The IGDA Online Games SIG Persistent Worlds White Paper is intended to provide a summary of contemporary issues in the development and operation of massively multi-player online persistent worlds. We have chosen to use the title Persistent State World or PSW to describe these online experiences. Also used are the terms: virtual world, multi-user domain or multi-user dungeon (MUD), massively multi-player (MMP) game, massively multiplayer online game (MMOG) and massively multi-player online role-playing game (MMORPG). The sheer variety of acronyms and the inadequacy of all of them are indicative of the youth of this industry. In particular the authors point out that the growth of the persistent worlds market is almost predicated upon its moving away from its origins in fantasy role-playing type games.
Our intention is to provide a broad survey of the market, primarily in the US with some examples from overseas, an overview of design and production, a guide to technology practices and an introduction to the rigors of service and operations.
The focus of this paper is to provide developers, operators and publishers of persistent worlds with information to help them decide whether or not to proceed with development; to identify pitfalls along the way; to deliver; and then to support these games successfully. The field of PSW development and operation is enormously complex and we cannot hope to be exhaustive or complete in our overview, but we hope that developers new to the field, as well as old hands, will find some useful information within.
Many of the challenges in creating and distributing successful Web and Downloadable games are unique to the internet game distribution model, which often demonstrates significantly different rules and parameters than the traditional (console or PC via CD-ROM) video game distribution model. This white paper provides a snapshot of the current state of the industry and provides information to developers and related parties. This paper is intended to serve as a resource for these parties: to share knowledge and provide guidance for more successfully developing their businesses.
B. Audience and Scope
This white paper is specifically focused on providing valuable, hard-to-come-by information to small to medium-sized Web and Downloadable game developers. This white paper should also prove interesting to anyone who wants to learn or read about the Web and Downloadable games industry. Included are: information on the market, business models, technologies, publishers, legal constraints and ideas relating to the business of Web and Downloadable games.
It should be noted that there are a few massively multiplayer online games (MMOG's) that fit into the category of a Web and Downloadable games. While these games technically meet our definition of webbased games, we felt that many of their qualities make them more similar to persistent world games, which are discussed in another white paper from this SIG. As such, these games and their specific issues are completely ignored in this paper.
C. Definitions
We use a common definition set for this white paper that closely, if not identically, mirrors industry definitions:
Downloadable game: A ¡°small file¡± game, typically less than 15MB, that is downloaded from a web site or peer-to-peer network, is installed on a user's computer, and thereafter runs as a standalone executable ¨C with or without Internet access. The current business model dictates that these games often have a trial mode, with the option to purchase the full version for unlimited play. Examples of downloadable games can be found on almost every online gaming site or games channel on the major portals. This category does not include demos of video games or PC traditional large-format game titles that are primarily sold through retailers. This category does include titles that are primarily available for download, even if the game is additionally distributed on CD-ROM.
Web game: A game launched via a web page with no prior installation of software required. This category does not include games that are downloaded to the user's hard-drive and run outside of the web-browser, but it does include games launched from a web page that might require/installation of a general or custom ActiveX control. Common examples of this are the Flash, Shockwave' and Java' games found on thousands of websites, as well as C++ games delivered via a custom ActiveX control.
Skill game: A web game played for money or prizes, which are won based on skill because the elements of luck have either been eliminated or greatly reduced in the game.
Advergame: A web or downloadable game where the primary objective of building it is to deliver advertising messages, drive traffic to web sites, and build brand awareness.
Traditional game: A game developed for and delivered on a dedicated game console (set-top or handheld) as well as PC-based CD-ROM or DVD games sold at retail.
Mobile Games are one of the fastest growing segments of the game industry. However, mobile games are also some of the most challenging products to develop and distribute. Unlike most areas of the game business, mobile games must be created to run on hundreds of handsets, must pass quality assurance tests from dozens of organizations, and are marketed and sold unlike any other entertainment product.
In the summer of 2004, the International Game Developers' Association (IGDA) Online Games Special Interest Group (SIG) solicited volunteers interested in contributing their expertise to a document which would present a snapshot of the major aspects of the mobile game market in 2005. The volunteers were drawn from all areas of the business including marketing, distribution, product development and technology. While the IGDA is an organization dedicated to the concerns of game developers, the organization felt it was important that developers have a grasp of all aspects of the market so that the products they develop find their way into the hands of consumers and are as successful as possible.
This White Paper is primarily geared toward those members of the game development community who may be considering entering the mobile game industry. For the purposes of the White Paper, we have defined mobile games as those that are delivered via wireless networks to devices whose primary function is a mobile phone. The goal of this White Paper is to give individuals with no knowledge of mobile games an overview of the challenges involved in their development, distribution, and marketing.
This work was created and written by volunteers on behalf of the community at large. The White Paper content is based on the individual input of the contributors and does not necessarily reflect the opinions of the IGDA or the companies at which the individuals work. The volunteers worked diligently to provide accurate information but there may be inaccuracies and information that has become outdated since this White Paper was originally written. The information was obtained from publicly available sources, including company websites, company annual reports and SEC filings, and news sites dedicated to games.
