Our thoughts about “Ouya”!?

Ouya” the newly announced Android base console machine, it is design to run mobile games on your TV with proper gaming controller.  Does this has what it takes to compete with big boys like Microsoft, Sony and Nintendo?

Below is what we think:

Positives:

The console makers decide what they will and will not release onto their platform.  I do not know if they filter based on religious content, but if they do, then it can be very frustrating not to get your title up after all that investment.  And the development licenses are not cheap, they cost a ton.  So an open system that is more developer friendly is a great opportunity

The reason it will fail:

I believe the Ouya is a great concept, but is a red herring.  Any developer who thinks this will usher in a new era of indy console games will be sorely disappointed.

1)      The key to consoles has always been “anchoring exclusive titles”.  The console makers know this, which is why they buy studios and force them to make their title exclusively for their system.  Microsoft wanted to get into the console market with the first XBox, so they bought Bungie makers of Halo.  Halo was originally going to come out for Windows/Mac, but Microsoft made it exclusive to Xbox.  What happened?  Xbox sold millions of units because gamers wanted to play Halo, and the only way you could was with an Xbox.  The Uncharted trilogy for the Playstation 3 is another example.  Sony bought Naughty Dog, so if you want to play Uncharted, you have to buy Playstation 3.  Want to play Mario or Zelda?  You have to have a Wii.  And like a lemming, I do!  I own a Wii, Xbox360 and PS3 so I can play all these great games.  No AAA title will come out exclusively for the Ouya.  The economics don’t justify it.  If the big 3 console makers cannot sell a console without exclusive AAA titles, a start up has no chance.  The Atari Jaguar and 3DO proved this point several years ago.

2)      In making a game, which we do here at Mirthwerx, we have to decide on a target platform from the outset.  We make this decision not so much on how easy it is to develop, but on the size of the target market.  Programming difficulties can always be overcome, but market size is totally outside of the developers hands.  Therefore the largest potential for return on investment comes from the largest possible market.  With only a few hundred thousand Ouya consoles to be available it does not make sense to invest hundreds of thousands of dollars, or even a million, making a title for the Ouya only.  OK, so then developers will create Ouya versions of games that already exist in other markets (mobile, Windows, or other consoles) or will exist in other markets (like it comes out on Ouya first, then Xbox Live a month later).  The problem here is if the game is available on multiple platforms, then the value of the Ouya has just dropped significantly.  If I can play Angry Birds 3 on the Ouya OR the iPhone, why wouldn’t I just play it on iPhone?  My point is if the titles are available in multiple platforms, the consumer has no compelling reason to buy the Ouya console.  And if the consumer doesn’t buy the console, then the developer doesn’t have a large enough audience to justify the effort to bring titles to it.  This is a chicken and egg problem that has always existed with consoles, and exclusive AAA titles is the only fix I know of to solve it.

3)      As an indy game developer, I have one goal.  It supersedes my desire to make great art, it trumps my desire to bring Christian message to gamers, and it is this: to continue to exist and make games.  If I don’t make enough money on whatever title(s) I invest in, I go out of business and I have to go get a real job. J  Indys live very close to the feast/famine threshold.  So outside of the Ouya, are there viable outlets for indy developers?  The answer is YES!  I currently have the following options available to me for my next title:

  1. iOS mobile/tablet
  2. Android  mobile/tablet
  3. Windows/Mac (through steam, or direct sales)
  4. Flash based with web advertising
  5. Xbox Live
  6. PSN Mini

I can currently sell, potentially, millions of units through these channels.  While I am always open to new opportunities, I do not NEED another channel.  With the exception of Flash, five years ago these channels did not exist or were unproven for indy.

It is difficult to make predictions, especially about the future. 🙂  Based on everything I know, the Ouya will not be going anywhere.  If I am proven wrong, I’ll be the first person to say I totally missed it. 🙂

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