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Capcom: Packaged Media Keeps Sliding, DLC Is The Future

Like it or not, the digital revolution is upon us and packaged media is on the wane.

Many analysts have predicted that eventually, the majority of all video games will be delivered electronically (much to the chagrin of long-time collectors). And Capcom says the shift is currently in full effect; the publisher anticipates a "severe contraction" of the physical media market.

As the company stated in their 2013 Annual Report, it's time for gamers to accept "rapid changes."

"Analyzing the consumer market by platform, we forecast severe contraction in the package market, which is expected to shrink by $5.3 billion in 2017 (down 28.8 percent from 2012). At the same time, we forecast significant growth in the DLC market by $7.8 billion (up 109.9 percent)."

Capcom said the packaged market was worth $18.4 billion in 2012, which was down 17.9 percent year-over-year, and it was the fourth straight negative year. As a result, Capcom will allocate management resources to digital content so they be guaranteed of "sufficient earnings." Company president and COO Haruhiro Tsujimoto said that in the future, they'll be focusing more on DLC:

"But now, even after game sales, the provision of digitally distributed content (DLC) facilitates longer enjoyment of each title, resulting in a business model with the potential for earnings on a continuous basis."

It appears to be a logical response to the current situation, despite the fact that many hardcore gamers won't agree. Unfortunately, the bottom line is that most mainstream/casual gamers couldn't possibly care less about discs and boxes. Yes, we're a dying breed.

Tags: capcom, gaming industry, digital games, physical games

9/10/2013 9:32:14 PM John Shepard

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Comments (16 posts)

cLoudou
Tuesday, September 10, 2013 @ 10:18:17 PM
Reply

How about "NO"?

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Temjin001
Tuesday, September 10, 2013 @ 11:14:41 PM
Reply

now wouldnt that be nice Capcom. now you wont have to pre-load all of your 'dlc' on discs anymore, but now truly distribute it via servers.

Last edited by Temjin001 on 9/10/2013 11:15:03 PM

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LimitedVertigo
Tuesday, September 10, 2013 @ 11:31:55 PM
Reply

Hahahaha...keep pumping out that DLC. I won't be buying any of it or your games brand new like I used to.

Last edited by LimitedVertigo on 9/10/2013 11:32:08 PM

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WorldEndsWithMe
Tuesday, September 10, 2013 @ 11:48:02 PM
Reply

I have to admit, having a Plus subscription that gives me incredible deals on digital games is bringing me over. I love my physical games and prefer to have a physical copy if it is an special experience but the ease and price of having some titles digitally is very attractive.

I just grabbed Colonial Marines for $9 (yeah I still like lame Sega games, sue me) but there's no need for me to have a physical copy of that I just wanna play for nostalgia.

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Temjin001
Wednesday, September 11, 2013 @ 12:36:51 AM

it was in the design of Plus all along. Slowly pad those digital naysayers with discounts, trials, and 'free' games, and soon their souls will join the others who have already given up on plastic.

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WorldEndsWithMe
Wednesday, September 11, 2013 @ 9:44:50 AM

Certainly, that's how Steam did it.

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Jawknee
Wednesday, September 11, 2013 @ 12:57:58 AM
Reply

PUAHAHA, screw you Crapcom. Oh how easy you made it for me to quit you.

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WorldEndsWithMe
Wednesday, September 11, 2013 @ 9:45:21 AM

Brokeback Crapcom

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PlatformGamerNZ
Wednesday, September 11, 2013 @ 4:21:59 AM
Reply

it's a sad reality isn't it that people don't care about there game disc's anymore. i'll buy them till they aren't there anymore.

happy gaming =)

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Lawless SXE
Wednesday, September 11, 2013 @ 4:24:53 AM
Reply

I've said it before... put out games that I want and I'll get them. Digital distribution makes that harder for me at the moment, but things will change. I'll still get physical media when and where possible, as I don't think I'll ever fully trust downloads, but Capcom won't necessarily lose me. The industry might, though...

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___________
Wednesday, September 11, 2013 @ 4:55:47 AM
Reply

accept rapid changes?
that, coming from crapcom!?
oh the irony, the irony of it all!!!!!!!!

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EMax
Wednesday, September 11, 2013 @ 8:44:14 AM
Reply

In the present generation, there is a lot of support for digital distribution, not only for games, but for movies and music as well. The convenience of buying and receiving goods/services instantly is a tough battle to go up against. This, especially, when considering the present zeitgeist hints at instant gratification, superficiality etc. in our global society. I have to admit, the future for physical media seems bleak. Sometimes i could even see the S&D department of some video game companies vigorously rubbing their chubby (and most likely clammy) palms together, salivating at the always available and always in stock prospect. It may not be too far off where a small group of us (The Last of Us lol) may have to be lobbying for the release of major titles in the physical format.

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MRSUCCESS
Wednesday, September 11, 2013 @ 9:32:51 AM
Reply

I recently completed Asura's Wrath and in order to see the full story I have to buy a DLC?

Capcom, keep waiting for me to buy it.

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WorldEndsWithMe
Wednesday, September 11, 2013 @ 9:46:29 AM

I'm surprised there isn't more outrage about when this happens, such in FFXIII-2.

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firesoul453
Wednesday, September 11, 2013 @ 10:09:39 AM
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dang this sucks. I wait for complete editions before buying most dlc games. oh well.

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LowKey
Wednesday, September 11, 2013 @ 5:26:02 PM
Reply

EFF THAT!!

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