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PC game sales constitute 14 percent of total sales
Author: Joe MartinPublished: 30th January 2008
Is PC gaming going the way of ye olde point and click? Sales figures suggest so...
What makes that even more depressing is that last year was one of the best years in recent memory for PC gamers and some of our Top 10 Games of 2007 were PC exclusives, with the vast majority being multi-platform too.
Last year the games industry made a jaw-dropping $18.85 billion according to Shacknews, but only $910.7 million of that came from PC sales - which is pretty shocking when we saw games like World in Conflict, Unreal Tournament 3 and Crysis pushing to the fore, as well as a new Half-Life Episode.
Unfortunately, some games like UT3 and Crysis didn't sell anywhere near as well as expected and the PC market is being questioned as a viable option for developers because of rampant piracy.
The good news is that the figures quoted by Shacknews don't take digital sales into account, something which is becoming more and more popular thanks to options like Direct2Drive and Steam.
Is PC gaming going the way of the dodo, or are we just sensationalist hacks? Let us know what you think in the forums.
Comments (73)
Some games will still be better on PC but consumers will vote with their wallet.
I can count on one hand the amount of games that I bought for PC in the last year where as for console its up in the high teens just due to it being a no fuss, cheap way of gaming.
Also with large screen high def TV's getting cheaper and better all the time, where is the advantage to playing on a smaller high-res monitor? Other than the resolution the experience is somewhat less cinematic than a TV, and it's not as much fun to huddle round a computer with your mates where as slinging in GoW or similar to your 360 and playing it in 42inch glory from the sofa is way more enjoyable than squinting at a game of Counterstrike or Crysis.
Also I cant imagine that games like World of Warcraft are helping PC sales much, when you think that about 8mil people sub to it and probably play but don't buy anything else because their game budget is spent on the sub, they are also not likely to upgrade components either all the time their old stuff runs it well too.
I'm not solely blaming WoW here (though I will try my hardest) but MMO's in general could be something that is killing the PC market.
We then also have that "something-for-nothing" culture on PC. With the accessibility of P2P to even the most casual of users and the mentality of wanting everything for free because you are able to do so with movies and music, people want the same with games too and there will be a loss in sales (however marginal) because of that.
Which option would you take? £45 for a game or 10 mins hunting and a couple of hours download and to have it for free?
Still, that's just my take on it :)
that is far from high end nowadays
very few games target exclusively the high end for exactly the reasons you stated, hardly anyone would buy it
and some of the best games last year run just fine on mid-low hardware, TF2/hl2 anyone?
as for the playing with your mates on the sofa stuff people always bring up in console vs PC, i dont think its comparable
to me its like the difference between having a kick around in the park with a few mates and playing football with a local club or something
one is just having a laugh and the other is competitive, while i dont do the clan thing in games anymore its still similar
'Serious Fun' vs 'Silly Fun' :p
PC
PS2 (Huge)
PS3
PSP
Wii (Huge)
DS (Massively Huge)
Xbox 360
7 platforms, if each one is equal and has an equal share of sales, then each has 14%. As said, that still doesn't count things like steam, I imagine steam got a load of sales when the orange box came out.
While it's not great for PC gaming, it's still not too bad, especially when you think that the gaming market is growing more and more. Using my guestimation, PC sales haven't really dwindled, it's just console sales have increased a lot. Of course I have no evidence at all to support this claim and I'm pulling this right out of my ass.
The thing I chalk it down to really is the perceived expense. A good quality gaming PC is horribly expensive, so many gamers are put off by that, and buy a console instead. Even though in the long term they're just as expensive.
I wish developers would stop going on about piracy already. Yeah there are those *******s who pirate instead of buying the game even if they like it, but they're the same people who would be putting a mod chip in their 360 so they can play downloaded ISOs offline. It's very unlikely that someone would have bought the game in the first place if they pirated it. For instance, I pirated Rome Total War, I loved it, so I bought it. I bought B&W 2 without downloading it first because I was in halls at the time, and it was a complete waste of money, if I had pirated it, I would have deleted it off my hard drive after not too long.
