Electronic Arts has confirmed that it is making more money on microtransactions and DLC than on games itself

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Electronic Arts did not release any other game except for Mass Effect Andromeda this year, which disappointed with the sales. But if you look at the financial results of this publishing house for the first quarter of fiscal year 2018, which lasted from April to the end of June, earnings were almost incredible - 1.45 billion dollars, which is 14% more than at the same time last year.

It does not have to be too smart to figure out why this is so, but this financial statement confirms that EA has completely switched to the game model as services. Namely, as much as 60% of the earnings were generated from the sale of digital content for serials such as Battlefield, Star Wars, The Sims and of course, Ultimate Team modes for sports games.

Microtransactions and DLC packages to Electronic Art not only secured a large profit, it also increased the number of players. Games from EA Sports like that count 11% more players than in the same period last year, while the number of active players of Sims 4 increased by 30%. Like cherry on top, Battlefield 1 had more than 21 million players by the end of the sixth month.

Tagged with: Battlefield Series, FIFA Series, Selling Games and Hardware, Earnings

Replies • 6

Lunar

I'd like to see a rough breakdown of what percentage of transactions come from a core group of people.  Like whether 5% of paying users contribute 90% of the profits - if the whales concept prevalent in F2P browser games still applies here with a respectable (haha) and established company like EA.


Planetary

I think this is bad news for us, especially old time gamers. Fortunately there are still publishers without tons of dlc and microtransactions



Sweg Lord

Am I the only person who's not surprised by this? ¯\_(ツ)_/¯


Princess

I don't mind things like skins, and cosmetics but I hate that they do this with DLC and serials.  If I am dropping $40-$60 give me the entire game, damn it.