4 ms·

This made me wonder: Is there a parallel between the advertising industry and their ever increasing quest to mine more data and the games industry with their i

This made me wonder: Is there a parallel between the advertising industry and their ever increasing quest to mine more data and the games industry with their incessant need for DLC, microtransactions and whatnot? It seems that middle-management/VC's in both of these industries are pushing the same processes (or could we use "dogma"?) without any empirical evidence that what they are doing is the right thing, all the while patting each other on the back because that's the way everyone else does it... Edit: edited for clarity

Netcob 6y ago
Looking at Epic Games, I don't think a lot of pushing is required when you see people make enormous amounts of money like they did with Fortnite. My understanding is that they are now using all that money to finance their steam-alternative games store (with exclusives), where they can still afford to offer 1-2 games for free every single week (with a lot more around the holidays).
TeMPOraL 6y ago
> Is there a parallel between the advertising industry and their ever increasing quest to mine more data and the games industry with their incessant need for DLC, microtransactions and whatnot? There is: being "data driven", which is a short for "we need to tighten the feedback loop in our revenue optimization algorithm". The most annoying players in both industries are essentially trying to run a PID controller around the people they're monetizing. For that to work, interactions must be frequent, telemetry must be extensive.
Tom4hawk 6y ago
Unfortunately we know the answer and we have data to back it up. EA earned 2x more on FUT and Apex Legends than on normal "full games": https://s22.q4cdn.com/894350492/files/doc_financials/2021/q3/Q3-FY21-Earnings-Slides-Final.pdf https://s22.q4cdn.com/894350492/files/doc_financials/2021/q3...

4 ms·

This made me wonder: Is there a parallel between the advertising industry and their ever increasing quest to mine more data and the games industry with their i

by _Understated_ 6y ago

Netcob 6y ago
Looking at Epic Games, I don't think a lot of pushing is required when you see people make enormous amounts of money like they did with Fortnite. My understanding is that they are now using all that money to finance their steam-alternative games store (with exclusives), where they can still afford to offer 1-2 games for free every single week (with a lot more around the holidays).
TeMPOraL 6y ago
> Is there a parallel between the advertising industry and their ever increasing quest to mine more data and the games industry with their incessant need for DLC, microtransactions and whatnot? There is: being "data driven", which is a short for "we need to tighten the feedback loop in our revenue optimization algorithm". The most annoying players in both industries are essentially trying to run a PID controller around the people they're monetizing. For that to work, interactions must be frequent, telemetry must be extensive.
Tom4hawk 6y ago
Unfortunately we know the answer and we have data to back it up. EA earned 2x more on FUT and Apex Legends than on normal "full games": https://s22.q4cdn.com/894350492/files/doc_financials/2021/q3/Q3-FY21-Earnings-Slides-Final.pdf https://s22.q4cdn.com/894350492/files/doc_financials/2021/q3...