Back to The GigaOm Show

Episode 27 - Free-to-play MMOs profitable?

Thursday, January 31st, 2008 - running time 00:15:43

$50 for a Massively Multiplayer Online game, plus $15 a month? "That model is going away" says K2 Network's Joshua Hong as MMO's become a dominate form of entertainment in the 21st Century.

This week, meet Joshua Hong, Co-founder and CEO of K2 Network. He's the man who believes Massively Multiplayer Online games (MMO's) will become one of the most significant forms of entertainment in the 21st Century.

K2 Network is not only a gaming company but a service company. Six years ago, Joshua began porting MMO's from South Korea to the states. The company recognized an emerging "microtransaction" business model with MMOs in the Asian market. It became apparent that the business model was a perfect opportunity to be mirrored in the states.

Most MMO's use a subscription-based model in the states. As a workaround to compete, K2 Network offers free-to-play MMOs with the same high quality game play.

Will K2 Network's MMO approach succeed?

Hong replies, "The pricing mechanism in the U.S. retail video game space... is not well-thought out. There was only one-way for the MMO, you pay $50 for the box, and you pay $15 a month. That model is going away."

Hitlines:

1 - WordPress launches Twitter-like feature:

The localized theme called Prologue is similar to Twitter and enables user to share private messages between groups. Is this feature a direct competitor to Twitter? Probably, it's just another Web 2.0 company re-fining their user interfaces for it's users.

2 - Clash of the Titans - IAC vs Liberty Media

Media moguls arguing over shareholder disputes... who will lose? With all the infighting between both corporations... ultimately, the users will be affect by the outcome. IAC owns a bunch of properties like Ticketmaster,Ask.com, and the Home Shopping Network.

Share this episode

Send to a Friend

People who liked this also like:

Recent Forum Posts