The Sunday Story: Video Game Economics (It's Not Play Money)
Jun 9, 2024
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Wailin Wong from The Indicator discusses the economics of gaming, sustainability in the industry, college scholarships for gamers, accessibility, and efforts to make the industry more sustainable in the face of mass layoffs.
Live service games offer in-game purchases for special perks, creating revenue options for developers.
eSports growth requires sustainable business models and viewer engagement for long-term viability.
Deep dives
The Rise of Live Service Games
Live service games have transformed the video game industry by offering free-to-download games with in-game purchases. This model provides players with the opportunity to buy special perks or costumes, creating collaboration and revenue options for game developers. The introduction of live service games like Warframe has shown how real-money purchases impact player experiences, leading to adaptations for a more balanced gameplay. However, the model has also led to concerns about never-ending games and potential player exploitation.
The Growth of eSports
eSports, or competitive video gaming, has seen significant growth with increasing investments from sponsors and investors. Professional gamers have emerged, earning substantial winnings and attracting viewership comparable to traditional sports leagues. However, the industry faces challenges in generating revenue like traditional sports, highlighting the need for sustainable business models and viewer engagement to support the long-term viability of eSports.
Enhancing Accessibility in Gaming
The gaming industry has made strides in improving accessibility for players with disabilities, such as adding customizable controls and visual cues. Games like The Last of Us Part II have incorporated over 60 accessibility options, enabling players with hearing, vision, or physical impairments to fully experience and enjoy the gameplay. These efforts aim to make gaming more inclusive and cater to a diverse audience within the gaming community.
Can you get a college scholarship for playing video games? Are they becoming more accessible? Will forever games really last... forever? Wailin Wong, co-host of The Indicator from Planet Money, joins us to discuss the economics of gaming and efforts to make the industry sustainable in the wake of mass layoffs.