Pachter: Mafia II Ailing, RDR Can Still Help Take-Two
Delays aren't usually a good thing, especially when one of your bigger titles may not perform as well as expected.
Wedbush Morgan analyst Michael Pachter spoke to Gamasutra concerning Take-Two's financial situation, and he guesses that Mafia II won't help the company's bottom line. Thankfully, Red Dead Redemption continues to sell like mad, which should help to balance things out a little. Said Pachter:
"Mafia II’s average Metacritic score of 74 is well below expectations, and consumer interest appears to be waning, as the game’s position has dropped in many best-seller lists in its first week. With six years in development, we believe the game is unlikely to achieve profitability."
Take-Two is well known for their teams that utilize long development cycles, and while that often pays off, it may not with Mafia II. It did for RDR but analysts usually suggest that Take-Two could benefit from shorter design cycles, and not quite so many delays. Pachter notes both L.A. Noire and Max Payne 3, both of which have been hit with delays in 2010.
"It is important to note that both games have been in development for longer than five years, making their break-even hurdles significantly higher than a typical game.
With longer development cycles, Take-Two has a profitability threshold higher than its peers," says the analyst. "We believe that the company must focus on streamlining its development process and providing better visibility on future game releases."
Well, Take-Two should be just fine, now that they have a solid new money-making series to go along with Grand Theft Auto. Altering between RDR and GTA year in and year out wouldn't be a bad plan, provided the level of quality didn't drop.
Related Game(s): Mafia II
8/30/2010 9:21:54 PM Ben Dutka