August
Company
Documents about August
Week of the Spider‑Lamb
This analysis examines a significant surge in high-profile Steam releases during August 2022, a period characterized by the rare simultaneous launch of multiple titles with high pre-release anticipation.
- August 2022 saw a surge in high-profile Steam launches, led by Marvel’s Spider-Man Remastered with 60,000 concurrent users (CCU) and Cult of the Lamb, which outperformed expectations with over 61,700 CCU.
- Niche and Early Access titles maintained strong market presence, with Farthest Frontier reaching nearly 20,000 CCU and Two Point Campus securing 7,400 CCU despite the crowded release window.
- Free-to-play titles MultiVersus and Rumbleverse emerged as the dominant forces within the console digital store ecosystem.
Two & a Half Gamers Session #27: Unity, AppLovin, and Zynga
This podcast episode serves as a candid industry discussion, focusing on high-profile mergers, legal challenges, and market performance trends within the mobile gaming sector as of August 2022.
- AppLovin made an unsolicited merger proposal to Unity in August 2022, signaling a major push for consolidation across the mobile advertising and game engine sectors.
- Zynga reached a $12 million class-action settlement regarding its social casino applications, underscoring the significant legal and regulatory risks inherent in the gambling-themed gaming market.
- Netflix’s gaming division faced early adoption hurdles, with internal data showing that only one percent of its total subscriber base had engaged with its gaming offerings as of August 2022.
The Number of Games Companies and Employees in Germany Continues to Grow
The German games industry experienced sustained growth throughout 2021 and into 2022, characterized by an increase in both the number of active companies and the total workforce.
- The German games industry generated approximately 9.8 billion euros in total sales revenue in 2021, marking a 17 percent increase over the previous year.
- The number of people employed in the core development and marketing of games in Germany grew to 11,242, representing a 3 percent increase in the core market.
- The total number of jobs secured by the German games industry, including service providers, retail, and the public sector, exceeds 28,000.
Two & a Half Gamers Session #26: Unpacking Google Ads Disaster and ASA Today
This podcast episode serves as an industry discussion focused on the evolving landscape of mobile user acquisition, game design, and advertising monetization.
- Google has joined the bidder pool for AppLovin’s MAX mediation platform, a move that significantly alters the competitive landscape for publishers managing ad-monetization stacks.
- Apple has introduced new advertising placements within the App Store’s 'Today' tab, creating a new channel for mobile user acquisition.
- Google’s 'Better Ads Experiences' initiative is actively reshaping the Android developer ecosystem by imposing new standards for ad-related user experiences.
Who Are the Top YouTube Influencers for Indie Game Discovery?
Securing influencer coverage is a critical driver for the success of independent video games, as organic reach often spreads through a delicate network of content creators.
- Influencer coverage is the primary driver for indie game commercial success, as demonstrated by the performance of titles like The Mortuary Assistant and PlateUp! in August 2022.
- Developers should prioritize 'streamability' in game design to effectively leverage the four key influencer archetypes: variety streamers, long-term engagement streamers, genre specialists, and emerging diverse content creators.
- To avoid being overshadowed by discounted AAA titles, developers should strategically schedule game launches to avoid dates immediately preceding major Steam seasonal sales.
June 2022: Monthly Market Update
The June 2022 market update provides an analytical overview of the blockchain gaming sector, characterizing the period as a challenging transition defined by a significant bear market.
- Blockchain gaming is experiencing a significant market downturn, characterized by declining unique active wallets (UAW), volatile NFT transaction volumes, and a slowdown in fundraising as unsustainable play-to-earn models deteriorate.
- Top blockchain games, including Alien Worlds and Splinterlands, saw substantial player churn in June, with Splinterlands experiencing a sharp decline in active wallets following major reward structure changes.
- Casual and puzzle games are emerging as a resilient sub-sector, with Solitaire Blitz debuting in the top five and other titles like Arc8 and Gameta maintaining steady engagement despite broader market weakness.
