People already know EA is after Activison to be the king of the hill when it comes to first-person shooters, but that’s not the only throne they’re after. Next on the list is Zynga and their dominance of Facebook.
EA Sports President Peter Moore called out the social gaming market leader in an MI6 keynote.
“There’s a big dog in front of us,” Moore said, referring to Zynga. “But we aren’t far behind, and we’re confident that we can catch up. What we can bring to the market in terms of blue chip IP is phenomenal.”
The theme of Moore’s speech was about digital gaming and how it has grown over the years. He shared estimates that reveal digital gaming has risen from 31 percent of the market in 2008 to 45 percent in 2010. In that same time, the packaged games market has grown from $39.9 billion to $44.2 billion. By EA’s estimates, the digital games market has grown faster, from $12.4 billion to $19.9 billion.
Moore also revealed that they’re seeing growth at a healthy rate of five to 10 percent every year. The size of the market has grown from 250 million people to 1.2 billion people and claimed that “digital is the driver of that growth.”
He said that companies that refuse to keep up with changes in consumer behavior are bound to fail.
“Our competitors scoffed when we invested in social gaming, by buying Playfish,” Moore said. “They scoffed at our direct-to-consumer models. But we are number one in mobile games, number one in casual games and number two in social games.”
He further reiterated this point in saying that “no company had spent more investing in the future than Electronic Arts.”
Moore also acknowledged that there is “there is a nervousness about change,” in regards to disrupting the traditional business model.
“People want to know how they can keep getting $60 for games while social and online games are free or when iPad games are a fraction of the cost,” Moore said. “But change is good. Change brings more consumers into gaming. Consumers are driving the changes and, in the end, they always win.”
Are the two markets even targeting the same demographic? One thing we do know is we can count on more EA casual and browser games. Dead Space 2 on Facebook anyone?