SWTOR and the EA stock plummet

[Svifnymr]

Swotr may be a majority of not the only reason. Mass effect 3 was a massive dissapointment too.

It'd be nice if the chart showed individual game releases and other such news releases, rather than the article just blaming TOR. I'm not a major video game guy, so not sure what other releases may have been around there, or if it was simply a slow christmas release.

[Gothicshark]

EA's stock is falling not because of SWTOR and if they blame TOR for it they are Idiots.

The decline started because Battlefield 3 failed to capture the Modern First Person Seat away from Call of Duty: Modern Warfare 3, "Within 24 hours of going on sale, the game sold 6.5 million copies in the U.S. and UK alone and grossed $400 million, making it the biggest entertainment launch of all time." Because of this then a series of major let downs in the last seven months investors have been reluctant to invest in EA.

Things that have hurt EA in the last seven months.

Battlefield 3 - Failed to even come close to CoD:MW3
Star Wars: The Old Republic - Though a successful launch for an MMO, it was billed to investors as the WOW killer by EA even though Bioware Austin made it clear that having a Million subs would be great. (Which they have a Million Subs and are not doing badly at all, but SWTOR is not the WOW killer)
Mass Effect 3 (ending fiasco) - This more than anything is causing EA to loose investors, because of the failure with the ending and the corporate attitude given to fans EA was voted the Worst Corporation in America.

http://consumerist.com/2012/04/congr...-for-2012.html

How do you think this has effected EA? What is sad they got the Votes because of 1 game. well they also have a long history of dick moves, but almost every video game company has a long list of dick moves, just EA times them badly.

[Leonard McCoy]

Swotr may be a majority of not the only reason. Mass effect 3 was a massive dissapointment too.

Not in any way the market should care about. It sold very well. What we should take from this however is that the market is simply not a rational actor in most cases.

http://www.vg247.com/2012/05/07/ea-2...ngs-to-profit/

Digital revenue up 47% to $1.2 billion. Total profit at $76 million from $4.14 billion in revenue, up from a loss of $276 million last year.

The company as a whole has gained profit at their last quarterly report. It beat market estimates but the stock still tanked over star wars which in no way is it's most profitable IP and was never thought to be by anyone with a lick of sense. Bf3 sold far more, hell so did mass effect 3.

---------- Post added 2012-06-21 at 09:58 PM ----------

Mass Effect 3 (ending fiasco) - This more than anything is causing EA to loose investors, because of the failure with the ending and the corporate attitude given to fans EA was voted the Worst Corporation in America.

Investors don't care that Me3 had a bad ending, and they don't care about an internet poll who's criteria and objectivity is questionable at best. They care about profits, expected and proven. I'd be surprised if many of them even knew that poll existed or if any of them actually played mass effect. Simply the market is just not a rational actor in most cases and this is the prime example.

[RoninaThorstone]

you cant think why an article about massive drops in stock prices of one ofthe biggest gaming companies would be of interest to people on a gaming forum....reallly?

There IS a "video gaming" sub forum. This should be posted there, not here.

[Leonard McCoy]

you cant think why an article about massive drops in stock prices of one ofthe biggest gaming companies would be of interest to people on a gaming forum....reallly?

The problem is of course is that EA makes many games, not just swtor. And while it may be a rational discussion for a video game discussion it is not specific to swtor which is what this forum is for. It's clear why it's in this forum however. Now will the mods move and rename it? Should be interesting to see...

[Lyriok]

It'd be nice if the chart showed individual game releases and other such news releases, rather than the article just blaming TOR. I'm not a major video game guy, so not sure what other releases may have been around there, or if it was simply a slow christmas release.

Yea it'd be great if it showed how much of a decline each game had but EA woudn't share that. Im really happy about the decline there hasn't been anything fresh from EA in what feels like forever.

---------- Post added 2012-06-21 at 10:04 PM ----------

EA's stock is falling not because of SWTOR and if they blame TOR for it they are Idiots.

The decline started because Battlefield 3 failed to capture the Modern First Person Seat away from Call of Duty: Modern Warfare 3, "Within 24 hours of going on sale, the game sold 6.5 million copies in the U.S. and UK alone and grossed $400 million, making it the biggest entertainment launch of all time." Because of this then a series of major let downs in the last seven months investors have been reluctant to invest in EA.

Things that have hurt EA in the last seven months.

Battlefield 3 - Failed to even come close to CoD:MW3
Star Wars: The Old Republic - Though a successful launch for an MMO, it was billed to investors as the WOW killer by EA even though Bioware Austin made it clear that having a Million subs would be great. (Which they have a Million Subs and are not doing badly at all, but SWTOR is not the WOW killer)
Mass Effect 3 (ending fiasco) - This more than anything is causing EA to loose investors, because of the failure with the ending and the corporate attitude given to fans EA was voted the Worst Corporation in America.

http://consumerist.com/2012/04/congr...-for-2012.html

How do you think this has effected EA? What is sad they got the Votes because of 1 game. well they also have a long history of dick moves, but almost every video game company has a long list of dick moves, just EA times them badly.

Reading that made me have to post this.

