Cancelled Tiberium Hurts EA?
- Scribbled on October 9th, 2008 by Jonathon Howard
- Filed in Editorial Content, Industry News, Interviews, Shooter
Janco Partners analyst, Mike Hickey, has gone on record saying that the cancellation of Electronic Art’s Command and Conquer themed FPS, Tiberium, has damaged the company’s “credibility.” Hickey went more in depth stating that the cancellation demonstrated “a lack of management” at EA that could spill over into the financial realm, in diminished interest in investment.
I’m not an analyst, but I don’t know if one game cancellation amongst EA’s massive line-up is going to do anything to their bottom line. EA depends on franchises like Madden and FIFA to pay for other games; those things sell themselves.
Hickey likes to prognosticate doom and gloom though:
“Continued lack of management execution and/or product quality, damages new management’s credibility and dampens our excitement for the company’s shares”
Hickey even thinks that EA will be lowering its expectations for the fiscal year, (What?! Has he seen the sells of the new FIFA in the rest of the world?) he is though “cautiously positive” on the company’s prospects and predicts a good showing for Warhammer Online and Mirror’s Edge.
Again, let me reiterate here: Mirror’s Edge and Warhammer Online aren’t going to matter in the end to EA’s bottom line, regardless of how good they do. These games sales are only a drop in the bucket compared to the numbers EA’s sports franchises will move this fiscal year.
What do you think?
(Thanks, Gamasutra.)
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