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Analyst: EA Has Missed The Boat This Generation

Back in 2007, new PlayStation 3 owners and publishing giant Electronic Arts were at odds. The problem was that EA titles were either crappy 360-to-PS3 ports, or worse, multiplats released simultaneously that were inferior on Sony's machine.

And although we've seen great growth in ability since then, one analyst simply says that EA has "missed the current hardware cycle" and aren't likely "to return to historical operating income margin levels" at any time in the near future. This Cowen Research report, summarized by GamesIndustry.biz , isn't exactly glowing and concludes that after more than a few disappointments, "Electronic Arts now deserves a lower valuation premium than the company has historically enjoyed." Basically, they've failed to deliver on their earnings projections, and despite the excellence of two IPs in 2008 ( Mirror's Edge and Dead Space ), EA has continually toned down their guidance for the next fiscal year. However, the report does say that while EA's projections for the upcoming financial year are "aggressive," they're not impossible. Provided they do some more cost-cutting, their revenue target of $4.3 billion might be achieved, and right now, the share rating advice for EA is "neutral." You should definitely read more about the report, and the games and how they've performed; it's quite interesting.

For our part, we've already forgiven EA for their early transgressions and provided they keep giving us special projects that are worthy of our collections at home, we're happy. It's all about the games for us. 😉

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Random_Steve
Random_Steve
14 years ago

I dont care about the crappy ports, ive still brought Fifa 08, Skate (2) and the excellent Burnout Paradise from them and excluding the original skate, theyve all been pretty good

WorldEndsWithMe
WorldEndsWithMe
14 years ago

bought

Qubex
Qubex
14 years ago

I think EA still has a "bloody nose" problem from all them lost favours with gamers… there is only so much people can take…

Maybe they will redeem themselves in the long run. It's all about quality… without quality people will not easily part with $60 dollars regularly… if they get burnt, they will be far more cautious next time… or go for the second hand market; which wouldn't help a company like EA either in the long run.

Q!

"i am home"


Last edited by Qubex on 5/26/2009 11:27:57 AM

N a S a H
N a S a H
14 years ago

Analysts are idiots. Burnout Paradise has so much DLC at this stage it's ridiculous. EA have done an amazing job to get its Sony fanbase back.

TheHighlander
TheHighlander
14 years ago

Indeed.

Not to mention EA has an immense portfolio of games, I think this analyst needs to consider that while some games may under perform, others do not, and still others are 'sure things' in terms of decent sales.

jaybiv
jaybiv
14 years ago

I think EA needs to thank Criterion for going above and beyond in making Burnout a great game on the PS3. One of the first great PS3 games from EA.

WorldEndsWithMe
WorldEndsWithMe
14 years ago

Highlander=good avatars

TheHighlander
TheHighlander
14 years ago

@worlds…

It's KOS-MOS, you can't beat KOS-MOS. Long flowing Blue hair, ruby red eyes, an intense expression and a body that's registered throughout the galaxy as both a deadly weapon and a work of art. See, it's undeniable, KOS-MOS can't be beat. Besides, if you try, she'll X-Buster your butt back into an alternate dimension. 😉

P.S. Shion may have to drop in for a week or too soon. While not as tough as KOS-MOS, she has her charm…

Geobaldi
Geobaldi
14 years ago

I agree. KOS-MOS is one of the coolest androids/rpg characters to come around in a while.

dveisalive
dveisalive
14 years ago

OK EA is a billionaire giant so by public demand they deliver the type of games people want, just with to many glitches etc…. But I will say this Madden 09 sucks ass. NFL 2k5 is the greatest football game ever PERIOD! EA needs to loose the NFL license cause I want my NFL2k back pronto!

BTNwarrior
BTNwarrior
14 years ago

no the best NFL licensed game was Blitz 2003 by far. It is still the only football game where I can have the entire team be 7 foot tall penguins who have a thirst for blood.

jlch777
jlch777
14 years ago

Quality is the problem here. Take for example Black Box studio since NFS Underground to Undercover you always found technical problems on those games (framerate issues, frezzes, popups, bland textures etc.), they dont seem to care about that!

On the other hand you have a studio like Criterion where you can always expect a quality product from them.

I am hoping that NFS Shift(developed by Slightly Mad Studios) turns out to be a quality racing game.

MornelitheVT
MornelitheVT
14 years ago

As always, I'm going to be the over the top gamer, who'll stick by his ridiculous principles founded somewhere in the deepest reaches of hell.

Firstly, just because something is a 'sure thing'. Doesn't mean EA did it justice, nor does it mean the money they got for it was warranted. Sure Things, are often what developers will half-ass, just so they can take our money. When they do it right, and do it well, so be it. But, just giving them a blank-check, simply because they brought a franchise back from extinction…nah, not my cup of tea.

My second issue with EA of late (and a few other developers/publishers), is simply the DLC issue. I'm really not ok with segments of the gaming population, BE THEY SONY OR MS Fans, being jipped out of the entire experience, simply because EA (Or other publishers/developers) doesn't know how to say no to Sony or MS. I've put my foot down at this point, and flat-out refuse to buy any game that promotes this kind of marketing. Sure, it's nice that Mirror's Edge had exclusive DLC for those who own Sony's machine. But, what of those who do not? And…I can certainly recall my frustration, anger, hatred and resentment when the same tactics were employed by MS/Rockstar with regards to GTAIV. No more, I say. EA has a long ways to go to prove to me that they care more for the gamers and community in general that made their company what it is today, and less for the mighty dollar.

