Curated by Stuart Fogarty stuart@admaticallycom for AFAO'Meara Advertising, Streamabout The Video Agency and Admatic Ireland.
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They were saying that gaming had peaked....maybe it has, but Grand Theft Auto (GTA) 5, sold a whopping 800 million us dollars (that's "sell through" into retailers) in the first 24 hours after launching this week. It has smashed records and will easily do a billion this year. Easy. Call of Duty (Black Ops 2) only sold a shameful 500 million in their first 24 hour sell. Imagine the disappointment. Retailers this week across the world, opened their doors at midnight to sell GTA and very reminiscent of Microsoft launches of old (remember them?). Unlike other games - Call of Duty and Assassin's Creed are annual updates - GTA hasn't been out in 5 years building excitement. It's also being raved about. The availability of online access has driven this growth creating further opportunities for revenue from game owners through interactive upgrades etc. So GTA's sim crime, is a real winner. Although it's controversial, in that opponents say it encourages violence. Costing 200 million usd to make, that's a pretty fun way to make a profit for Edinburgh based developer, 'Rockstar'. Although a lot of employers reporting staff going sick on the launch day.... Terrific story really from a British crew facing a global business. Edinburgh? Beautiful, but hardly silicone valley. See? It can be done.
George Lucas, the sole 100% shareholder of Lucasfilm, has sold Star Wars to Disney for over 4 billion usd.
Star Wars has cult status amongst the online community largely because of its hi-tech special effects and futuristic themes so it's a deal that's got a lot of attention. Lucas, who created the franchise, says he's selling to make sure the movies live on and I'm sure the 4 billion helps - although to be fair, he didn't need the money and interesting too that he was able to hold 100% equity all this time.
Disney have indicated that their focus is online broadcasting and gaming, which will be huge. They've also said they'll feature more on social and mobile than console. Gaming only accounted for less than 20% of Lucasfilm revenue last year so if that's developed properly (and Disney have the wherewithal to do it), it has huge potential. Lucasfilm have a game division called 'LucasArts'.
Films accounted for 25% of revenue, consumer products 25% and others the balance last year. A new Star Wars movie is promised by 2014 and two more to follow that.
This is an example of Hollywood and digital tech getting closer together - what's been referred to as the 'convergence of the media' or the 'mash of media'. Disney already acquired Pixar for 7 billion and Marvel for 4 billion. A great pay day for George Lucas who's own imagination started it all and a great day for online as another classic franchise will flood the web. The Web is becoming THE place for entertainment and that's an opportunity. As more and more people turn to the web, notably through connected TV, they'll look for more and more entertainment. Already companies like Amazon and Netflix are calling out for produced content (kids and comedy programmes are favoured). So this is a whole new world of programme opportunity, perhaps sponsored by brands like the shows of old.
