MCV559 October 16th 2009

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NEWS ANALYSIS: OXYGEN GAMES

OUT 30 OCTOBER

TO HIT THE BULLSEYE that the rush to make cheap product on Wii and DS two the few, says Tim Ingham… As the market ‘settles down’ however, there will inevitably be victims – just like Oxygen. Empire Interactive collapsed back in May under a cloud of controversy, having placed its faith in the Nintendo market with familyorientated games. And in August, MCV reported that Dutch publisher PlayLogic – which has this generation concentrated on Nintendo platforms – had admitted that it would ‘struggle as a going concern’. In this week’s MCV, EA boss Keith Ramsdale warns against ‘me-too’ product on Nintendo’s systems. “Unless you’ve got a compelling point of difference, it’s going to be an uphill battle,” he says. Meanwhile, Ubisoft announced in July that it had seen Q1 revenue generated on DS fall by 67 per cent. CEO Yves Guillemot said: “The DS is declining quickly. The casual business is changing rapidly and we have to reinvent this.” It’s one thing to rue that reality when you’re a mega-publisher. But when every penny of your small business has been plunged into creating sub-selling games, you may have risked your existence. The smartest publishers that took part in the DS/Wii ‘goldrush’ two years ago have expand their business model. 505 Games, for instance, has released a mix of mainstream and non-mainstream titles. It’s even taken ideas to other platforms, resulting in success for titles such as IL-2 Sturmovik on PS3 and 360. Oxygen was a victim of a range of factors, of course: Piracy, recession, digital distribution and tight bank lending. But one thing’s for certain – its line up may not have cost a huge amount, but it was littered with product that looked similar to previous Wii and DS releases, and which struggled to win consumer attention. Anyone still doing the same best beware.

NO ROOM TO BREATHE Oxygen’s recent history: 08/08/07: Sets up a Wii and DS development studio in London, to cash in on Nintendo-mania. 04/10/07: Confirms it is to open a US office to handle its sales, first party and developer relations in the region. 02/02/08: PDC World Championship Darts 2008 is released on Wii, PS2 and PC. In a stunning performance for Oxygen, the title hits No.6 in the All Formats UK chart. 02/10/08: MyGames range for DS announced. 05/01/09: Admits that it is to shut down all internal development and concentrate on a ‘traditional publisher model’. 01/06/09: The latest in the firm’s flagship franchise, PDC World Championship Darts 2009 on DS and Wii, fails to match its predecessor’s performance, missing out on a spot in the All Formats Top 40.

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18/09/09: Releases its big hope for 2009: Cate West: The Vanishing Files. The title fails to chart in the All Formats Top 40. 23/09/09: Signs deal to distribute titles from French publisher Nobilis – including Wii title Safar’Wii and Music on DS.

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