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By David Jenkins
Gamasutra

January 22, 1999


News Analysis

Eurospeak

Cover-Mount War Strikes Britain

A new cover-mount war in Britain? The British games industry is poised for war. Ultimatums have been issued, hyperbole is being stockpiled, and spin doctors are being briefed. You might wonder what could be the cause of so much concern. What event could have been so upsetting as to cause Roger Bennett of the European Leisure Software Publishers Association (ELSPA) to say "In every possible way it is damaging to the industry"? Was he referring to a massive new pirating ring? Censorship of violent games? A new law against any title have more than two sequels?

No, Bennett and the rest of the British game industry is in an uproar over IDG's magazine PC Games Action. This magazine, which is new and trying to increase its sluggish sales in the U.K., gave away the full version of Interplay's poorly selling real-time strategy game, Earth 2140, free with its latest issue. While giving away a game with a magazine may not sound like a big deal to you, old timers in the U.K. feel differently. They remember the "Cover-Mount War" of nine years ago.

Earth 2140

What's this "Cover-Mount War", you ask? This bitter conflict was waged primarily between Future Publishing's Amiga Format magazine and various rival publications from EMAP Images, and eventually it sucked in all of the Amiga and PC magazine around at the time. The idea, from Amiga Format magazine's point of view, was to increase the magazine's circulation by bundling in a game with an issue. And indeed the circulation did jump, especially when various magazines began mimicking this practice, and newer and better games were given away. The game industry was far from pleased, though, and gradually began to feel that these cover-mounted freebies were devaluing software in the eyes of the consumer, and causing people to buy fewer full-priced games. The war ended when both the game industry and the magazines agreed never again to have cover-mounted full-price games.

Thus far, IDG's decision to break the agreement has not caused the bigger-selling PC magazines to break their word and start their own game bundling business. Indeed, their editors have indicated that they do not intend to. ELSPA, however, doesn't want to take any chances, especially since they failed to get any reassurance from IDG that it would not repeat this practice in the future. Interestingly, the deal itself seems to have been directly with Earth 2140's developer (Germany's TopWare), rather than with Interplay -- the games original publisher in the UK. Whether this means that further cover mounts will be easier or harder for magazines to obtain remains to be seen, but the shadow of war looms ever closer.

EB shuns hunting game. One game that isn't likely to be getting cover-mounted in the near future is NFK (Natural Fawn Killers). In fact, the game is having enough trouble making it into stores. The Gameplay Company, which publishes the game, claims that Electronics Boutique's refusal to stock the title is because the store has a policy against selling games that depict violence against animals (as animals are presumably a natural target for air-gun-obsessed youngsters who get their ideas from video games already). Other sources back up the claim that EB has this policy, but the store itself denies it -- it claims that it isn't stocking the title because it feels that the title won't sell well in the U.K. Which is a valid defense -- gun fanatics are publicly shunned in Britain. So EB's decision seems to make some sort of business, and perhaps even moral, sense. The problem is that EB go on to explain their lack of faith in NFK and other hunting simulators by insisting that U.S. chart buster Deer Hunter "didn't sell that well in the States". Cue a Homer Simpson-esque "D'oh!" and sack EB's entire buyer and research staff for that misinformed statement.

Sega, European telcos talk. Despite teetering on the edge of a massive fiasco after announcing their weak Dremacast software line up, Sega is gradually putting together the pieces for their autumn launch in Europe. Despite the fact that Sega still lacks a proper European public relations office, it has at least begun to set up online partners in various countries. To support the console's online features, Sega has approached British Telecom, Deutsche Telecom, and French Telecom as possible partners to provide discounted Internet access and services for Dreamcast customers. Sega claims it will have a business plan for its online services completed by the end of February, and it intends to cement deals by March or April. Perhaps the company might even determine whether the modem will be packaged with the console or be sold separately, as that decision has yet to be made.

Vigin-Interplay deal nearing closure. After languishing in sell-off limbo for a while, Virgin's fortunes might finally be on the upturn, as it has nearly finalized its proposed merger with Interplay. Interplay has been interested in obtaining Virgin's much admired European distribution network, but it opted out of acquiring Virgin outright from Viacom. If Tim Chaney's management buy-out team completes this merger, Interplay's U.K. headquarters will probably move from Marlow to London, and I think it will quell the nerves of employees at both companies.

PsygnosisPsygnosis pins hopes on PC titles. Psygnosis continues to drift further and further from its previous position as unassailable media darlings and the bastion of Britsoft. Perhaps the company's long-standing insistence on producing games in which style heavily outweighs content has finally backfired. Whatever the case, the company recently lost 15% of the staff from its U.K.-based Stroud office, which came on the heels of the company's staff reduction in its San Francisco development studio, the closure of a secondary London office, the recent loss of the Wipeout team, the defection of Reflections (which developed Destruction Derby 1 & 2) to GT Interactive, the departure of founder Ian Hetherington, and of course Sony's aborted purchase of the company. Not, it would seem, a good couple of months for the company. Psygnosis has put its best face on things, however, and it insists that the most recent departures will not affect the release of G Police: Weapons of Justice from their Stroud studios. The company is pinning its hopes this year on a number of PC-only titles, including G Police 2, Lander, Drakan, Metal Fatigue, and Hired Guns. What is a little frightening is that Psygnosis's PC-only games have not had any major success to date. But hey, there's a first time for everything.


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