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Explore the fallout and recovery of Take-2 Entertainment in the $11.5 billion video game industry. Delve into advergaming potential reaching $800 million by 2009 and the impact on males aged 18 to 34. Learn about ESRB's response, legislative concerns, and Take-2's reactions. Discover insights on retail fallout, revenue projections, and corrective actions. Anticipate a future with regulated promotions and production. Navigate through industry updates and controversies through insightful resources.
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Advergaming Follow-up How Take-2 entertainment picks up the pieces
Industry Review • $11.5 Billion Video Game industry • Advergaming is about $180 Million now, could get to $800 M by 2009? (Yankee group) • Targets: “Lost Boys”- Males 18 to 34
Article ESRB Gov. Intervention? Take-2’s response Future Advergaming effects? Article Basics
ESRB who & what? Entertainment Software Ratings Board Changes previous rating of Mature (M) to Adult Only (AO)
Know thy enemy • Legislation? • Federal Inquiry (aka: witch hunt)? Sen. Clinton at her brightest
Who gets the short end of the stick? Current Retailers who have stopped selling the game Software Publishers, specifically game oriented ones
Take-Twos reaction? • Re-adjusts- fiscal year earnings projection 1.31 billion (net Sales) : 1.26 billion (-45 million) • Take Corrective action- • Stop production • Patch • New Version • Distribute “adult-only” ESRB stickers • Don’t talk about it
Wide-open Future? Things to expect: • More selective promotion • Tighter Gov. regulated product and promotion • More active role in product production Control and coordination “Creativity”
Resources Cnn.com-http://www.cnn.com/2005/POLITICS/07/15/senate.videogame.reut/index.html Adage.com- http://www.adage.com/news.cms?newsId=45628 IEMA- www.iema.org ESRB- www.esrb.org Take 2- http://www.take2games.com/ ; http://www.rockstargames.com/