Draech said:
Ah yes, but trade isn't a 1 way street. It is in fact your problem because if they cannot turn a profit your service still stops. They are not cutting services on tiles that have successful ways of supporting the title.
You are always walking the knife edge between customer satisfaction and loss of profit. The customer wouldn't pay anything and get everything if it were completely up to them. Afterall they are just trying to get the best deal. Just like the publisher.
The key is to cut the cake so both side walk away happy. Its not just about making the customer happy. Yeah the customer has the power to buy, but the publisher has the power to sell. The value must be determined by both parties. It reminds me of Jim Sterling's video about "Games are to expensive" that boiled the argument down to "If games were cheaper more people could get them". Yeah well its not just about getting more people to get them. If the publishers made everything free then everyone would be able to get them, but the publisher wouldn't get any money.
Now Valve has done this brilliantly. How do they subsidize old services that uses Steamworks for their matchmaking, but forcing you to use Steam. By getting Steam on your computer they increase the chance of you buying something on Steam increasing profits overall. In other words. Titles become worth maintaining by adding value to the Steam service that then gets subsidize by future purchases.
It certainly tends to be the producer who always is walking the knife's edge when it comes to gaming, as gamers not buying their products means they go out of business, while them not making games is hardly going to make a dent in any customer's life (obsessive fanboys should die anyway).
But when it comes to actual reality I'm all in favour of customers aggressively pushing for terms most favourable to them - mostly as nobody else is going to do it - but also because it breeds innovation, both in artistic terms, and business strategies.
It's exactly the same thing as we're seeing at the piracy debate next door: companies either try and forcefully suppress it, or they evolve and adapt.
In that context I'd call it a good thing for companies to be walking a knife's edge. The problem, however, is when you get large multinationals such as EA trying to steamroll their way over the knife by squeezing every last cent from their customers
because they can.
And while I'm somewhat reluctant to consider any argument posed by Jim Sterling for anything but its comedic value, I'll point out that "if X is cheaper more people will buy it" really is nothing more than basic economics. The same basic economics as the ones that are getting horribly mangled when it comes to gaming: things just don't seem to work that way over here.
On one side EA and its ilk are constantly proving just how much you can get away with before people collectively call you out as a fraud.
On the other hand you see Valve gleefully disproving the basic inverted linear relation between price and units moved: it appears that a 75% discount increases sales by about 5000%.
Consumers also are perfectly willing to pay for entertainment: Radiohead had their own little experiment on the music side of things, and the humble bundle is doing something compatible on this corner of the entertainment block.
It of course would be heresy to suggest that good customer services (and the simple act of not being a dick) in any way, shape, or form increases the amount of people willing to pay for your products.
Which concludes our detour into the wild thickets of my rambling, and brings us right back to the whole issue of cutting support for games relatively soon after release - especially when combined with online passes.
It makes you look like a dick, and thereby effectively shoots long-term planning in the foot. Which is pretty much what EA appears to be doing right now - and I for one can't wait to kiss this particular dinosaur goodbye.
(Somehow I doubt anyone managed to hang on to that train of thought. My apologies - cerebral functions seem to be somewhat... different at 6am.)