The findings of this paper were presented at the 2005 Game Developers Conference (GDC) in San Francisco, California. This White Paper is the complete version produced by the IGDA Online Games SIG. It is available for download at no charge courtesy of the IDGA via www.igda.org/online. There you can also find other documents created by the Online Games SIG such as the Web and Downloadable Games Whitepaper.
The IP Rights White Paper is a comprehensive analysis of key forms of IPR, legal definitions and information about global intellectual property rights as they relate to games and those connected to game development.
Topics covered in the White Paper include the history of IP Rights; forms of IP protection; overview of IP in video games; practical applications; and three opinion essays from leading game industry thinkers.
Written by the IP Rights Special Interest Group (previously the IPR Committee), consisting of forty members including game developers, musicians, journalists, CTOs, CEOs, open-source evangelists, students, academics and lawyers from North America , Europe and Asia.
The first of its kind, "Game Developer Demographics: An Exploration of Workforce Diversity" answers the question, ¡°who makes games?¡± by examining the demographic makeup of the development community. Nearly 6500 people participated in the survey, answering a series of questions pertaining to age, race, sexual orientation and education among other variables.
Key results of the demographic survey include:
Male = 88.5%, Female = 11.5%
White = 83.3%, Black = 2.0%, Hispanic/Latino = 2.5%, Asian = 7.5%, Other = 4.7%
ESA 2005 Essential Facts About The Computer and Video Games Industry
The Entertainment Software Association (ESA) released its 2005 Essential Facts About the Computer and Video Game Industry at E3 on May 18, 2005. The annual research was conducted by Ipsos-Insight for the ESA. The study is the most in-depth and targeted survey of its kind, gathering data from almost 1,500 nationally representative households that have been identified as owning either or both a video game console or a personal computer used to run entertainment software.
OECD Report: Online Computer and Video Game Industry
The OECD (Organisation for Economic Co-operation and Development) has just released a report on the online computer and video game industry (click to view study).
Among the issues identified by the report are:
Development costs, particularly for online games, have increased rapidly. Finance is seen as an important barrier to development as R&D support and tax breaks do not necessarily go to game development.
Domination of the games console market by three hardware suppliers and growing market power of large games publishers is a potential threat to competition and together with increasing development costs to the future of independent developers.
Lack of international micro-payment systems is limiting growth of pay-per-play and mass-market development.
Shortages of programmers and developers remain a barrier to growth. Fewer women work in the games industry than any other media industry;
Available evidence on the relationship between gaming and violence does not seem to support a definite direct causal connection but indicates that more research needs to be done in this area.
Among its findings are:
It is a young, R&D-intensive industry with rapid growth underpinned by online network technology and development of large-scale online games and wireless games.
New games are important drivers for high-end processors and computer capabilities.
Growth is driven by changing demographic and income characteristics of players, the continued spread of broadband and the increasing role of China.
Mass markets for online computer and video games will develop in most OECD countries following growth in Japan and Korea.
Increasing costs of developing and marketing new games and high potential online and wireless markets may drive industry consolidation.
Governments increasingly see the computer and video game industry as a growth area and have developed support policies and established environments conducive to the industry. These include collaborative R&D support, multimedia funds, trade support services and training certification schemes. There are also increasing spillovers from games into other activities, for example using interactive games developments in education and government applications and 3D modelling in design applications.
Mobile content is a major driver for telecommunications and media industries, and an emerging industry particularly in music and games. Markets are most developed in Asia, with large growth potential in North America and Europe. Ease of use and personalisation are essential to broad user uptake. Content owners, developers and aggregators, mobile operators, handset manufacturers and enabling technology suppliers are vying to control complex value chains. But no single value chain has emerged and it is likely that different ones will prevail for different mobile content. Music ringtones and downloads are a key source of mobile content, and games are increasingly being developed. A variety of other content is being provided including video, enterprise and information and location services. Government policies can have a significant impact including: broadband wireless deployment; R&D to facilitate mobile content development; IP, DRM and technical standards; competition to ensure mobile content for new platforms; privacy, security and consumer protection; payment and micro-payment systems; and taxation policies.
iResearch 2004 China Online Game Research Report (simple)
More presence and popularity of domestically developed online games. In terms of industry input, more market players start to work on their own in-house developed online games. For example, the top 5 China online game operators have all engaged in in-house developed games. As for market acceptance, among top 5 popular online games of 2004 in China, there are 3 domestically developed games. What's more, the government has carried out sets of measures to support development of online games made in China. Almost 50 companies have participated in Made In China Online Game Project. iResearch believes that the quality, influential level, and market share of domestically developed games will keep growing in the following years.
The 15th Statistical Survey Report on the Internet Development in China published by China Internet Network Information Center (CNNIC) on January 19, 2005 shows that, the Internet population in China was 94 million, increased by 8% over the past 6 months. Among them, the number of broadband users was 42.8 million. In the meantime, the number of computers with access to Internet reached 41.6 million, an increase of 14.6% over the past 6 months. The report also shows that 15.9% of users selected online game as the most common Internet entertainment mode.