Posts Tagged ‘LoTRO’

Turbine’s Lord of the Ring doubles revenue with Free-to-Play switch

Monday, October 11th, 2010

While speaking at a GDC Online 2010 panel, Lord of the Rings Online Executive Producer Kate Paiz announced that since the conversion to a free-to-play from a subscription model, Lord of the Rings online has doubled it’s revenue. Additionally, since converting to free-to-play early last month, LotRO has seen over a million new accounts.

kate-paiz1If doubled revenues and 1 million+ new players weren’t enough in the good news department, Paiz also outlined f2p LotRO’s 20 percent return of former players since the conversion. The game has also seen a 300 percent increase in peak concurrency, three times the number of players online at the same time, and a 400 percent increase in total active players.

And now for the financial good news. New and returning players arriving in droves can only mean good news for Turbine’s in-game microtransactions store. Paiz reports that 53 percent of players have made microtransactions purchases, which range from mounts to XP boosting outfits, etc.). And while Turbine has seen a massive influx of new and returning players, with more than half of them taking advantage of the microtransactions, they’ve also seen a rise in subscriptions.

The Turbine decision to switch Lord of the Rings Online to the free-to-play model is their second, preceded by Dungeons and Dragons. Only doing slightly better than LotRO, DDO saw an increase of around 500 percent since converting.

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LotRO goes free-to-play this fall

Monday, June 7th, 2010

It looks like Turbine isn’t wasting anytime making big changes under the Warner Bros. banner. Announced late on Friday, Turbine’s flagship entertainment title, Lord of the Rings Online, will convert to the free-to-play business model.

lord-of-the-rings-online-smallerPreviously based on a subscription model, LotRO can be seen as a viable competitor to Blizzard’s king-of-the-hill MMORPG, World of Warcraft, often involving players in similar, if yet different, gameplay and quest lines, series of play. Turbine’s Lord of the Rings Online has won multiple awards, involving players in a rich adventure featuring a massive world of up-to-the-minute graphics and game mechanics. Naturally, as a former subscription based game, LoTRO also includes all the premium features that paying gamers have come to expect over recent history.

The free-to-play version, which is slated to remain (more or less) exactly the same as the currently paid-only version, will launch this fall in North America and Europe. Euro operations of the title will be handled by Codemasters. And just like Turbine’s Dungeons and Dragons Online, LoTRO will feature a pricing model that allows players to purchase expansion packs, quest packs, items, and account services. Likewise, Turbine will also offer a VIP package, whereby users can get unlimited access to all of the games’ features (so…a subscription, more or less?).

Beta testing of the new free-to-play version will commence on July 16th. Sign up for a potential “first crack” at the new LoTRO here.

Apparently, the Dungeons and Dragons swap to free-to-play is proof in the pudding that this model can and has been working for Turbine. What can be drawn from this move is that free-to-play is more than capable of turning a profit. Dungeons and Dragons was practically done and dusted until Turbine released it to the masses for free. Hours, weeks, and months of data review has obviously brought Turbine to the same conclusion in regards to Lord of the Rings Online. Not only has Turbine used this business model to breathe a healthy breath of fresh air into Dungeons and Dragons, but it now looks like they intend on taking the philosophy one step further and see what the model can do for a healthy title.

“Warner Bros. Interactive Entertainment is bringing quality games based on The Lord of the Rings to multiple platforms, and the franchise’s expansive adventure story lends itself perfectly for LOTRO free-to-play, giving a wide range of players the opportunity to experience the game,” said Jeff Junge, Senior Vice President Online Games and Digital Games Platforms, Warner Bros. Digital Distribution and Warner Bros. Interactive Entertainment. “We are focused on expanding our game franchises onto new digital platforms to maximize quality experiences for gamers worldwide and LOTRO’s new model is a great leading example of this.”

Highlights direct from Warner Bros./Turbine:

  • Free means Free! – Players will download LOTRO by visiting www.lotro.com and join with millions of other adventurers as they explore the most complete and authentic recreation of Middle-earth ever created and participate in LOTRO’s award-winning epic story up to level 50 for free.
  • Visit the new LOTRO Store! — The LOTRO Store is loaded with thousands of convenience items as well as expansion packs, premium content, additional character slots, potions, character customization and more! The LOTRO Store is seamlessly integrated into the game and lets the player identify new and exciting ways to enhance and customize their experience using points which can be purchased in the store or earned through gameplay.
  • Be a LOTRO VIP! – Players who elect to become a LOTRO VIP will have unlimited access to all premium content, receive priority server access, 5 character slots, a shared bank slot, and a monthly allotment of points to spend in the new LOTRO Store.

