Video Game Slowdown Impacts Amazon's Bottom Line

July 30, 2009

The Wall Street Journal reports that mega-online retailer Amazon.com posted a 14% revenue increase for the financial quarter ending June 30th, but its profits fell 10% from $158 million to $142 million.

Amazon’s Chief Financial Officer Tom Szkutak commented on the drop laid much of the bad news on declining video game sales:

You're seeing an industry slowdown in videogames and consoles.

Despite singling out games, other factors impacted the profit fall such as “flat” media sales in North American (including books and music) and a $51 million legal settlement paid to Toys R Us.

Via: GamesIndustry.Biz

Reporting from San Diego, GamePolitics Correspondent Andrew Eisen...

Posted in

Comments

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by killatia on Thu, 07/30/2009 - 11:12.

Why did they paid toys r us $51 million?

http://www.magicinkgaming.com/

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by ShadowDragon28 on Thu, 07/30/2009 - 11:44.

Had to do with a 2004 dispute where Toys R Us was to exclusively supply Amazon with stuff.

Source: http://www.businessweek.com/ap/financialnews/D99KDI880.htm

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by killatia on Thu, 07/30/2009 - 11:46.

Okay, sounds fair to me.

http://www.magicinkgaming.com/

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by hellfire7885 on Thu, 07/30/2009 - 10:53.

When consoles go over 200 or 300 dollars, and game prices are approaching over 60 dollars, of course new sales are going to drop. And despire what the industry is trying to do, eradicatign the used market will mean people simply won't game.

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by Neo_DrKefka on Thu, 07/30/2009 - 10:45.

They need to lower the prices. I mean we are seeing the price of video games at the level it was during the N64. Sony's PS1 price and the games price point 39.99 and 49.99 is something people can work with

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by PHX Corp on Fri, 07/31/2009 - 09:28.

This is why I shifted to Digital downloads on my Xbox 360, Wii and PS3, I still buy retail games time to time

Watching JT on GP is just like watching an episode of Jerry springer only as funny as the fights

America has just became its own version of the Jerry Springer Show after a bizarre moment in Florida involving a carnival worker.

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by Wormdundee on Thu, 07/30/2009 - 14:31.

Yeah, the price of video games IS slowly climbing, but it hasn't quite reached those levels yet. In Canada, most high profile new releases are now selling for 70$, which means I don't buy any new console games. It sucks, but I can't justify that much money for a game.

I'm being relegated to the PC scene (which I like better anyway), where new releases are consistently at 49.99.

But yeah, back in the N64 days I paid over 80 dollars for Tony Hawk 2. Yeesh, I can't believe I did that.

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by ZippyDSMlee on Thu, 07/30/2009 - 17:06.

we need games to be rpiced the same as film 10-30 a pop. It will do far more good than bad.

I am a criminal because I purchase media,I am a criminal because I use media, I am a criminal because I chose to own media..We shall remain criminals until Corporate stay's outside our bedrooms..

http://zippydsmlee.wordpress.com

---

http://zippydsm.deviantart.com/

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by JustChris on Thu, 07/30/2009 - 10:49.

Nah, I think paying $70 for an N64 game was worse, and $70 in 1998 dollars is somewhat more than $70 today. Right now I don't see the games top more than $60, not including those that come with extra accessories.

GameSnooper

Re: Video Game Slowdow Impacts Amazon's Bottom Line

Submitted by Austin_Lewis on Thu, 07/30/2009 - 10:34.

I think that 51 MILLION DOLLAR SETTLEMENT Might have had a bigger role in screwing with their profits than the economy. I know, sounds crazy.

Poll

Shout box

DorthLous: I love how she plays the "I'm a parent, you're a gamer, you couldn't understand" card... I'm a parent and I find her position despicable...05/23/2013 - 4:16pm

E. Zachary Knight: She didn't address your questions because she doesn't have any answers.05/23/2013 - 3:38pm

Andrew Eisen: I replied to her comment. Maybe in a few weeks I'll get a reply.05/23/2013 - 3:24pm

Thomas Riordan: @Andrew Eisen To what bowling alley does she go that puts sexual images in the faces of 6 year olds?05/23/2013 - 3:17pm

Andrew Eisen: Well, it took a month but Linda Stender finally replied to me... and didn't address a single one of my questions. http://aswlindastender.com/2013/04/23/follow-up-video-games-and-their-effect-on-children/05/23/2013 - 3:13pm

Imautobot: Also, from a tech perspective the PS4 is apparently already winning. http://bgr.com/2013/05/22/xbox-one-vs-playstation-4-specs/05/23/2013 - 3:12pm

Imautobot: Sony's PS4 motto should be "We play games." Microsoft's should be "We play games, when we're not rewinding your tapes."05/23/2013 - 3:11pm

Andrew Eisen: Oh look, Dying Light was just announced For Everything But Wii U. That's 73.05/23/2013 - 2:06pm

james_fudge: Zippy: they said the same thing about Cell. How did that turn out.05/23/2013 - 1:28pm

Andrew Eisen: Need for Speed Rivals is coming out For Everything But Wii U - PS3, 360, PC, PS4 and Xbox One. That brings the grand total up to 72.05/23/2013 - 12:55pm

PHX Corp: http://wiiudaily.com/2013/05/microsoft-is-selling-the-wii-u-better-than-nintendo/ Wii U daily Opinion: Microsoft is selling the Wii U better than Nintendo05/23/2013 - 12:23pm

E. Zachary Knight: Zippy, they very well may be. But that will only last until they are released. At that time, they will be two generations behind.05/23/2013 - 11:14am

ZippyDSMlee: for a good luagh, http://www.escapistmagazine.com/news/view/124288-EA-Exec-Xbox-One-and-PS4-Are-A-Generation-Ahead-Of-PC05/23/2013 - 10:55am

james_fudge: It's about time! I need W805/23/2013 - 10:49am

MaskedPixelante: Looks like Gamepot is more willing to play ball than Square Enix. Wizardry 6+7 and 8 are available on GOG.05/23/2013 - 10:36am

DorthLous: Anybody tried Hiversaire? Thoughts?05/22/2013 - 5:48pm

E. Zachary Knight: New Humble Bundle Weekly Sale. Alan Wake: https://www.humblebundle.com/weekly No Linux or Mac support. :(05/22/2013 - 1:46pm

E. Zachary Knight: Microsoft talks about the lack of backward compatability. You're backwards. http://www.gamasutra.com/view/news/192801/If_youre_backwards_compatible_youre_really_backwards.php05/22/2013 - 1:39pm

E. Zachary Knight: That is absolutely nuts there. As bad an experience XBox Indie Games was, the problems weren't with the self published side of things. Forcing a publisher onto independent studios is not going to help.05/22/2013 - 10:43am

MaskedPixelante: http://www.eurogamer.net/articles/2013-05-22-microsoft-wont-let-indies-self-publish-on-xbox-one And the hits just keep on coming.05/22/2013 - 9:20am

All shouts

<< Return To Top

Forgot your password?
Username :
Password :