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However, in February Electronic Arts officially announced it was working on a new game, though offered up the caveat that it was very early in development. Now it appears that there are at least two versions being worked on by the company. A recently surfaced job listing shows that Electronic Arts is looking for a Technical Lead for a mobile college football video game. The listing points out that this new hire will be working under the Development Director as they work with several cross-discipline team members.

It should be pointed out that while the listing says the person hired will bring a rewarding mobile experience. That could mean a game, or it could mean a companion app for the console version of EA Sports College Football. However, it seems as if the idea that there will also be a mobile game is a new twist. Of course, making a mobile version of EA Sports College Football would hardly be all that surprising these days.

Electronic Arts have ported several of its other titles to Android and iOS over the years. That certainly includes Madden NFL , which could serve as a model should the mobile job listing indeed be hinting that a straight port of the upcoming console game is on the way as well.

Horizontal competition comes from rivals in the industry and substitute products from other industries. Vertical competition comes from the supply chain , and is manifested in the bargaining power of suppliers and buyers.

The model examines horizontal competition from the perspectives of industry competition, the threat of new entrants, the threat of substitute products, and vertical competition from suppliers and buyers. Electronic Arts, Inc. The company was founded in and has its headquarters in Redwood City, Calif. The company is a dominant player in the video game industry and has huge brand name recognition among gamers.

Of Porter's five forces, industry competition represents the biggest threat to EA. Video game players do not tend to have high brand loyalty toward particular game manufacturers. Unlike car buyers, many of whom are exclusively Chevy people or Ford people, gamers simply want the best games and are not typically concerned with who makes them. A gamer who, for example, is all in on EA but shuns Activision is rare. Unlike Coke or Nike, EA cannot rely on its brand name to give it an edge over competitors.

The company must continue to develop the most cutting-edge video games and effectively market them to the gaming public. EA's Madden franchise, for instance, has been the gold standard for football games for two decades. Players choose the game because it is the most advanced football video game on the market, not because it is made by EA. EA must continue to dominate the sports market while ramping up its adventure games, a market that Activision Blizzard currently dominates with offerings such as "Call of Duty" and "World of Warcraft.

The threat of new entrants is high in the multimedia and graphics software industry and particularly in the video game production segment. The segment's barriers to entry are low, with minimal government regulation and manageable costs.

Programming video games does not require expensive or hard-to-find materials; more critical is the intellectual capacity to develop a new or innovative concept and bring it to life through effective programming and coding. One brilliant idea that leads to a blockbuster game is all it takes for a new company to catapult itself into the top echelon of video game producers. Buyers' bargaining power rounds out the external forces that pose the most serious threats to EA.

Video games are highly discretionary purchases. Consumers can be selective about where they spend their money. Moreover, gamers tend to have a pack mentality when it comes to the games they purchase and play. Buyers hold a lot of sway over the industry, and one bad or disappointing offering that causes a revolt from the gaming community can devastate a company.

The video game console manufacturer Sega learned this the hard way when its Dreamcast console was widely panned, leading to gamers taking their dollars elsewhere and ultimately decimating the brand. A substitute is not a similar product from a competitor, such as a football video game made to compete with "Madden," but a product in a different niche that a consumer might choose in place of a company's offering. App-based games, which users can play on smartphones or tablets, represent the best example of a substitute for EA's products.

The advantage of app-based games is that they are usually free or inexpensive. However, smartphone and tablet games have not approached the point where the gaming experience is close to that of an EA game.

EA's suppliers provide physical products and materials, such as computer hardware and software, graphics cards, and network infrastructure, and intellectual property. Intellectual property includes video game content and software code. Because a wide array of ingredients make up an EA game, the company uses a wide array of suppliers.

Suppliers of unique materials may possess a degree of bargaining power. However, the company's diversification among suppliers means that one or two suppliers raising prices represents only a small increase in the company's total cost of doing business. Financial Analysis. Business Essentials.

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