The videogame industry’s annual extravaganza of booth babes, deafening sound effects and eye-popping displays is lowering its profile. And mobile game makers aren’t complaining.
The Electronic Entertainment Expo, which has exploded into a 60,000-person tech-fest, is going to be dramatically scaled back next year. The Entertainment Software Association, which owns E3, confirmed the move after rumors surfaced the ESA might pull the plug on the show entirely.
“Over the years, it has become clear that we need a more intimate program, including higher-quality, more personal dialogue with the worldwide media, developers, retailers and other key industry audiences,” ESAP President Douglas Lowenstein said. “The new event ensures that there will be an effective and more efficient way for companies to get information to media, consumers and others.”
Indeed, the exhibition-which showcases videogames and hardware for cell phones, consoles, PCs and handhelds-has come to resemble the world’s largest mall arcade rather than a traditional trade show. Actors dressed as space aliens and Roman centurions walked the show to promote new titles, and organizers this year were forced to clamp down on scantily clad models roaming the floor on behalf of vendors. Attendees, meanwhile, stood in long lines to play the latest video games, and looked more like holiday shoppers than professionals as they lugged shopping bags full of promotional giveaways around the show floor.
Lowenstein said the show will give up the spacious Los Angeles Convention Center in favor of two hotels in L.A. Attendance-which will be by invitation only-is expected to shrink to roughly 7,000. Publishers welcomed the news, noting the expense that comes with building and manning high-tech booths at the show.
Trip Hawkins, who founded Electronic Arts Inc. before moving into wireless to launch Digital Chocolate Inc., hailed the move.
“Many conferences and conventions only make money for the conference organizer,” Hawkins said last week via e-mail. “Exhibiting at this show has been a bad investment for some time.”
Other publishers welcomed the news. EA Chief Financial Officer Warren Jenson said the move makes good business sense and is a big win for all videogame publishers.
“We fully support the decision that was made by the ESA board,” Jenson echoed during an earnings call last week. “We see that as the appropriate evolution of the E3 event. In terms of cost savings, it will save us multiple millions next year.”
Like a handful of other major cross-platform publishers-Namco Bandai Games North America Inc., THQ Inc. and Ubisoft Entertainment, among others-EA increasingly has focused on wireless at E3, particularly in the wake of its acquisition of Jamdat. Well-heeled mobile companies have worked to attract attention as well: Nokia Corp. hosted a cutting-edge booth to tout the N-Gage at this year’s show, and U.K.-based publisher Superscape Group plc invested heavily at the event to showcase its new 3-D offerings.
But most pure-play developers have struggled to attract attention at the show. While reporters and enthusiasts focused on next-generation games and yet-to-be-released consoles, most mobile publishers settled for holding quiet meetings in conference rooms off the show floor.
Some game makers have avoided the show entirely, opting instead to focus on events like the Game Developers Conference and cellular shows like the two annual CTIA events.
“E3 is a console and PC gaming show, and not a good venue to introduce or sell mobile games,” said Hawkins, who didn’t attend this year’s spectacle. “With or without a booth, it is not the most efficient selling or marketing environment. In mobile, we have a highly concentrated customer base and they attend other shows like the semi-annual CTIA.”
