- Boys’ sleepovers vs. girls’ sleepovers meme takes stereotypes to absurd heights Tuesday 7:30 PM
- Petition wants Keanu Reeves to be named ‘Time Person of the Year’ Tuesday 6:33 PM
- 8 women accuse Max Landis of sexual, emotional abuse Tuesday 5:37 PM
- Taylor Swift accused of copying Beyoncé—again Tuesday 5:00 PM
- Everything you need to know about Libra, Facebook’s new cryptocurrency Tuesday 4:45 PM
- Netflix just renewed ‘Queer Eye’ for 2 more seasons Tuesday 4:32 PM
- YouTube’s queen of failed robots just unveiled a one-of-a-kind Tesla truck Tuesday 3:58 PM
- AOC infuriates conservatives with ‘concentration camps’ remark Tuesday 3:33 PM
- TikTok users explore identity with Lin Manuel Miranda-inspired meme Tuesday 3:24 PM
- TikTok apology video inspires new duet meme Tuesday 2:51 PM
- Man sues brewery after identifying as female to get beer discount Tuesday 2:31 PM
- Here’s what’s coming and going on Hulu in July 2019 Tuesday 2:22 PM
- This biotech company’s logo is almost straight out of Resident Evil Tuesday 1:26 PM
- Trump says mass deportations to start next week Tuesday 12:28 PM
- GOP pollster bothered by broken elevator in Austria blames socialism Tuesday 10:50 AM
My paycheck for a horse.
Here are two inconvenient facts for people who play video games: The cost of making games is rising, and customers don’t want to pay more than $60 for games. Game publishers have found a solution that seems to be working, even if it makes some gamers mad. They add microtransactions, and based on the latest investor call by Grand Theft Auto and Red Dead Redemption publisher Take-Two Interactive, it sounds like microtransactions will play an important role in all of its games going forward—including 2018’s Red Dead Redemption 2.
Microtransactions come in many forms, depending on the game in question. Card games like Hearthstone might charge a few bucks for a new pack of cards. Many games, like Overwatch, offer “loot boxes,” which contain things like new costumes or character gestures. In Take-Two’s Grand Theft Auto Online—the online mode of Grand Theft Auto V—players can buy outfits, weapons, and vehicles using in-game currency or real-life money.
As a result of these microtransactions, game companies can keep charging $60 for games that would otherwise cost more. With the additional revenue stream, they can also continue supporting the games by adding new content.
In a call to investors on Tuesday, Take-Two Interactive CEO Strauss Zelnick emphasized the importance of microtransactions—or, as he called it, “recurrent consumer spending.” Zelnick said microtranactions made up a full 42 percent of Take-Two’s revenue over the last quarter.
That’s a major chunk of the company’s revenue, so it’s no surprise he plans to keep the pipeline open for upcoming games. “We’ve said that we aim to have recurrent consumer spending opportunities for every title that we put out at this company,” he said. “It may not always be an online model, it probably won’t always be a virtual currency model, but there will be some ability to engage in an ongoing basis with our titles after release across the board. That’s a sea change in our business.”
The next big game coming from the publisher is the highly anticipated Red Dead Redemption 2, scheduled for release in the second quarter of 2018. If there was any question that this sequel would offer microtransactions, we can put them to rest now.