWTOR achieving market success, provided the company's (Warhammer Online from Mythic) and industry's track record at releasing successful new MMOs.
and of course All Points Bulletin
being the latest MMOs from EA could make a potential investor a bit gun-shy about placing his money into another game of the same genre.
Investors are not just concerned with the initial sales of SWTOR
but also the long-term success of the game. The article uses the sales trend of WAR
as an example. The first week's sales of WAR
topped at 500,000 subscriptions, which is impressive for any MMO, yet subscriptions did not stick as customer satisfaction plummeted. If an investor is not familiar with BioWare
's past successes or if he happens to view BioWare as a rookie in the MMO genre, then his wariness is clearly understandable.
Today, Mike Hickey is calling Electronic Arts a "buy,"
but that may change if investors continue to see EA as a risky investment.