With consoles you also suffer from second hand sales, you don't get that so much with PC games because not many shops buy them off you (at least, not in the UK). Shops like GAME buy games off you then sell them, the developer sees no money from that, it doesn't see money from eBay sales either.
Also EA said they were happy with sales of Crysis, could it be that it sold really well in europe and they got a fair few sales off their distribution system???
"The PC games sales landscape is changing to one that is increasingly reliant on digital sources of revenue," NPD analyst Anita Frazier told GameSpot. "Our sales reflect the retail climate but there is a lot of gaming sales activity that is generated from digital downloads and subscriptions. I think the PC market continues to be quite healthy and we're continuing to work on how to get our arms around the spending that occurs outside of retail. A number of our [surveys] ask respondents to indicate which platforms they game on, and the results of those questions make it very clear that the PC remains very prevalent, if not dominant, in the total gaming picture."
Ah yeah I forgot to write that one down
QFT
Die Konsole... ist das Opium des Volkes.
:-D
Although looks wrong mainly because, as I'm learning German, I haven't come across that many nouns that are neuter that I end up using.
01Assassins Creed (360) 02Super Mario Galaxy (Wii) 03Assassins Creed (PS3) 04Crysis (PC) 05Call of Duty 4: Modern Warfare (PC) 06Call of Duty 4: Modern Warfare (360) 07Call of Duty 4: Modern Warfare (PS3) 08Singstar Svenska hits Schlager (PS2) 09World of Warcraft (PC) 10Ratchet & Clank Tools of Destruction (PS3) 11The Sims 2 Tonårsprylar (PC) 12High School Musical: Sing It! (PS2) 13World of Warcraft: The Burning Crusade (PC) 14Counter-Strike 1: Anthology (PC) 15Hellgate: London (PC) 16The Sims 2 Jorden Runt (PC) 17The Legend of Zelda: Phantom Hourglass (DS) 18Football Manager 2008 (PC) 19En riktig jul - Julkalendern 2007 (PC) 20FIFA 08 (PS2)
http://www.dataspelsbranschen.se/listing.aspx?y=2007&w=46
crysis is number 3 in the amazon.de charts, and there are 4 pc games in top 10, 1 ps3 no 360 games and the rest belongs to nintendo :)
The 14% (plus legitimate digital distribution) is representative of the number of PC gaming supporters. The number of PC gaming freeloaders is a lot higher.
Freloaders are slowly eroding PC gaming. And they always have some sort of excuse.
and not put it out there.
QFT!
I hate seeing stuff like this. PC gaming will never die. It's where new ideas come to fruition. It's where invention becomes innovation. PC titles FTW!
Do you know how may console games I have bought?
Only 3!
14% + digital distribution = 16% or more, that for 1/6 (Veles post) (i am not considering the PS2) of the game market if all gaming systems have the same share, is quite good.... i am not considering that the DS and wii have a hugely insane amount of market share......
It would help if games were a little less demanding on systems. (crysis) and maybe there was more time spent on developing gameplay and a bit less on graphics. I still love to play some of my older games because they are fun. I was playing gothic 1 the other day and i liked it as much as gothic 2 and 3. although the controls really sucked in that game.
Too many FPSs and RTSs (I'm getting kinda tired of playing Wolfenstein 3D and Dune II over and over again.....) Even though HL2 and the episodes are marvellous games, World in Conflict is amazing, and I can't wait to get my hands on Call of Duty 4 (after I finish GoW - which is very, very good IMO), it just feels like developers are stuck to established genres and conventions.
Back in the 1990s, we used to have more variety in gameplay... Before the "3D arms race"...
The game sales results being discussed here are from 2007 in America, in 2007 this was the user base for consoles in America:
The user base for PC is even larger than all the consoles put together, unless all the mid to high end graphic cards sold are just for show.
