Credit crunch: Analyst opinion, part two

During an economic slump when consumers feel the need to tighten their belts, paradoxically the sales of alcohol and cigarettes, the amount of gambling and also cinema attendance all rise for consumers.

Games are a cost-effective form of entertainment per hour and are a satisfying impulse buy when consumers are cutting back on foreign holidays and other similar luxuries.

There are two areas where I am concerned in the short term: Subscription-based MMOs, which are a ripe area for a cost-conscious consumer to trim, and new games businesses which are entirely dependent on online advertising, especially if they do not have a clearly-differentiated audience.

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trop [Industry news] Trophy Games Makes Its Largest Acquisition Ever - and Upgrades Its Outlook

[Industry news] Trophy Games Makes Its Largest Acquisition Ever – and Upgrades Its Outlook

The Danish publicly traded computer game company Trophy Games is acquiring the French game developer Playrion from Paradox Interactive. This is the largest acquisition in Trophy Games' history and will form the foundation for a new series of simulation games. At the same time, the company is raising its revenue expectations for the year to €22.8-€24.1 million . With the acquisition of French Playrion, Trophy Games gains 30 new employees and a new foundation for future growth.