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Game Publishers Concerned About Outsourced Carrier Portals

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Pocketgamer has checked up with some mobile game companies as to their vision for 2008, and aside from the happy predictions of growth there’s some trepidation over the trend of carriers outsourcing the running of their game portals. Vivendi (EPA: VIV) Games Mobile’s Paul Maglione said: “For Europe, it’s more of a mixed picture, with some carriers doing great and really growing the business by 20 percent, 30 percent and more last year, whereas others are losing focus and, worse, outsourcing the editorial function to outside suppliers, thus reducing revenue available to share with publishers.” Christopher Kassulke, of HandyGames, is also said: “Operators are outsourcing their games business to distributors or other third parties. The biggest problem will be that the revenue shares of mobile game publishers are going down (because of the outsourcing). The industry cannot work under such conditions. That’s why some of the publishers – even big ones - will struggle.”

SEE ALSO: Virgin Signs Player X To Manage Games, Video

The latest deals in this space have involved Player X, which has signed deals with Virgin and O2 to manage their portals.

Jan 22, 2008 3:33 PM ET

Posted In: Entertainment, Games, Companies

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