There.com, a .net pioneer and one of the first 3D virtual worlds is about to close down. The internet company reported that whilst membership has been growing recently, there has been a marked decreased in revenue.
But, at the end of the day, we can’t cure the recession, and at some point we have to stop writing checks to keep the (virtual) world open. There’s nothing more we would like to avoid (than) this, but There is a business, and a business that can’t support itself doesn’t work. Before the recession hit, we were incredibly confident and all indicators were “directionally correct” and we had every reason to believe growth would continue. But, as many of you know personally, the downturn has been prolonged and severe, and ultimately pervasive.
(You couldn’t have been more forthright than that!)
Which leads us to Blizzard’s more latest corporate warning. According to reports, the Warcraft publisher’s advising against false confidence amongst its flocks (READ: Investors). “If consumer demand for World of Warcraft games declines and we have not introduced new MMORPG or other products that replace World of Warcraft ‘s potentially decreasing revenue, or added other sources of revenue, our financial condition could suffer,” admitted the game publisher.
The warning comes despite Blizzard actually generating $939 million of “MMORPG” revenue for the nine months ending on September 30, 2009.
For the myriad fans, Activision-Blizzard also reiterated the need to “refresh World of Warcraft or develop new MMORPG products.”