Investors Betting Against SWTOR Reaching Market Success Says Analyst
Could investors be a little nervous about EA's ability to successfully launch Star Wars: The Old Republic (SWTOR) given their past history with MMOGs? And could those investors actually be betting against the publishing gaming giant's ability to deliver with SWTOR? A new article from Gamasutra would indicate that this is a possibility. The article references statements from analyst Mike Hickey of Janco Partners, an investment broker dealer and research firm. Hickey believes that some investors might be a little reserved about EA's ability to launch an MMOG and achieve market success stating: "We believe many investors are betting against SWTOR achieving market success, provided the company's (Warhammer Online from Mythic) and industry's track record at releasing successful new MMOs."
The article indicates that investors are not just worried about the game's initial sales and EA's ability to deliver with a subscription-based game in an increasingly growing free-to-play market, but also increasing royalties from the Star Wars IP holder LucasArts and lesser performances by EA's previous foray into the MMOG market with games like Warhammer Online and APB. Investors are also reportedly awaiting results from the lawsuit with Activision and more details about the Playfish portfolio.
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