PC gaming is still highly popular but, unfortunately, so is FWAE (freeloading with an excuse).
the numbers you linked there show over 87m consoles, are there really that many gaming PCs?
you cant really class any PC owner as a potential PC game buyer as a lot of them will not be used for gaming
I don't know anyone with a console who doesn't also game on the PC to some extent. Apart from 2 360 owners, the others are all older consoles (XBox/PS2). Most of them play a smaller selection of older games because the console AAA titles are so expensive.
Some also buy copies from the small-ads in the local papers - you know the type - overseas counterfeit goods with a blurry cover and a photocopied manual. But none of my PC gaming friends have any copied games from the last few years.
Admittedly, the majority of the PC gamers are playing newer games at reduced settings due to the hardware requirements.
Custom PC did a good Console vs PC article this month. While not perfect, it basically told us what we know - PC gaming is a little more expensive (didnt cover HDTV purchases), but is a lot 'better'. That is, the console plus half a dozen AAA games costs only a little less than a decent (C2D/8800GT) PC and the same games, while the experience was significantly inferior.
There are nothing wrong with consoles as such, but in order to make the experience match that of a PC, you are going to have to evolve the console so that it is almost a PC anyway.
The other missing factor is how many FREE mods each group plays. Rather than being a drain or distraction for developers, a moddable game rgnine provides the guarantee that your game will sell. People will always buy PC games and the developers will continue to develop them.
I spent quite a lot on PC gaming last year, but NONE of it was retail, all games i brought were on steam or similar, plus a fair chunk of cash on a wow subscription...
I expect better from the likes of Bit-Tech. Most of what i want to say has already been said.... this is the US only and NPD don't track Steam or Subscription sales.
PC gaming in the US makes up a much smaller percentage than it does in Europe and has done so for ages. Nothing to see here or worry about other than the piracy. Which is prevalent on all systems.
do you have sources, or are you just talking out of your ass?
On the serious side though: Every time I look at a new game I tell myself I have one yet to finish (Guild Wars: Prophecies=100%, Factions=50%, Nightfall=1 mission left, EotN=50% and there's lots left even after those are done, and that's only one character). Yes I spend less on games but more on hardware. Like many have said: older games still offer a lot of value.
Maybe PCs have better games with more depth or more replay value. Maybe PC gamers just have a longer attention span than console gamers.
Quoted for truth. The last few times i've bought games, it has all been done with Steam. HL2 EP2, GTA 1-SA(5),and Bioshock.
First, above numbers for consoles are for North America, numbers for graphic cards sales are reported as worldwide;
Second, I havent seen any numbers for graphic cards sales for the end of 2007, shouldnt take longer to have then published;
Third, not all graphic cards should be considered as gaming capable;
Fourth, above numbers for consoles are absolute, a graphic card sold may be for an all new PC gaming system or to replace an aging one;
Fifth, one can replace an old 7900 for a 8800 and sell/give the 7900 to other person, making the 7900 equipped system count as gaming capable.
All that said:
According to a new report released by Jon Peddie Research, nearly 83.5 million PC graphics devices shipped during the fourth quarter of 2006, ...
Now, that was 2006 and only a quarter worldwide sales, decide how many of those are gaming capable and how many were sold in America.
Also, doing the same math for consoles you get an average console game price of $43 and one still needs a PC in this day and age. Might as well get one with gaming capabilities.
Not all P2Ped game is a lost sale? Ok. But from 10 P2Ped games, how many would have been bought? 3? 5? 8?
I can't agree with what you're saying, innovation is the wrong word you should have said PC games need more variety. Newer RTS's especially show a huge amount of innovation, but a lot of genres have become practically extinct (turn based strategy or adventure).
+ if the pc market is worth almost a billion dollars it doesnt seem like dying to me....
An interesting article about game costs. Some quotes:
seconded
Check out Matrix Games
i will respond with another question: what is better?
A) have 100 customers go into the shop, buy the game, go home, play it, realize it is has a big flaw that you cant live with it, 90 people return it, put it into the corner of shame (like i did with games i did not "try out" and did try use the demo to see the quality and the store showed me the middle finger) or sell it second hand and never buy a game from the company in question and then put bad reviews everywhere out of rage (i wish i could pirate that darn tv card before i got it....... 125€ down the drain and i will never touch anything pinnacle again).
