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Op Ed

Clifford Unchained - Nickels, dimes, and quarters. By Cliff Bleszinski.
If you donít like EA, donít buy their games. If you donít like their microtransactions, donít spend money on them. Itís that simple. EA has many smart people working for them (Hi, Frank, JR, and Patrick!) and they wouldnít attempt these things if they didnít work. Turns out, they do. I assure you there are teams of analysts studying the numbers behind consumer behavior over there that are studying how you, the gamer, spends his hard earned cash.

If youíre currently raging about this on GAF, or on the IGN forums, or on Gamespot, guess what? Youíre the vocal minority. Your average guy that buys just Madden and GTA every year doesnít know, nor does he care. He has no problem throwing a few bucks more at a game because, hey, why not?

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59. Re: More Big Picture Details Mar 2, 2013, 14:35 Dev
 
HorrorScope wrote on Mar 2, 2013, 14:16:
Dev wrote on Mar 2, 2013, 14:07:
Actually what the big companies do is make plenty of profit on paper and in reality. Then they just do a perfectly legal double irish with dutch sandwich, and pretty much not pay any of it to the gov.

Apple and Google are just a couple examples, there's plenty more.

The difference is the two examples you post are making and reporting plenty of profit and their stocks reflect that. Where as EA shows huge losses on there public quarterlies aka on paper.
Obviously. Which more than likely means they are actually losing money in reality (not just paper). There's no upside to a company trying to lose money on paper instead of the double irish with dutch, especially if its a company with a lot of IP. One of the differences between a losing money (even if you believe its just on paper) and making money company is stock prices, which makes a huge difference to a ton of things. Not the least of which is stock options and bonuses to CEOs. So they have personal making tons of income reasons to show profit.

Beamer wrote on Mar 2, 2013, 14:28:
Please stop saying "only loses money on paper."

People tend to say that a ton because it's true in Hollywood. Do you know what else is true in Hollywood? The companies are divisions of other companies.
I agree with your overall point, but a minor nitpick, the music industry also does hollywood type accounting.
 
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