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Xbox Live challenge is to reach masses

LOS ANGELES, Dec 21 (Reuters Life!) - Letting video game players compete against others online has distinguished Microsoft Corp's (Nasdaq:MSFT - news) Xbox 360 console from Nintendo and Sony Corp.(6758.T) rivals, but casual gamers have yet to embrace the service in droves.


Xbox Live allows free game downloads, video chat sessions and more, but its main success is allowing gamers to play competitively against others online, often in violent games. Some 4 million subscribers pay $50 per year for the service.

But the runaway success of Nintendo's (7974.OS) new Wii, a game console that openly caters to the mass market, has underlined the importance of more casual gamers to the industry. The console debuted mid-November and is expected to sell 4 million consoles worldwide by the end of the year.

"Microsoft has gotten a solid base of hardcore gamers who are drawn to its first person shooters," said video game analyst David Cole, president of DFC Intelligence. "But that is one small segment of the game market."

Even games with heralded online features are often played alone.

Cole says that even though 6 million copies of the hit alien-killing game Halo 2 were sold, only 2 million of those users took the game online, despite online being heralded as its most important feature.

"A lot of casual gamers are intimidated by online in general, both in terms of the technology and the human competition," said Cole. "That's changing, but it still has a ways to go."

SOCIAL NETWORK IN THE LIVING ROOM

Xbox Live's subscribers are spread across 24 million original Xboxes as well as Xbox 360s, which Microsoft says should have 10 million units shipped by the end of December.

The most popular games on Live are usually shooters such as Halo 2, Gears of War, Call of Duty 2 & 3 and Rainbow Six Vegas, and so the online environment is often full of aggressive and sometime verbally abusive players, which can make even experienced gamers uncomfortable at times.

"You kind of gravitate toward playing with your friends and co-workers," said Bryan Intihar, the reviews editor at Electronic Gaming Monthly, a video game magazine. "There's a lot of immature people playing online, but that's a problem that's been there since day one."

Microsoft hopes to counter any perception of Live as a service for the hardcore only. The company recently launched a video download service that allows users to download movies and television shows to their Xbox 360 consoles for a fee.

"We're building a social network in the living room," said Aaron Greenberg, the group product manager for Xbox Live. "I believe it's delivering on being something your mom, dad and kids can use.

Greenberg said that only 10 percent of original Xboxes were connected to the Internet, while more than 50 percent of all Xbox 360s are taken online, proving that the Live community is becoming more inclusive.

But Cole said new features like Xbox Live video are more enhancements for existing users, and not a huge attraction for mass market casual gamers.

Games that do not depend on Web play -- such as some roll-playing games -- are most important, he added.

"The key to the 360's overall success is what they'll offer consumers who don't go online," Cole said.

Kemp Powers
www.reuters.com

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Is that shooter suitable for junior?

Entertainment Software Rating Board says its system is widely used. Ever sneak into an R-rated movie as a kid? Of course you did. It’s a rite of passage, like skipping school or sneaking a smoke behind the cafeteria.


But if you’re a 13 year-old with a hankering to play "Halo," you’d better get your older brother to buy it for you. That game is rated M, for mature. And virtually no retailer — major or independent — will sell it to you.

But do parents really use these ratings when they buy games for their kids? Or is the ratings system little more than an olive branch from the video game industry to its most vocal, hand-wringing critics?

The answer is yes, and…sort of. It’s true that the Entertainment Software Rating Board was created by the video game industry as a way to get society off the industry’s back. But ESRB president Patricia Vance insists that the ratings system, now 12 years old, is relevant, useful — and widely used.

“We have very high awareness, and very high use,” says Vance. “Three-quarters of parents use the system all the time, or most of the time.”

Public service campaign
Despite this high level of awareness, the ESRB has launched, just in time for the holiday season, a new public service campaign. Earlier this month, the organization sent four spots featuring executives from GameStop and Best Buy to more than 800 broadcast and cable stations nationwide.

The ESRB’s game rating system is, like the film industry’s rating system, totally voluntary. So while game developers and publishers don’t have to submit to the organization’s rating process, they’ll be hard-pressed to find a retailer willing to carry their unrated game.

“At Wal-Mart we make every effort to be a responsible retailer and this includes the sale of video games,” says Wal-Mart spokesperson Karen A. Burk. “All of the items we carry are rated by the ESRB.”

Kristin Kalning
msnbc.msn.com

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Dragons to disco: Choice of youth video games widens

LOS ANGELES, Dec 21 (Reuters Life!) - This holiday season offers a mother lode of games for children and teens, starring flying dragons, adventurous Santas, dancing Disney characters, colourful blobs and rhythm agents.Players ride fire-breathing dragons in the movie-inspired "Eragon" game for Sony's PlayStation Portable. (Stormfront Studios/Vivendi Games, Rated T, $40).

