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Take-Two: Used game market is “interesting” and “something we should participate in”

Wednesday, 22nd September 2010 18:22 GMT By Stephany Nunneley

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Take-Two CEO Ben Feder told attendees at the G7 Think Equity conference last week the used game market is “interesting” and something developers should take part in.

When asked if Take-Two has considered implementing a service similar to EA’s Online Pass program, Feder said Take-Two doesn’t discuss what’s going on at the firm internally, but offered that developers should participate in products it brings to the marketplace; otherwise, he had no comment on the matter.

“Look, the used game market is protected by US law under the First Sale Doctrine,” he said. “We do believe that developers should participate in some way in the product they create, but it’s a protected environment. I know there was some… not legislation, but additional news that came out over the last few days.. but I think it’s too early to tell what impact that will have.

“We try to announce results and what the company’s actually doing. We don’t discuss what goes on internally. For sure, we think the used game market is large, it’s an interesting market and something we should participate in. Beyond that I don’t have much more to comment.”

The US Law Feder mentioned was recently in the spotlight when Autodesk prevented a US man from selling his used copy of the firm’s AutoCad software – which is used by many engineering and design firms. The court ruled in the company’s favor, stating the defendant could not sell the used copy, setting a possible precedence for used games software sales in the US (via Gamasutra).

EA’s Online Pass initiative has been commented upon by both THQ and Ubisoft in the past as something to consider, and Sony’s looking into its own variation as well.

Via CVG.

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10 Comments

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  1. Razor

    I don’t really understand what he’s saying.

    #1 4 years ago
  2. Suikoden Fan

    maybe he means take a cut of the procedes of used game sales.

    The only way i’d see stores doing this and this is not likely is lets use mafia 2 as an example, right now you get £25 trade for it instore, lets say the store actually ‘pays’ £12.50 and the devs pay the £12.50, so when the sell on they take a share of the amount it sells for, so say they pay half of a games used trade in costs they get half of what it later sells for.

    so if a used copy of mafia 2 sold for £38, since both the store and the dev ‘paid’ half they both get £19 pound (or what half is) each from the actual sale

    you could argue with this method theres less risk for the shop, the seller of the games kinda helps the devs as they can claw some money back to from resale.

    #2 4 years ago
  3. Stephany Nunneley

    @2 What is crap about the whole trade-in thing, is – for example – used AssCreed2 titles were selling for $49.99 and GS wanted to give me $9.99 for it. Said it had something to do with “stock prices”, meaning there were loads of used ones, so they weren’t paying as much. I just kept it and said screw you, basically. In my head anyway, I don’t ever say that out loud to ppl. It’s not nice.

    #3 4 years ago
  4. OlderGamer

    @2

    Wouldn’t work. Because who would decide and set the price for used games? The shop? The game pub? What about small mom and pop stores? Who sets their used game prices?

    Plus, how would they get paid? The shops I mean, how would a game pub like T2 pay Game? And for each copy bought?

    In the end the best way is to require that shops(participating) cut the game pubs in on the sales. For example if a used game is aquired at a shop for 10usd and sold for 20usd, instead of asking the game pub to come up with say 5 usd to buy the game from a consumer and then split the profit. It would work far better if the game pubs just got say 20% of the sale.

    On one hand someone will say well the shop took all of the risk. And put up the funds to get the second hand game … but then again. The game pub actualy published the game in the first place.

    Whatever the average profit margin is from new game sales, %wise is what the size of the cut should be for a second hand game.

    The real hellof second games is that the very people that made and published the game don’t every get paid. And all too often a gamestop here in the states will order limited copies of a game new from a vender, so that they can resell used copies of the game. I have even talked to a manager that said GS used to make them take new boxes off of the shelf to improve used game sales of same game.

    Its sad. But if the production end of the industry could still make the same type of margin new or used, this issue would all but go away.

    #4 4 years ago
  5. Suikoden Fan

    @3 i’m not sure if the method i mentioned could work but i’d like to see it in practice

    #5 4 years ago
  6. Suikoden Fan

    @4 who sets the prices already, the stores do, they just need to have an agreement in place with the publishers.

    Lets usegame as the store, they contact the pub and ask how much towards a used game would they pay based on percentage. game pay the full amount upfront then ask the pub for there part later.

    #6 4 years ago
  7. Stephany Nunneley

    @4 I wasn’t suggesting anything. I was just bitching over only getting $9.99 for a game that was a week old. :D

    YET – they will sell a game not in the original case, with no paperwork/cover etc for full used price.

    /end rant

    /goes back to kitchen where she belongs

    #7 4 years ago
  8. OlderGamer

    Well, just remove the inital investment part of the used game sale, by the pub. And then deduct that portion from the profits. I mean it could work as you described, but it seems needlessly dificult.

    Either way, i am sure we are on the same side here, something needs to be done to keep used games sales from killing the industry.

    I kinda figure, unless laws do get passed, the only was to fight second hand sales, is to stop selling boxed games.

    Digital Downloads also solve the problem.

    #8 4 years ago
  9. Suikoden Fan

    @OG well the way i’m thinking is mysystem is a drop in, drop out system, so pubs not have to join at all, and they get no money back on used sales

    @Steph game and the like here aren’t as bad as your example tbh, thats pretty bad

    #9 4 years ago
  10. manamana

    Strange gaming world, isnt it? We pay full price for consoles and games, which later on have additional content that is planned and at times already on disc, but comes at another big €/£/$/¥. To download trailers or demos or said additional content, or just to play the games as they are intended to play (MW2/Halo/BFBC2) you must pay another round.
    In near future you even have to pay for playing a single game (Madden etc.) online. And everything you and I paid for a game is worth a fuck, because the companies now want to get a piece of the aftersales pie.
    Now I’m alright, when they get a dime from trade-fucking-ins like Steph had the problem with, but she and I and you are the ones that have to pay in the end and will get nothing for something we already paid a heck for. And thats just fucking disturbing.

    /rant-o-mat

    #10 4 years ago