B) have 100 people download the game and have 10 go buy it and become regular customers while the other may or may not buy the next game the company creates and still have the cash in the pocket to buy another game from the same or other company.
i consider that a gaming graphics card these days is something from 8600gt upwards, i see very few of those 84 million graphic cards sold in the christmas quarter being a gaming class graphic card..... here i see people buying the most insane popular craptacular setups (i remember one having a nice C2D 2 gigs of ram, vista basic, 500Gb hard drive and a 6200 and it was quite popular).....
hurray for captain obvious..... i was only implying that a 14% share of this huge market is a very nice share for pc gaming... and considering that they were "serious" enough with this study that they left out one of the market segments that has been growing like a mushroom.......
i agree that FWAE is helping the demise of the gaming industry, but there are bigger players here...... but FWAE is easier to blame right?
the only kind of pirate i hate is the one that sells the games he pirates..... that is sick.
edit: about the costs of the production of games and the low or negative income i only have the next to say: "streamline and evolve"
that just points to a flawed business model tbh....
Funnily enough, only available via a digital download ;)
It is ASININE to do a study on game sales on the PC and yet ignore its PRIMARY method of content delivery.
Do we determine the current users of Windows based on how many people buy upgrade discs? NO! Why? Because people don't buy upgrade discs. They go online and click 'Windows Update.' It's the PC's biggest strength - content delivery is automatic. How many web-based games did people play, subsidised by advertising? Did we measure the sudokus, bejeweleds, etc.? Of course not...those somehow don't count, despite being both revenue producing and PC games. Do we count Steam? No, of course not. How about indie games that may not be released in retail form? Nope. Indie games at all? Maybe...but I'd bet not (would need to read more on the study itself).
I find it positively laughable that the industry can pretend to track the impact of piracy (all digitally delivered) on sales so well, but can't bother to determine the legal digital sales. I think it's very telling where their minds are.
And as to innovation, I second whoever corrected that to variety. Crysis is a HUGE FPS innovation - graphics and physics are primary to this sort of game, therefore it's innovative. Destructible environments mean more realism, which is what the genre needs.
However, that doesn't help the other genres, which ARE genuinely choking under the FPS weight. People want an excuse to see what that new hardware unleashed - they're not going to pay for crappy graphics. I'm not an FPS gamer, and I still can't blame them. Therefore, for genres that don't use graphics as a strong point, the work needs to be that much more focused on innovative and varied gameplay.
I think too many design houses are giving up too easily, saying "if we just make an FPS, the graphics are a large part API - meaning easier development." Their thought needed can cut down. Which is why it's that much more a slap in the face when an FPS development house like Valve can wipe the floor with pretty much any game out there for story and gameplay, STILL cramming it into an FPS. It becomes who's lazy and who isn't. It's not a stranglehold of gamers playing only FPS games, it's development houses being able to devote more money (or pocket more money) when making them. It's dollars and cents - licensing something already good is always cheaper than writing a new one yourself - be it engines or even stories.
Admittedly I'm theorizing here, but I think there are several reasons. One might be that a game sucks, and the buyer feels cheated because they can't return it. Fine, let everyone have it then.
Another is that there is probably a certin cachet or honor to being the first to torrent a game.
It also seems likley that it's a display of your geek prowess to overcome the DRM and if you can't share it, who eill ever know what a geek god you are?
Finally, giving away a game online doesn't mean you no longer have it to play. Much like any other digital property, just because you give it to someone else doesn't deprive you of enjoying it. Digital media is infinitly reproducible and so there is no downside except legal to sharing it.
If that were all true then gaming would be dead. Those kind of costs are for an AAA title, those sell way more than 1 million units usually.
nice shop, thx for the link, bookmarked.
theres even a mac version avalaible going to d/l the demo and if its good the full version will end up on my ibook.