Denis Dyack: Social Games Market Will Crash Hard

May 11, 2011 -

In a recent interview with IndustryGamers Silicon Knights front man Denis Dyack said that that the social games market will crash very hard. Dyack admits that current social gaming trends are adversely affecting the traditional games market, but will eventually see "a rapid contraction."

"It is damaging traditional gaming for sure but... how it's going to work out is anyone's guess," he said to IndustryGamers. "The trend that I see is it's probably going to be one of the biggest bubbles and explosions that our industry's seen in a long time and I think when it crashes it's going to crash very hard. I don't think there's an economy there."

When asked specifically about Zynga - currently valued at upwards of $10 billion - his comments were less sure but just as disparaging:

"I don't know about Zynga – I think that's a big micro, but I think that the amount of venture that's being poured in, in general, that's most of the video game industry investment. As far as I know right now, it's going into pure social gaming. It looks like marketing to me. It doesn't look like real gaming. And maybe it'll change, I don't know. It looks very, very dangerous.

"I think Zynga's valuated more than some traditional publishers right now that have been in the industry for decades. I'm sorry, but I just don't see it. It seems imaginary to me... it doesn't look long term healthy to me," he added.

Dyack went on to say that traditional publishers like Activision are wary of throwing in too heavily into mobile and social game markets:

"I think there are a lot of publishers out there that don't agree with it and they just haven't spoken about it. I don't see Nintendo going into that space, as an example. There are a lot of publishers that I don't see going into that space. And, you know, EA is one of the few that's [embraced social]."

Source: GI.biz


Comments

Re: Denis Dyack: Social Games Market Will Crash Hard

Social Games are similar to sitcoms. Lots of people like them, somewhat. It's casual gaming at it's extreme. More social even than 'game'. Similar to a sitcom - people watch, discuss, etc.

Console and PC games are more similar to a mini-series or a full length movie, maybe more than that even i nsome games - perhaps akin to a movie series such as Star Wars, Star Trek, or Harry Potter; attracting a loyal following, some more than others.

I think the social gaming will level out, but it's not going anywhere.

This next generation - the teens of today and young 20's are much more in-tune to gaming than TV. Of my son's friends, they come over and when doing something inside - maybe 10% of the time, they'll watch a movie the rest - they are gaming.

I'd say half the people I know on facebook are social gamers. As long as new content is coming out, they'll stay interested. Aunt Bee might quit playing, but Uncle Ted will start.

I'm a PC gamer - I've never spent a dime on any social games; although on occasion I'll play Roulette online, I'm not into Farmville or the fish tank things, but I do spend on PC games.That being said - yes, EA has done a good job.

Now after you register your games - you can re-download if needed. There are somethings about EA that bug me, but overall - they are doing the best job. The EA downloader is no where near as problematic as Steam and it doesn't *require* a connection to play, or setting it to offline mode prior to disconnecting. Plus EA lets you install games to the locations that you want to install them to - not nested under 8 folders, that just makes modding a pain.

Re: Denis Dyack: Social Games Market Will Crash Hard

Why should anyone listen to Dennis Dyack?  The man has repeatedly demonstrated a questionable grip on reality.  Again, listen to his appearance on the 1up Yours podcast and you will hear the rambling of a crazy person.

Re: Denis Dyack: Social Games Market Will Crash Hard

I HOPE he's right.

I THINK he's wrong.

What's basically going on with social games (and crappy iPod games for that matter) vs. the major consoles is the same deal that when down when TV came out, and the major movie mogols went nuts.

Low quality with easy access. Mainstream's finally getting into it, but on a different level. And the major developers (and fans) are worried it's going to kill their medium. It won't, but it will alter it, and we have to be prepared.

Times, They Are a'Changin'.

Re: Denis Dyack: Social Games Market Will Crash Hard

He probably has a point.

This has nothing to do with the value of social games or their continuation as a genre... it is the VC and other investments being poured into a market that probably doesn't have the growth potential to support that much capitial flowing in.