[Leonard McCoy]

Yea it'd be great if it showed how much of a decline each game had but EA woudn't share that. Im really happy about the decline there hasn't been anything fresh from EA in what feels like forever.

And I wouldn't expect the decline to fuel any fresh or new development. It's not a good thing trust me. Unless you've personalized your dislike of EA?

[Crysis]

you cant think why an article about massive drops in stock prices of one ofthe biggest gaming companies would be of interest to people on a gaming forum....reallly?

I'm not saying it's not interesting. It should definitely be on some forum around here. I'm just saying the OP posted this article here and wrote his last sentence in the sense he did just because he wanted to mock the game. That's all.

[Lyriok]

And I wouldn't expect the decline to fuel any fresh or new development. It's not a good thing trust me. Unless you've personalized your dislike of EA?

Its not that i dislike EA i want to see fresh games instead of games copy pasted with new maps and skins which is what all the cods and battlefields have been. A company only gets my money if they bring in something new and fresh, They have to earn my purchase not just getting my money for making a genre of game.

Im hoping the decline scares other companys to think "This powerhouse is slowly going down we have to really step it up"

Most gamers want something new not something thats recycled. Which is why I LOVE indie developers now, on a lower budget they need good ideas.

[Bitlovin]

And you are telling us this because ??? Oh, that's right. You want to bash SWTOR for being a huge fail, am I right ? Otherwise I really can't think of any reason to debate the stock values on a gaming forum.

No, just read the article and thought it was interesting. A company losing $4 billion in stock value in half a year is pretty startling, and certainly discussion worthy. I figured that such a topic might provoke interesting conversation.

[Bitlovin]

then post it on the "video games" forum.

Due to the fact that the matter and linked article relates to SWTOR, I believe this specific subforum is more precise a venue.

[Leonard McCoy]

Its not that i dislike EA i want to see fresh games instead of games copy pasted with new maps and skins which is what all the cods and battlefields have been. A company only gets my money if they bring in something new and fresh, They have to earn my purchase not just getting my money for making a genre of game.

Im hoping the decline scares other companys to think "This powerhouse is slowly going down we have to really step it up"

Most gamers want something new not something thats recycled.

Uhhhh I'd be careful before you speak for "most gamers". "Most gamers" are happy to buy cod sequels over and over again. And blizzard sequels over and over and over again and I would make a pretty good wager that if you went and looked up the best selling games of the past 6 months they were either sequel or prequels or had some tie to a previous game and not totally fresh IPs.

[notorious98]

The OP isn't bashing the game, just reporting on the article, and it is a big disheartening to read. Although F2P is a perfectly viable solution for any game, it always seems (at least in the minds of fans) to sound the death knell of a game.

Agree to disagree. Cherry picking one paragraph, among a slew that relate to the story, because it contains the name "Star Wars : The Old Republic" is bashing. He could have put this on any forum, but chose this one. He could have singled out any paragraph, including the one talking about how restructuring is taking much longer than anticipated, but did not. You may think that's not him bashing, but it is. Had he just linked the article and left it at that, sure, we could say that he's not. But considering the fact of WHERE he posted it, along with WHAT he quoted, and what he said afterward? Yeah, it can definitely be construed as bashing.

[Deleted]

We've almost seen in happen back in 2007.

They over extended themselves and restricted the actions of the companies they bought resulting in systemic failure.

I would love to see EA bought out. Bioware has, on numerous occasions, leaked that EA is screwing with their development deadlines and direction.

Leaks from Mythic (the devs of the mutilated by EA ,Warhammer Online) have supported the same, as well as very bad management.


Honestly, EA just rips BRILLIANT IPs apart, and when it takes a break from that it does exactly this

[Triggered Fridgekin]

Uh oh, time for EA to assimilate another studio to crank out a game and then shut them down immediately after.

[notorious98]

Due to the fact that the matter and linked article relates to SWTOR, I believe this specific subforum is more precise a venue.

Actually, the matter and linked article loosely relates to TOR. It mostly relates to how poorly EA is being run. Like I said before, cherry picking that is your obvious attempt to bash the game.

[Clymene]

No, just read the article and thought it was interesting. A company losing $4 billion in stock value in half a year is pretty startling, and certainly discussion worthy. I figured that such a topic might provoke interesting conversation.

And none of this only relates directly to SWTOR. Video games subforum is where this thread belongs. Unless you can prove EA's stock price is only dependent upon SWTOR.

[RoninaThorstone]

No, just read the article and thought it was interesting. A company losing $4 billion in stock value in half a year is pretty startling, and certainly discussion worthy. I figured that such a topic might provoke interesting conversation.

Only if you are new to tech stocks.

[Bitlovin]

Nows the time to buy in!

That is actually not a bad idea. Buy low, sell high, and all that.

[Ricen]

And you are telling us this because ??? Oh, that's right. You want to bash SWTOR for being a huge fail, am I right ? Otherwise I really can't think of any reason to debate the stock values on a gaming forum.

No i think he is just reporting something he finds interesting and shocking. Its just facts that the EA's stock has droped since Swtor dropped. It just happens.