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MMO Industry Report Shows Reduction in Revenue Per User

Posted September 24, 2010 by M.H. Williams

Industry analyst Screen Digest has released a new report on the state on the Western MMO industry. The report states that in Europe and North America, the total MMO market value rose to $1.6 billion in 2009, up from $1.4 billion in 2008. Screen Digest is forecasting that this figure will reach $2 billion by 2014, even with the free-to-play business model becoming more prevalent.

Unfortunately for MMO developers, while the overall market share is higher, the average revenue per user declined ten percent from 2008 to 2009. Market leader Blizzard’s subscription market share dropped to 54 percent in 2009, down from 60 percent in 2008. Total Western subscriptions came to 13 million by the end of last year, with 56 percent of those subs in North America.

"We maintain our view that subscriptions will continue to play an important role in the MMOG sector," says the report. "Certain consumer groups and types of service are well suited to subscriptions but we also acknowledge the growing success and adoption of microtransaction-based MMOGs as an alternative business model for operators."

M.H. Williams has been writing in some form or another for ten years and has been a hardcore gamer since the NES first graced American shores.  You can catch him on Twitter as @AutomaticZen, Google+ as himself, or on his personal Facebook page.




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