In "The Santa Clause 3: The Escape Clause" for the Game Boy Advance, they fight Jack Frost's evil plan to wreck Christmas. (1st Playable Productions/Buena Vista Games, Rated E, $20)

Not ready to invest in hardware? "Dance Dance Revolution: Disney Mix" plugs directly into a television so users can boogie down to Disney songs with Disney characters. (Majesco/Konami, Ages 4 and up, $30)

Following is an expanded list based on game store clerk interviews and video game fan site ratings and recommendations:

Nintendo DS

Sure bets for the pet lovers on your list: "Nintendogs" -- Dachshunds, Dalmatians, Labradors or Chihuahuas. (Nintendo, Rated E, $30-35) MTO and Ubisoft offer "Catz," "Dogz," "Hamsterz Life," and "Horsez" (Rated E, $30)

"Elite Beat Agents" -- In this highly rated game, players help members of a super-secret agency groove the world to safety by tracing and tapping to the rhythm and beat. (Inis/Nintendo, Rated E10+, $30)

Anything starring Nintendo plumber/hero Super Mario is destined to bring a smile. Titles include "New Super Mario Bros." and "Yoshi's Island DS." (Nintendo, Rated E, $25-$35)

PlayStation Portable (PSP)

"Gitaroo Man Lives!" -- A rocking remake of the cult rhythm game. (KOEI, Rated E, $40)

"LocoRoco" -- Save the LocoRoco blobs from the attacking Moja. (Sony Computer Entertainment, Rated E, $40)

PlayStation II

Last Christmas belonged to "Guitar Hero I" and this holiday's crowd-pleaser promises to be "Guitar Hero II," featuring a new playlist and a red guitar for the rockstar in everyone. (RedOctane/Activision, Rated T, $80) Wii

"Elebits" -- This interactive hide-and-seek game takes full advantage of the Wii's motion sensitive controller. (Konami, Rated E, $50)

Xbox 360

Microsoft is reaching out to the kids market with "Viva Pinata," a fun, colourful game based on the animated television show for kids. (Rare/Microsoft, Rated E, $50)

For most consoles, handhelds and personal computers:

"Lego Star Wars II: The Original Trilogy" - Luke Skywalker, Princess Leia and Darth Vader duel it out in a world made of Legos. (Traveller's Tales or Amaze/LucasArts, Rated E or E10+,

$30-$50)

"Rayman Raving Rabbids" - Rayman has been enslaved by out-of-control bunnies and must navigate a world of bizarre minigames that include throwing cows, shooting plungers and milking pigs. (Ubisoft, Rated E, $20-$50)

Lisa Baertlein
www.reuters.com

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Need for Speed: Carbon

“Need for Speed” is another yearly franchise, for better or for worse. This year ditches most of the high-speed cop-chase thrills of 2006's “Most Wanted” and replaces them with big underground rallies between rival racing teams. The goal is to control as much of the city as possible, earning real estate by winning a series of races — often with the help of an artificial intelligence-controlled teammate.


For once, there is an immediate, noticeable difference between the Xbox 360 and PlayStation 3 visuals. When hurtling down the nighttime straightaway in the Xbox 360, the blurring effects look stunning. The PS3 is plagued with a lower frame rate that dampens high-speed situations. Car models don't look quite as nice as the Xbox 360 vehicles, too.

This isn't to say that the PS3 version is ugly by any stretch, but the Xbox 360 version definitely has the edge, especially since it has a photo mode for grabbing in-game shots of your tuned-up rides.

“Carbon” on the Wii is a different animal. Yes, the visuals are significantly downshifted, and that includes a frame-rate hit that doesn't make racing as smooth as the other versions. But the control mechanism — using the Wii remote with or without the extra nunchuk attachment — makes “Carbon” feel like an entirely fresh game. Whether you're tilting the remote to steer, or steering with the nunchuk and using the remote as a virtual gas pedal, Wii Carbon features pitch-perfect steering that will please race fans.

In many ways, comparing the Nintendo Wii to the PS3 and Xbox 360 is an apples-to-oranges scenario. The visuals on Wii games just aren't as strong, but the game mechanics are usually so different that you really have to make up your mind based on controls. Do you want to play these games as you have for the last 20 years? Or take a walk on the Wii side?

The Xbox 360 had a significant head start on its closest rival, the PS3, and the games available for both systems demonstrate that pretty clearly. But even though Xbox 360 has won the immediate battle, Sony’s not giving up on the war — not by a long shot. The PS3 games planned for the back half of 2007 are not likely to have the same problems as these earlier titles. If you can wait it out, you’ll probably be richly rewarded.

"Need for Speed: Carbon"
Publisher: Electronic Arts
Rated: Teen

Levi Buchanan
msnbc.msn.com

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Marvel: Ultimate Alliance

“Marvel: Ultimate Alliance” is the equivalent to video game junk food – glorious fluff. Players command up to four superheroes from an impressive roster that includes major leaguers like Spider-Man, Wolverine and Captain America, as well as fan favorites like Ghost Rider and Deadpool. Marvel fans –and our reviewer, Winda Benedetti, have lavished praise on the game — but which which version should you pick?


Again, the Xbox 360 and PS3 versions are nearly identical. Nearly. At its highest high-def setting, 1080p, the PS3 version features a slightly overall sharper look. The game also employs some neat lighting effects that trump the Xbox 360 version, too.

