A lackluster year for video game titles is taking its toll on some of the industry’s biggest publishers. Electronic Arts is reporting less than expected fourth quarter sales estimates while Midway Games and Activision are also reporting troubles, according to Video Business.
While people in the industry continue to blame part of the shortfall on slow sales of the Xbox 360 and Sony’s PSP, some are admitting the gaming titles for 2005 and weren’t as exciting as in past years.
The lineup of products this year is arguably not as compelling," said EA topper Larry Probst.
Last year, video game publishers benefited from several hit games, most notably Halo 2 and Grand Theft Auto: San Andreas. But this year hasn't brought sequels to most of the industry's top properties and hasn't seen many original hits.
In addition, Probst said sales of the Xbox 360 and PSP have been softer than EA anticipated. Publishers rely on hardware sales to drive interest in games.
Video Business
EA Games is best known for its sports titles, including Madden football, but is also the publisher of such games as Battlefield 2 and Harry Potter.
Midway, which announced it would lay off as much as 11 percent of its workforce, is the maker of Gauntlet and L.A. Rush. Activision is responsible for such titles as Quake 4, the Doom series and Spider-Man. It is also reporting less-than-expected earnings.
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