Prominent game developer and publisher Ubisoft has announced its acquisition of Future Games of London, a developer of mobile games. The development studio was first established in 2009 and has established a strong foothold in the mobile space since then. The developer boasts of more than 100 million downloads for its mobile games and continues to make strong progress in this sector. Ubisoft has been showing aggressive interest in the mobile field in recent years, especially as mobile games become more popular than traditional handheld titles.
Ubisoft builds a stronger presence in the mobile space
Ubisoft is working to establish a stronger presence in the mobile games sector. These games have managed to attract a great deal of support and attention from consumers around the world and have become one of the most lucrative sectors of the game industry as a whole. Ubisoft is only on among many companies that have shown an interest in mobile games for the economic and entertainment prospects they represent.
Developer to gain access to Ubisoft resources
Future Games of London will continue operating as it has done for the past several years for the most part. Through the acquisition, however, the developer will have access to the abundant resources that Ubisoft offers. Ubisoft will also gain access to the developer’s range of mobile games and will be able to market these games and ensure they reach a wider audience. Ubisoft has proven time and again that it holds a strong position in the game industry. Last year, the company generated more than $800 million in profit, more than enough to encourage expansion into the mobile field.
US becomes an attractive market
Backed by Ubisoft’s support, Future Games of London is expected to concentrate on breaking into the U.S. market with new online games developed for mobile devices. The developer will also work on improving its game infrastructure in foreign markets in order to bolster its global network. These plans align well with Ubisoft’s operations.
Kapitall analysis highlights the growth of mobile gaming over the years
Mobile gaming may soon become the dominating force in the game industry. Kapitall, an online investment platform, has been tracking the decline of traditional console gaming and the sale of physical gaming products. As sales continue to drop, they are being replaced by sales made through digital platforms, such a Steam and Gamestop. Game developers that focus solely on mobile gaming, such as Glue Mobile and Zynga, are also seeing significant gains as traditional platforms begin to wane.
Retails sales dropping off for consoles and games
According to Kapitall, retail game sales have dropped by 25% year-to-date, while console sales have plummeted by 30% year over year. A volatile economic climate is to blame to some degree, but so too is the retail price of most video games, which can range from $30 to $60, depending on the publisher of the game. Mobile gaming is faring much better, largely due to the fact that most mobile games are very inexpensive, with many being completely free.
Mobile gaming accounts for only a fraction of the entire market
Despite the strong advent of mobile gaming, however, mobile games account for only a fraction of the overall market. Digital downloads of games developed for consoles and PCs are strong and continue to gain momentum as more consumers show favor for online shopping over traditional forms of commerce. For these people, online shopping is simply more convenient and does not actually mean they are spending less on games, only that they do not have to pick them up from a physical store.
Gamers still willing to shell out money for console and PC games
Kapitall notes that gamers are not likely to abandon consoles in favor of mobile gaming. Mobile games typically offer a very shallow, linear experience that is designed around repetition rather than in-depth gameplay. As such, titles from companies like Electronic Arts, THQ, and Ubisoft are likely to continue selling well, even if those sales are not actually physical.