I imagine we will see a collapse,... with a few major groups surviving:

(1) Big players with enough revenue and capital on hand to weather the exodus of investment

(2) Small niche players that stuck to within thier means and have solid followings

(3) Hobbists with little cost outlay.

Investers are a skittish lot, often pouring too much money into markets they don't actually know anything about because they are being told the market is hot, and being just as arbitrary when they yank funding away or demand immediate (sometimes crippling) profits from companies still building a brand (at which point the brand gets watered down and ruined by seeking short term large paybacks at the cost of long term smaller stablity).

It will be amusing to watch.

 
Forgot your password?
Username :
Password :

Shout box

You're not permitted to post shouts.
Zenpretty well without getting "nasty". Many people are disappointed in the decision and the about face on the status of the games development.05/25/2015 - 4:22pm
ZenEvery market has horrible people...but being like this towards all of them in a group is not a way to garner support and can make people more hostile towards you. Ironically his response was to someone that wanted to state a disagreement, but worded it05/25/2015 - 4:22pm
Goth_SkunkAs demonstrated by Ian's remarks, that 'market of possible fans' is apparently negligible.05/25/2015 - 4:18pm
Zeninformation while other versions had everything talked about openly.05/25/2015 - 4:15pm
ZenYeah, I've read through it and wanted to make sure I had it quoted correctly. I get there are issues, but this is horribly unprofessional and just burning a market of possible fans..many of which supported them and were waiting while getting little to no05/25/2015 - 4:15pm
Goth_SkunkOh wow. That's not even misquoted, he actually said that. Though for additional context in previous pages, he truly does not think highly of Nintendo console owners, and claims that in the industry, he's not alone.05/25/2015 - 4:12pm
ZenI also took a screenshot of the statement in case it is taken down (via my Twitter): https://twitter.com/zenspath/status/60293960536562483205/25/2015 - 4:05pm
ZenLink for my previous post - http://forum.projectcarsgame.com/showthread.php?27584-Project-Cars-Sales-figures&p=942776&viewfull=1#post94277605/25/2015 - 4:03pm
ZenProject Cars basically canceled for Wii U, Slightlymad Studios Head, Ian Bell, states "Yup, and if you need to pass this on, we really dislike Nintendo users" on Forum to Wii U players waiting for the game and disappointed in the news.05/25/2015 - 4:03pm
Goth_SkunkAnd now, a humorous gif. Oblivious Otter is Oblivious. http://i.imgur.com/zdUZOWo.gif05/25/2015 - 3:49pm
Goth_Skunka bonified game dev.05/25/2015 - 3:45pm
Goth_SkunkGranted, most of that feedback is going to be vicious, but if a novice dev knows full well not to expect their hastily strewn together game as the next Grand Theft Auto, such curmudgeonly feedback shouldn't deter them from their ultimate goal of becoming05/25/2015 - 3:45pm
Goth_SkunkAdditionally, Steam is a platform whereby these novice devs can showcase what they were able to put together and see what kind of feedback they can get from the community.05/25/2015 - 3:44pm
Goth_SkunkI don't think it's wrong for a novice dev to want to recover any losses from people willing to pay money for what they have produced, either. After all, every game dev had to start somewhere.05/25/2015 - 3:41pm
Goth_SkunkI disagree. I think that for novice developers, this tactic still at a fundamental level teaching someone the ins and outs of video game development.05/25/2015 - 3:41pm
PHX Corp@MW There are things that developers are doing that drive me up the Wall as a consumer, reused Unity assets is no Exception to said rule05/25/2015 - 2:17pm
Matthew Wilsonhttps://www.youtube.com/watch?v=5svAoQ7D38k this is stupid, and the fact its allowed is stupid.05/25/2015 - 1:52pm
james_fudgeHappy Memorial Day to everyone05/25/2015 - 7:13am
Mattsworknamealso, in MGR, on higher levels, button mashing will get you reckt, you have to master parry to even have a prayer05/24/2015 - 8:52pm
MattsworknameI kinda would like a bit more variety in the combat, as it feels a bit to stiff and slow for me. Especailly after other games ive played05/24/2015 - 8:39pm
 

Be Heard - Contact Your Politician