I'm personally done with any game that gets touched by this practice. I've far…FAR too many other games to play, at present. It's not that difficult a decision to just let one go.

Morne

Doosharm
Doosharm
14 years ago

Excuse me if I've missed your point but, it seems to me that your problem is less with EA and more with bad consumers. EA (and other major developers) wouldn't be able to consistenly produce yearly sequels with minor enhancements if there wasn't a sizeable crowd willing to pay for them. Until more people take a stand, nothing about the industry will change.

Because of that fact, I can't blame any of the big game companies for doing what they do. Afterall, their goal is not to make games, its to make money by selling games. And if people are willing to pay for your products no matter their quality, why change? It is up to us, as gamers and good consumers, to place all of our support on the developers who give us more than the minimum and who are in it to make great games first and a lot of money second.

SkantDragon
SkantDragon
14 years ago

Not taking the PS3 seriously is only one of EA's problems.

EA has its policies of putting out yearly games for each IP and also of being 'innovative' in finding new ways to fleece gamers for money.

These policies have driven up EA's profits. But at the same time it's also been developing a bad reputation for them.

Many gamers now may be very interested in a game, but when they see it's published by EA, they put it back on the shelf. They expect it to be a quickly written yearly game chock full of bugs and game play issues. And that $60 is only the first downpayment they'll be required to cough up for the priviledge of playing it.

Personally, I've nearly completely sworn off buying anything from EA anymore. And I hate it when they advertise a game I would otherwise want. Because I want that game to be released by another publisher so that it's not ruined.

And I'm pretty sure I'm far from the only one that feels this way.

WorldEndsWithMe
WorldEndsWithMe
14 years ago

sense. But Dead Space was tasty.


Last edited by WorldEndsWithMe on 5/26/2009 2:14:21 PM

elass0wyp0
elass0wyp0
14 years ago

Couldn't agree more. EA makes short games with PDLC on day one. They care about money not games or gamers. Protest with your wallet.

HOODGE
HOODGE
14 years ago

Ya they are good at making you open up you're wallets and making you buy every yearly easports title. Wonder if they are owned by Microsoft..Lol's. Every sports title is more or less the same every year with a few more features added to make you wanna buy their next copy.

Tiger woods 10 looks exactly the same as 09 with the addition of just a few more features and new courses. That's how they suck you in. Then they make another kabillion by offering you two dlc courses during that season. Not impressed.

Plus I own both a PS3 and 360 and tried out the Tigerwoods 10 demo out on both and I swear the 360 version still looks more polished. Those idiots are still porting the 360 version to the ps3. I thought it was gonna be the other way around with the PS3 being the more powerful system being developed on first.

Just goes to show that EA is still catering to the 3fixme as their no.1 platform leaving Sony in the background. Pathetic losers. Sony is soon gonna outsell Microsoft in overall sales and just like the article said, EA has definately missed the boat. Serves them right. I'm all for Sony exclusives anyway. EA among others will never beat the Sony exclusive sports titles like MLB09 The Show in amazingness. That title makes any EASports title look last generation in my opinion..


Last edited by HOODGE on 5/26/2009 4:51:36 PM

Scarecrow
Scarecrow
14 years ago

Yes EA sucks!

I've been saying it for years!
Hell, I barely have 2 or 3 games from them.

They're garbage

Freaking Madden Bullsh*t

Vivi_Gamer
Vivi_Gamer
14 years ago

To be honest i think they're doing better than ever. I never really played any of there games for last gen, Burnout 3…. Medal of Honour thats all i can think of, while this gen we've had Fight Night Round 3, Dead Space and Mirrors Edge 3 excellent titles.

faraga
faraga
14 years ago

they'll regain all my appreciation if they will finally release nfsu3!!!

smileylyon
smileylyon
14 years ago

They did a good job with burnout paradise!

Geobaldi
Geobaldi
14 years ago

Other than Burnout Paradise, NHL 09 and Dead Space, there really isn't anything else from them this generation that I have really enjoyed. Hopefully they will step up and produce better things from here on out instead of trying to buy out more companies.

TheHighlander
TheHighlander
14 years ago

Madden this year will be a defining moment for me with EA – Sports at least. They seem to have dropped the NFL Head Coach game in the hope it will sink without a trace – it will. And instead are refocusing on Madden. If they can return the franchise mode in Madden to the 'glory' days of 2006/2007 and out do NFL2k5 for game feel and presentation, then they will have pulled off a minor miracle and won me back. If not, then Madden can vanish without a trace as well as far as I am concerned.

OriginalSin
OriginalSin
14 years ago

The only game I can think of that I personally enjoyed from EA in the past couple of years was Dead Space, so I'm looking forward to the sequel. Never got Burnout Paradise or Mirror's Edge…. But I will give them a try sometime soon.

TheHighlander
TheHighlander
14 years ago

Burnout Paradise is a blast online or off.

Geobaldi
Geobaldi
14 years ago

But it lost even more fun once crash mode was removed.

iliimaster
iliimaster
14 years ago

EA is a joke they lost me when they took away the NFL 2k series for a crappy remake that has been madden for several years now same graphics and unrealistic play,,,, they have yet to come out with a better NFL game Than NFL 2K5 ( ESPN) aND we are in 2009 people!!!!

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