EA: Sales Down But Beat Expectations

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Super-duper-mega production house, Electronic Arts, finds itself in a rather interesting position. Though the company experienced a drastic drop in third-quarter sales, EA still managed to beat Wall Street earning expectations. How does that work? By nickel and diming us to death, of course!

According to the NY Times, Electronic Arts, though down on sales, has managed to make up for it via online gaming subscriptions, in-game advertising and micro-transactions. When it comes to finding ways to make people pay more money per game, EA is the king. Micro-transactions, though rather irritating to gamers, are shaping up to be a rather decent source for revenue.

EA’s CFO Warren Jensen said that EA expected to take in $115 million in 2007, up from $75 million in 2006, off of “interactive entertainment.” It won’t be long until the only thing that comes in the game box is a coupon for the game’s download site. Challenge Everything!


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