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Apple Music recruits 11 million trial users in six weeks
Over 11 million people are now using Apple Music following the June 30th launch. "We're thrilled with the numbers so far," Apple senior VP Eddy Cue told USA Today. The service is in a free trial phase until September, so nobody has paid for it yet. The number of users is actually higher, though, as Apple said that 2 million of those folks are on the family plan, which allows six people to use it at once. Still, is 11 million free subscribers a lot? Everyone who updated an iPhone or iPad to iOS 8.4 was nagged to sign up, and it remains to be seen how many will opt out once they have to pay.
The slippery slope: Analysing the decline of World of Warcraft
It's the word on the street these days: World of Warcraft is no longer quite the king that it used to be. The massive title has lost around one million subscribers over the past year, even with Cataclysm releasing last December. Gamasutra sat down with Blizzard for a frank talk about why the title is in decline, and what the studio has planned to counter this trend. While Blizzard is pleased with the tune-up that Cataclysm provided to the landscape and questing, some players cite the erosion of difficulty and challenge as a reason for their leaving. Lead Systems Designer Greg Street acknowledges this, but says that the WoW team is in uncharted territory: "We just don't have a lot of examples of games that have lasted this long and been this popular for so long to show the right way to do it. I think coming up with new mechanics and new systems is relatively easy, the problem is integrating it with what we already have. World of Warcraft today is so much more complicated than it was when it launched six or seven years ago." Ultimately, it may come down to players becoming bored more quickly as Blizzard struggles to pump out content to keep their attention. UC Irvine's Thomas Debeauvais conducted a study of 2,865 WoW players across the world, and found that 75% of them had stopped playing the game for at least a month while still being subscribed to it. Blizzard says that it wants to provide faster content updates and continue to overhaul the game's mechanics and graphics to give the players a reason to stay.
Gaia Online makes modest staff cuts
Here's yet another news post on companies cutting back on their staff, oh boy. At least with Gaia Online it's a paltry 36 employees, 16 full-time staff and 20 contractors. That happens to be about 13% of the staff and is attributed to the less-than expected performance of zOMG!, which had around 500k players in November and just hit one million. As large as that number sounds, it's being drawn from the 11 million base of Gaia Online, so, it's all relative.There doesn't seem to be much worrying though, as the company has said they're merely preparing for a downturn in the coming year. We get the feeling that news like this is going to keep coming over the next 12-18 months, if not a little longer. Hopefully though, it's only small cuts like this and not the sort of job loss that's starting to become expected at other well-known developers.For those of you scratching your heads over this whole "zOMG!" game, check out Massively's first impressions for a glimpse into the beast, as they say.
Activision-Blizzard September results reveals box sales paradigm
Activision-Blizzard released September quarter results yesterday. Most of the document is pretty dry and won't mean much to the majority of their devoted fans. They reaffirm the 11 million subscriber base of World of Warcraft and remind us that Guitar Hero's doing pretty well. Yeah, and they have an expansion coming up. There is an interesting gem, however, to be found in their discussion of Wrath box sales: "Revenues related to the sale of World of Warcraft boxed software, including the sale of expansion packs and other ancillary revenues will continue to be deferred and recognized ratably over the estimated customer life beginning upon activation of the software and delivery of the services." That's a pretty packed statement. In summary, it means that the money Blizzard makes from selling the game box isn't immediately counted in their performance metrics at the time of sale. (There's no December "bump" to revenue directly from the 50ish dollars you pay for an expansion.) Instead, they count the revenue gains throughout your customer lifetime. Doesn't sound like a big deal, does it? Let's talk about why that's such a significant notion.
World of Warcraft hits 11 million subscribers worldwide
Even in the middle of zombies, nerfs, and Death Knights, World of Warcraft has continued to grow. Blizzard announced today that World of Warcraft has achieved 11 million subscribers. To help with perspective, that's as many people as had been employed by the construction industry last year, or just slightly under the population of Greece. When WoW hit 10 million back in January, Blizzard acknowledged how big the holiday season had been for them. Now consider that we're going into a new holiday season with a brand new expansion on the way. Even if other games are looking to get a piece of the action, we should expect Blizzard to keep steamrolling with their great success. Word of mouth from the recent zombie event might be exciting older players to return, and programs like Recruit-a-Friend will keep growing their active base. We should expect to see the 12 million landmark sometime in 2009. WoW had hit 9 million subscribers back in July of 2007. Like we said, 10 million subscribers was reached in January of 2008. It took a little longer to grow from 10 to 11 than it did to get from 9 to 10, but if they keep up this rate, we should see the 12 million announcement around February or March.
BusinessWeek inside the world of Blizzard
BusinessWeek spent some time examining the indisputable success of our Blizzard overlords. At the very beginning of the article, BusinessWeek credits Blizzard's mastery of gaming to the often-spoken, often-hated "when it's ready." In a quote from Jay Wilson, Blizzard says that if "a product isn't good enough, we cancel it." The BusinessWeek article talks a lot about the overwhelmingly involved culture of Blizzard employees. The developers play their own games, both on the clock and off the clock. Dedicated "strike teams" spend lunch cruising the games' latest builds. Players in beta provide instant feedback, which executives and designers hungrily consume to make the best possible decisions. And if a game isn't deemed "fun enough," it's sent off to black-can land, where it will never see the light of day. According to the article, though, Blizzard still plans on releasing a new expansion every year. This is in addition to Starcraft II and Diablo III. While we can obviously expect these games to show up "when they're ready," it paints a very active, competitive future for the Activision Blizzard group. The article does credit a new milestone for our beloved World of Warcraft. According to BusinessWeek, the subscriber base is now nearly 11 million. With the Recruit-a-Friend benefits, I hope we see this number grow to 12 million by the end of the year.
