This industry update provides a snapshot of the global interactive entertainment and media landscape during the third quarter of 2018. The analysis begins with a qualitative assessment of Nintendo’s design philosophy, emphasizing how the company leverages cross-platform marketing—specifically integrating elements from Super Mario Odyssey into mobile titles like Super Mario Run—to drive brand recognition and accessibility across generational demographics.
The report highlights significant corporate shifts in the broader media sector, including Walmart’s potential entry into video streaming to compete with Amazon, the removal of key executives at CBS facilitating a potential Viacom merger, and Vivendi’s strategic move to sell a 50% stake in Universal Music Group. Additionally, the document notes the limited commercial release of the Magic Leap One Creator Edition, an augmented reality headset priced at $2,295, signaling a cautious entry into the hardware market.
Financial performance data for major publishers reveals a period of transition and growth. Sony reported record operating profits driven by the PlayStation division, with total PS4 sales reaching 82.2 million units. Nintendo maintained a strong trajectory with $1.51 billion in revenue, though analysts expressed skepticism regarding its 20-million-unit annual Switch sales target. Activision Blizzard saw mixed results as Blizzard’s revenue dipped 14%, potentially due to competition from Fortnite, while Take-Two Interactive continued to benefit from the longevity of Grand Theft Auto V. Mobile-centric firms like Glu Mobile and Zynga reported growth in bookings but faced technical headwinds from Facebook Connect integration. The update concludes with brief notes on the expansion of the Overwatch League and Valve’s upcoming release of Artifact.