Given the Fall release, it should be very interesting to see what the post-holiday season numbers on the “new” Lord of the Rings Online will look like. My guess? Turbine/Warner Bros. is about to see some resistance right out of the gate, but by Christmas, I’d bet they’re selling digital swords and expansion packs like hotcakes.

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True Games snags yet another Top EA exec, moves to Lone Star State

Thursday, December 10th, 2009

(Formerly) Irvine, CA based True Games has recently announced that they’ve appointed former EA, Turbine, and SOE veteran Mick Giles as their new Chief Technology Officer. Giles brings 13 years of industry experience to the table, having most recently served as Senior Director of Online Operation for North America and Asia and Senior Director of Technology for Worldwide Studios at Electronic Arts. Pardon me…what? That actually bears repeating – EA’s chief of Online Ops and director of global Tech – just joined a relative startup, with a business model based on free-to-play titles supported by microtransactions. To say this is big might be selling the concept short.

If Giles’ most recent position didn’t warrant enough street cred, he also served as Execvutive Director of Technology at Turbine, where he oversaw core development projects, operations, IT, and Biz Dev efforts for Asheron’s Call, DDO, and LotRO. And rounding out the ‘Wow, this guy’s been a major player in a lot of stuff’ category, from 2003-2006, Giles filled the role of Director of Platform Technology at Sony Online Entertainment, meaning he was deeply involved in development and technology efforts in titles including EverQuest, EverQuest2, Star Wars Galaxies, The Matrix Online, and Planetside.

“Mick brings to the team an extensive background in technology, operations, platform management and more, and we look forward to adding his expertise to our management team,” said Jeff Lujan, Founder and CEO of True Games Interactive. “With one live game in Warrior Epic and one game about to go into beta in Mytheon, as well as multiple games in development, his expertise and experience is a welcome addition to the team.”

This announcement follows True Games’ rather recent appointment of 15 year industry vet Frank Lucero. And lest we forget, K2, Namco, and Vivendi vet Peter Cesario is now with True Games, as well as former NCSoft and EA exec Peter Jarvis. It looks as through True Games has truly managed to attract some very powerful people all under one roof.

And it looks like that roof in the Golden State isn’t going to be big enough.

Bundled with the announcement of Giles joining the True Games team, they’ve also announced that they’re officially moving their HQ from Irvine, CA to Austin, TX. Not exactly a surprise move, as only this past October, the company announced that they’ve opened a development studio in Austin. Slated for an official closure in March 2010, many of True Games employees will soon be relocating to Texas. The company cites continued growth, stronger internal communication, and a heavier focus on game development, as well as the excellent talent pool in Austin as primary motivators to move.

“Once we were doing our planning for the next several years, it just made more sense for us to combine offices in Austin, as opposed to moving everybody here to Irvine,” Cesario said.

It’s also fair to say that economic conditions are a factor in True Games’ decision. Cesario relates, “Last week, a company official was in town looking at potential office locations. An agent quoted the monthly rent on one of the spaces.”

Confused, the company rep. replied, “No, not square footage, what’s the rent?”

“That’s the best quote I’ve heard,” said Ceario. “It kind of sums it all up.”

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Turbine to tackle console MMO and microtransactions?

Wednesday, September 23rd, 2009

What would a hot day in Texas be without a little dust raising? It looks like Turbine’s VP of Product Development, Craig Alexander raised a little dust himself, as well as a few eyebrows when he took the stage on the last day of the GDC Austin 2009 event. In his presentation Alexander stated that the market of MMORPG’s on consoles, specifically Microsoft’s Xbox 360 and Sony’s PlayStation 3 could be worth in upwards of $2.3 billion a year. Obviously a number no one is willing to pass on. However, up until now, no one’s taken a fair stab at making this dream a reality. To this end, according to Alexander, Turbine’s about to take a serious run at tapping this multi-billion dollar market.

craigalexanderIn his address, Alexander confirmed that the Westwood, MA based Turbine studios is in fact current at work on a console MMORPG. Citing the technical challenges of the physical operating procedure Sony’s PS3 employs, Alexander said that the team is developing for the PS3, with plans to shortly there after port the title to the Xbox. But if it sounds so easy on paper, why haven’t there been more serious attempts at addressing this market? In the end, it comes down to one simple answer: Money. According to Alexander, any decent attempt at this project is going to cost somewhere in the $20 million range just to develop. Given that Turbine has recently started receiving funding from a proposed $50 million investment round, their popular Lord of the Rings Online shows no signs of dipping in popularity, and their most recent experimentation into the world of hybrid subscriptions/microtransactions supported Dungeons and Dragons is out of the gate with a label of success, it’s fair to say that Turbine has the cheddar to make this a reality.

