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The future of casual games is Smartphones & Tablets Vlad Suglobov, CEO & Co-Founder.

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Presentation on theme: "The future of casual games is Smartphones & Tablets Vlad Suglobov, CEO & Co-Founder."— Presentation transcript:

1 The future of casual games is Smartphones & Tablets Vlad Suglobov, CEO & Co-Founder

2 Search “g5” to find games We develop and publish Free-to-Play and casual games for smartphones and tablets

3 Opening slide one year ago: Game platform with 10 BILLION install base G5 is already making 90%+ revenue from mobile & tablets Source: The Economist Magazine

4 New PC sales are declining For the first time in 11 years… Gartner: Worldwide PC shipments fell 8% in Q3 2012 IDC: The drop was 8.6% IDC: US new PC sales were down 12.4% from a year ago It happens worldwide, it happens in USA Why?

5 Smartphones and tablets Strategy Analytics: Over 1 billion smartphones are in use Google: 1.3 million Android device activations a day Over 150M iPhones expected to be sold in 2012 ABI: Tablet shipments to exceed 100M in 2012

6 Growth dynamics

7 Where is it going? It took 16 years to have 1 billion people use smartphones 2 nd billion is expected in 2 years The rate of iOS and Android device adoption has surpassed that of any consumer technology in history Smart device adoption is: 10X faster than that of the 80s PC revolution 2X faster than that of 90s Internet Boom 3X faster than that of recent social network adoption

8 What happens to these companies?

9 Compare to G5 +1300% in 3 years

10 G5 Annual Revenue Tens of millions of dollars earned on iOS and Android Millions of dollars paid out to developers

11 Average Revenue Per iOS Casual Game According to App Annie Intelligence, in July 2012, G5 globally made on average 67% more revenue per ranked iPad game and 143% more revenue per ranked iPhone game than Big Fish

12 Android downloads per Game G5 generates ~10x times more downloads per game than Big Fish Source:

13 G5 works with 80 partners to bring their games to smart devices Artifex Mundi Artogon Awem Hipsoft National Geographic Shaman Games SMI Games Vogat … and many more

14 Сompetition is good G5 brought much needed competition to the casual games economy Developer revenue share went up Advances went up Royalties paid went up Competition is good for everyone

15 What can a developer do? Don’t spend time on PC Don’t listen to PC portals Don’t spend time on “streaming” Bring existing PC games to iOS and Android Diversify through Steam and Mac App Store Use iOS as reference platform for all future games Bring your best franchises to Mobile F2P format, and go cross-platform

16 “Streaming” Apple won’t allow it on iOS On Google Play, it has between 10K-50K downloads, lots of complaints that it doesn’t work (Many G5 games have 1M-5M downloads on GP) Let’s (optimistically) assume 10K of these subscribed 10.000 users * $8 per month / 100 games = …... = $800 / month per game And they say many more games coming, up to 1000 Do you really want to sell your games even cheaper?

17 “Streaming” OnLive went into bankruptcy Gaikai was sold to Sony… to be killed? Theoretically, streaming of 3D games made some sense… until iPads had 3D graphics like PlayStation With casual games, what is the problem that streaming solves? Bandwidth? Streaming is even MORE sensitive to bandwidth than downloading It does not solve real world problem. It’s an attempt to create an unneeded walled garden with the cheapest simple games (which you can already find for free on Google Play)

18 What can you expect? If you have a great game:

19 Released in Sep 2010 Premium casual game Casual city simulator Top 10 Grossing Game in 34 countries Millions of downloads Well over $1M of revenue Premium Game

20 Released in Sep-Dec 2011 Free-to-play game Casual city simulator Top 10 Grossing Game in 103 countries $1M revenue and first million downloads in a couple of months Free-to-Play Game

21 Revenue: F2P vs Premium

22 Casual Game Can Become a F2P Hit Virtual City Playground for iPad CityVille Hometown iPad Source: App Annie Analytics

23 What G5 can do for you: Offer great publishing terms and advances Share our experience and best practices Localize to 12 languages Provide thorough cross-platform QA Cross-platform technology if you need it Cross-sell with our portfolio: Over 80 million downloads, millions of MAU Maximize your revenue across ALL platforms

24 Join the mobile revolution!

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