Mobile games have found success, perhaps at the expense of retailers
There can be no denying the utter success that mobile games have seen in recent years. The game industry has begun to shift to be more accommodating of mobile consumers, while many developers have made a name for themselves through an exclusive focus on mobile games. Even developers that have traditionally clung to console games have begun entering into the mobile space. While mobile games have solidified the success for many in the game industry, it may take a disastrous toll on the retail sector.
Analysis suggests that game retailers may face uncertain future
Games are not the only things that are changing in the game industry; the way people get their games is evolving as well. In the past, consumers would have to visit physical stores to pick up games that they had been looking forward to. With the advent of mobile technology, and an increasing focus on Internet business, these stores are beginning to see less traffic. With mobile games pushing to dominate the game industry, these stores may actually see closure, according to 24/7 Wall St., a market analysis and news group.
Gamestop experiences turbulence in game market
Gamestop, a U.S.-based game retailer, may fall victim to the success of mobile games and the changing game industry landscape. For several years, Gamestop has sold games to avid consumers and boasts of more than 4,400 stores throughout the U.S. The company has done very well in solidifying its position in the game industry through its various partnerships with game developers. Despite these partnerships, however, the retailer has been seeing less in-store traffic, though its Internet traffic has increased significantly over the past several years.
Retailer expected to close 500 stores in the future
In November of 2012, Gamestop announced that it would be closing 200 of its stores in 2013. Mobile games were cited as part of the reason behind the closing of these stores. The retailer is projected to close an additional 500 stores in the coming years due to the impact of mobile games and other elements within the game industry. The company’s gross profit for the third quarter of 2012 show that its three core product segments have been hit hard. These segments are new hardware, new software, and used products.
Vodafone predicts benefits for mobile gaming to come from 4G expansion
Vodafone, a British multi-national telecommunications company, recently rolled out a new 4G network in Germany, where mobile consumers in rural areas can now enjoy access to a high-speed Internet connection. The company is in the process of expanding this network to include urban areas throughout the country. Beyond Germany, 4G is becoming a staple of the mobile space, with many consumers throughout the world enjoying the speeds that 4G networks provide. Vodafone, along with other companies, believe that 4G may spark further growth in the mobile sector, especially where applications and mobile gaming is concerned.
4G connections becoming more common
Millions of smart phone and tablet users now have access to 4G networks, with many more receiving access to these networks on a seemingly daily basis. A 4G connection is comparable to a high-speed broadband connection for a home, giving mobile consumers access to connection speeds that have long been reserved to PCs and similar, stationary products. Vodafone believes that 4G will change the way mobile consumers make use of the Internet, providing them with access to high-definition content and enabling them to upload their own content to the Internet at faster speeds.
Mobile gaming may become more social thanks to 4G
Mobile gaming is likely to benefit from the growth of 4G networks, especially in the social space. Social games, and mobile games in general, often require some connection to the Internet in order for gamers to experience the game’s full features. A faster Internet connection means that gamers can enjoy these features more fluidly, but it also means that they could have access to more complex games that require a very strong network connection.
Mobile consumers likely to enjoy 4G connectivity
Developers are beginning to produce mobile games that are breaching the capabilities of current mobile technology, hoping to gain a head start on the next generation of smart phones and tablets. These games will require better hardware for mobile devices, but also a fast Internet connection to facilitate their various multi-player elements. Vodafone believes that the growth of 4G networks around the world can only lead to benefits for the mobile space and everyone with advanced mobile devices.
