Does Digital Content Slash A Developer's Profits?

Ubisoft, a video game developer and publisher, claims that digital content -- products that are available digitally -- is costing the company money. CEO, Yves Guillemot, spoke very highly regarding the future of digital content in the gaming industry, but also claimed that digital content is placing a burden on the company. Guillemot clarified that just because a game is popular, does not mean the game is profitable - a lesson to be learned by smaller developers.

Ubisoft, a video game developer and publisher, claims that digital content — products that are available digitally — is costing the company money. CEO, Yves Guillemot, spoke very highly regarding the future of digital content in the gaming industry, but also claimed that digital content is placing a burden on the company. Guillemot clarified that just because a game is popular, does not mean the game is profitable – a lesson to be learned by smaller developers.

Guillemot is on to something; however, I do not agree with him on his reasoning.

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