Colin Sebastian: Virtual Goods may Exceed $1B in 2011

Wed, Jan 6, 2010

Industry, Social

In a post on Gamasutra, analyst Colin Sebastian states his belief that online and social game platforms are set to reap a growing windfall in the coming year. Sebastian, a senior research analyst for Lazard Capital Markets, estimates these new markets will account for nearly 40% of content revenue for the games industry, while he expects traditional console software to slow down. Further, virtual goods within social and online games “could eclipse a billion dollars in 2011.”

Sebastian predicts that EA’s purchase of Playfish is just the beginning of traditional publishers moving into the social arena.

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