Free Fire: Bringing Battle Royale to the World
Free Fire, a mobile battle royale title developed by Garena and 111dots, achieved significant global success by prioritizing accessibility and regional localization over the high-end hardware requirements favored by its competitors.
- Free Fire reached 1 billion downloads, becoming the most downloaded battle royale game ever and surpassing PUBG Mobile.
- Garena’s strategy focused on accessibility by optimizing Free Fire to run on low-end smartphones and data-constrained environments where competitors like Fortnite and PUBG could not operate.
- Free Fire serves as the primary profit engine for parent company Sea Limited, with its gaming division generating $715.1 million in adjusted EBITDA in Q3 2021 to subsidize the expansion of the e-commerce unit, Shopee.
Tencent Employees Facing Mass Layoffs as Latest Lockdowns Affect Chinese Tech Giants' Earnings
The provided text covers two distinct developments regarding Tencent’s operations within the Chinese and global technology sectors.
- In May 2022, Tencent experienced its first period of zero revenue growth in 18 years, leading to widespread layoffs across its cloud, content, and sports divisions.
- Tencent’s 2022 workforce reductions were part of a strategic shift to streamline operations and exit non-core business segments in response to regulatory pressure and COVID-19 lockdowns.
- By August 2026, Tencent shifted to an expansionary strategy, leading an $18 million investment round in W4 Games to scale the Godot engine within Asian markets.
Loot: The Epitome of Composability
The Loot project serves as a case study in decentralized, bottom-up, community-driven development within the blockchain gaming sector.
- The Loot project represents a bottom-up, community-driven approach to blockchain gaming that contrasts with the centralized, VC-funded models of projects like Axie Infinity and The Sandbox.
- Loot assets consist of simple, text-based lists of RPG-style items, with no canonical visual representation, leaving the interpretation and development of the game world entirely to the community.
- The market capitalization for original Loot bags peaked at approximately $293 million on August 6, 2021, before declining to $35 million, representing a nearly 90% loss in value.
PlayStation Acquires Haven Studios Led by Games Industry Veteran Jade Raymond
Sony’s strategic expansion of its internal development capabilities is highlighted by two distinct developments: the 2022 acquisition of Haven Studios and a 2026 legal challenge regarding its digital storefront practices.
- In March 2022, Sony acquired Montreal-based Haven Studios, founded by Jade Raymond, to develop an original AAA multiplayer live-service title for the PlayStation 5.
- The Stop Killing Games initiative has joined a class-action lawsuit filed by the Dutch consumer rights group Stichting Massaschade & Consument against Sony regarding PlayStation Store pricing.
- Plaintiffs allege that Sony artificially inflated digital game prices, resulting in an estimated 435 million euros in consumer overpayments in the Netherlands since 2013.
How to Find and Apply for Game Festivals
Virtual game festivals have emerged as a primary driver for visibility and wishlist acquisition for developers on the Steam platform.
- Steam festivals are the most effective method for driving visibility, with successful participation often yielding between 400 and 2,000 wishlists over a few days.
- High-performing games have attributed significant wishlist spikes—sometimes accounting for the majority of their total growth—directly to their presence in online festival events.
- Developers should prioritize creating and testing a high-quality playable demo, as many festivals require one for entry and use it as the primary vehicle for user engagement.
PlayStation 5 Owners Prefer Boxed Games to Downloads
During the first ten months of the PlayStation 5’s lifecycle, from November 2020 through August 2021, consumer data indicates a clear preference for physical media over digital downloads.
- PlayStation 5 owners prefer physical games, with GSD data showing three boxed games sold for every two digital downloads in the console's first ten months (November 2020 - August 2021).
- By August 2021, approximately two million physical PS5 games were sold, which is 51% higher than digital units, a gap that has increased from 26% in December 2020.
- Factors contributing to the preference for physical PS5 games include their high price ($70), the desire to build a physical library, the ability to resell or lend games, and the current lack of an extensive digital back catalog for the relatively new console.