Is The Video Game Bubble About To Burst?

Blizzard, Bubble about to burst, Disney, Electronic Arts, Jeff Bewkes, Jill Kennedy, Khan Manka, Manka Bros., Medea, Nintendo, OnMedea, Robert Iger, Rupert Murdoch, TakeTwo Interactive, THQ, Time Warner, Video Game IndustryNintendo’s earnings today must have been a troublesome sign for all the major video game companies (EA, Activision Blizzard, Sony, etc.).

With a couple of exceptions (most notably Midway Games), the video game industry has had a pretty great party over the the past five years.  But is the party ending and the hangover beginning?

Long answer:  Yes.

Are major media companies prepared for the coming burst?

Long answer:  No.  I believe that most believe the bubble will grow and grow and grow – until it becomes an infinite sphere with impenetrable walls that cannot burst.

A bubble that cannot burst.  Hmmm.   Wouldn’t that be marvelous?!

If Q4 2009 is as frightening as Q2 2009 for the industry, major media companies may wish to revisit their aggressive games company acquisitions strategy (or AGCAS).  Maybe it should be revisited today.

Accel Partners, Ben Silverman, Bob Iger, Chris Hughes, David Kirkpatrick, Dustin Moskovitz, Eduardo Saverin, Gerald Levin, Greylock Partners, HBO, Jeff Bewkes, Jeff Zucker, Jill Kennedy, Joanna Shields, Jon Miller, Khan Manka, Li Ka-shing, Manka Bros., Mark Cuban, Mark Zuckerberg, Matt Cohler, MySpace, Nicolas Carlson, OnMedea, Owen Van Natta, Paul Buchheit, Peter Thiel, Rupert Murdoch, Sheryl Sandberg, Sumner Redstone, Toy Story 3Jill Kennedy – OnMedea

Leave a Reply

Your email address will not be published. Required fields are marked *