EA: Gaming’s Move From Ownership to Subscription Model Is Inevitable

According to EA’s VP of investor relations Chris Evenden, gaming is going to end up like Spotify and Netflix, moving from traditional ownership of content, to a subscription model. 

The change is “inevitable,” with gaming following the way that “the music and video entertainment worlds have already moved.”

Evenden said all this while speaking at the Deutsche Bank Technology Conference.

“We’ve been building an infrastructure both from a product and a marketing perspective so we can move our slate across to new platforms, and we can move with our games across to new platforms as well,” Evenden said. “So all of these things, we’ve been working on for five or more years now, actually. But I think it’s inevitable that the gaming entertainment world will move in much the same way that the music and video entertainment worlds have already moved, in the sense that people have moved from an ownership model to an access model. And you’ll see that in gaming, just as you’ve seen it with Spotify and Netflix in other media businesses.”

He continued to explain how the subscription model results in a much lower cost of entry for new customers. It’s less of an investment, less of a risk, and should attract more people. 

“Right now if you want to play FIFA in the United States, it will cost you $460,” Evenden said. “You have to buy the game; you have to buy the console. In a streaming world, it could be $9.99 a month. The commercial details have to be worked out, but whatever number it ends up at is very much less than $460. So that extends your market, because all you need locally is literally a smart TV.”

Can you imagine a world in which a TV is all you need? What about going from owning all of your games, to subscribing to multiple collections for all of your virtual needs?

Source: GamesIndustry.biz

  • Retro

    You’d need one hell of a smart TV to play today’s games. And streaming games is trash. I can’t imagine playing FIFA or any other title through streaming while playing online multiplayer.

    Subscription only works in cases like EA Access/Origin where you get to download the game to your device.

  • rolypoky .

    A flawed analogy including the cost of a console but then not including the cost of a Smart TV in the streaming option. Most people who play these kind of games would have a console or pc

  • roland0811

    I didn’t think gaming could get any worse than it is now. I prefer to actually own my games.

  • xHDx

    I’m sure the Music and Movie industry moved to subscription model because of Piracy, lowering costs of Music/Films, not because of natural wants.

    The games industry won’t because those developers who make games know how to actually program security into applications (exclusively games) where Music and Film are simply a WAV file (or similar), an MP3 file(or similar). These have very little in the form of security, if any at all . Music artists and movie producers probably have no idea.