wall street Lootboxes
Gamers Are Overreacting To Lootboxes, Publishers Should Raise Prices?
While the entire gamer community is rallying against lootboxes and predatory practices in the industry, one Wall Street analyst seems to think differently. Evan Wingren, an analyst at KeyBlanc Capital Markets said in a report to his clients that gamers had taken the EA’s poor handling of microtransactions as a rallying point to protest against all of microtransactions in the industry. He said that gamers were not being overcharged for games, instead paying a lot less than the games should actually cost. “We view the negative reaction to Star Wars Battlefront 2 (and industry trading sympathy) as an opportunity to add to Electronic Arts, Take-Two, and Activision Blizzard positions. The handling of the SWBF2 launch by EA has been poor; despite this, we view the suspension of MTX [...