Alexander says that part of the difficulty in creating an MMORPG for a console is that in order to succeed, it must be radically different from the current state of play. A console MMO would need to have better graphics, less grind, and much more social interaction than is currently employed in the unofficial ‘standard elements your MMORPG must contain’ handbook. Speaking to the fact that many consider MMO’s a purely PC based form of play, Alexander was quick to point out that the same arguments were previously made when applied to sports sims and the FPS genre, but now market leaders Madden and Call of Duty have a massive console audience and following.

When talking monetization, Alexander primarily focused on subscriptions. Notably, he pointed out that reoccurring billing (subscriptions, if you will) options are already available on both platforms, and that the Xbox Live services are a clear indication that set top box players are willing to set up subscriptions and pay for additional enjoyment. If any of this sounds familiar, don’t forget that the rumor mill was rife with speculation back in May when the idea of LotRO microtransactions being utilized in the Xbox 360 item shop circulated. Alexander flatly and specifically denied this rumor of porting LotRO to the Xbox during his presentation.

And while the rumor didn’t pan out, it’s clear that with the implementation of a hybrid model with Dungeons and Dragons Online, and this confirmation that Turbine is seriously committed to a perhaps industry revolutionizing MMO for consoles project, clearly something major is afoot at Turbine. If they can truly hit the nail on the head and show us something that’s never been seen before, the pure subscription based model may have merit, but if they fall anything short of perfect, we may see them revert to something they’ve already seen work, and work well – the microtransaction/subscription hybrid model.

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Play Hard moves one closer to the endzone with $8M

Tuesday, January 20th, 2009

Play Hard Sports Inc. has recently completed series B funding, landing a cool $8M to further their efforts.  The free-to-play, microtransaction based sports games developer has raised $13M in funding in less than nine months.  Play Hard’s funding was led by Valhalla Parners and joined by TriplePoint Capital, as well as their existing investor, New Enterprise Associates.  As a result of Valhalla’s heavy investment, General Partner Scott Frederick will now join the Play Hard board.

Play Hard is based in Foxboro, Massachusetts (yes, home of the New England Patriots), and is committed to developing premium, free-to-play titles for sports fans.  They focus on delivering head-to-head competitions that incorporate stunning graphics, the ease of accessibility of Flash, and the draw of fantasy sports.

“We were presented with a number of opportunities that would accelerate our growth and market position and were thrilled to secure funding from well respected firms like Valhalla, TriplePoint and NEA,” said Play Hard founder and CEO, Jeffrey Anderson. “The new financing will allow us to capitalize on current opportunities, expand our portfolio and secure additional marketing, licensing and sponsorship prospects.”

Anderson (previously of LoTRO creators Turbine) and company are hard at work on their first tite, Play Hard Football (PHF) which is scheduled to launch concurrent with the 2009 football season (take THAT madden!). but is slated to open it’s beta doors in just a few months.  PHF will be a browser/flash based game that allows users to try their hand at coaching or general managing their own team, with the ultimate goal of rising up in the ranks and becoming the ultimate global football coach/GM.

“There is a lot of innovation coming from online entertainment and games companies right now,” said Scott Frederick, General Partner, Valhalla. “We are confident that Play Hard Sports’ pioneering ‘freemium’ model will be successful. Add the team of industry veterans, who are responsible for the market’s biggest MMORPGs and sports games, including Madden 05, 06, 2KNFL, 2KNBA and The Lord of the Rings, and you have an unbeatable combination of strategy and execution.”

Sports MMO’s are something we’ve seen a rising in lately, with Football Superstars recently breaking the 250k registrations landmark, and Six Degrees Games on track to become a virtual world powerhouse.  However, it looks like Play Hard is working the fantasy football sports angle, and as Fredrick points out, having a team of industry veterans working on the same project puts them in a unique position.  Clearly, Play Hard is one to watch in 2009.

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