However, the Xbox 360 version boasts a better frame rate, and in an action game like “Marvel,” smoother gameplay is more important than cool special effects. Both the Xbox 360 and PS3 version feature online multiplayer.

The Wii version of “Marvel” does not feature online multiplayer, and it takes a steep graphical hit. Attacks and maneuvers normally triggered to controller buttons are assigned to motions with the Wii remote, such as swiping downward to perform a slam attack. (The motion-sensitive PS3 controller sports a few similar features.)

Hardcore gamers, the type normally attracted to beat-'em-ups like “Marvel,” will likely prefer the traditional controls of the Xbox 360 and PS3 -- and enjoy the extra visual polish, as well.

“Marvel: Ultimate Alliance"
Publisher: Activision
Rated: Teen

Levi Buchanan
msnbc.msn.com

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Call of Duty 3

“Call of Duty 3” is a first-person shooter set in war-torn, World War II Europe. “Call of Duty 2,” a launch title for the Xbox 360, was a monster bestseller, and this sequel replicates as much of the thrill as possible with a meager one-year window. Authenticity is a major selling point for the “Call of Duty” series, and the third installation delivers accurate weapons and battles ripped from history books.


The PS3 and Xbox 360 editions look remarkably similar — a thread that extends through all cross-platform releases currently on shelves. It's obvious, however, that the Xbox 360 edition was the lead product. The stunning high-def visuals suffer from slight frame-rate issues on the PS3, which means you might experience a slight hiccup in gameplay. The 360 edition is much smoother, and the colors actually appear a little richer, too. Both the PS3 and Xbox 360 version have online multiplayer, but only the Xbox 360 version supports voice chat.

“Call of Duty 3” takes a dramatic visual hit on the Wii, but that’s to be expected — Nintendo’s new console doesn’t pretend to have the horsepower of the Xbox 360 or the PS3.

If you pony up for component cables — which bump up the resolution to 480p — “Call of Duty 3” looks somewhat better on the Wii. But the Wii version of the game lacks multiplayer gameplay. On the plus side, the Wii remote offers offers excellent control — especially with targeting. Using the remote as a gun allows you to pull off some pinpoint headshots on Nazi thugs.

"Call of Duty 3"
Publisher: Activision
Rated: Teen

Levi Buchanan
msnbc.msn.com

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Wii Opera trial goes live December 22nd

Nintendo has revealed that the Opera web browser will be available from this Friday, December 22nd, for Wii users to download and sample the service ahead of the official release scheduled for March 2007.


Wii owners already have access to the Wii Shop for buying downloadable games, and the Forecast Channel which launched earlier today, but this is the first time the user will be able to browse websites via the console.

"Our software brings the power and reach of the Internet to the hottest videogame system available," commented Scott Hedrick, executive VP of devices at opera Software.

"Wii's unique interface adds a new dimension to our browser, making it a useful tool that the whole family will enjoy operating with ease."

The full version of the Opera browser will be available for Wii users from March next year, and will be free until the end of June. After June, users can purchase the software from the Wii Shop for 500 Wii Points (around GBP 3.50).

"In addition to providing innovative and exciting new ways to play, Wii also offers further services and entertainment for all the family," said Laurent Fischer, marketing director for Nintendo of Europe.

"Wii is the perfect console for everyone to enjoy and this is being reflected in the phenomenal sales across Europe," he added.

Matt Martin

gamesindustry.biz

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Valve and IGA ink Counter-Strike ad deal

Five billion player minutes per month rival top TV shows, says Lombardi. In-game ad firm IGA Worldwide has signed an agreement with developer Valve to provide adverts in online shooter Counter-Strike. The companies believe the deal is one of the largest in-game ad deals of its kind, which hopes to take advantage of Counter-Strike's five billion player minutes per month.


"This exclusive agreement between IGA Worldwide and Valve adds significant value to our network and provides brands with a sure-fire way to reach millions of consumers with high impact advertising, and with highly measurable results," said Justin Townsend, CEO of IGA.

"We have created a new mass-reach advertising channel where we can deliver targeted 'above the line' advertising creatives to the living rooms of highly engaged, hard to reach demographics, yet with the measurability of below the line mediums such as online," he added.

"As the world's premier online action game, Counter-Strike's player minutes exceed its closest competitor by more than 100 per cent," said Doug Lombardi, marketing director for Valve.

"Additionally, Counter-Strike rivals many of the current top ten watched shows on American televisions. For instance, a top ranked, one hour, weekly program garners 20 million viewers and results in approximately 4.8 billion viewer minutes per month.

Conversely, Counter-Strike generates over 5 billion player minutes in the same period of time. And, nobody fast-forwards through any part of Counter-Strike," added Lombardi.

Matt Martin

gamesindustry.biz

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Lost Planet reaches 1 million downloads

Clocks up more than 300,000 hours through online multiplayer. Capcom has revealed that demos for Lost Planet: Extreme Condition have been downloaded over one million times over Xbox Live. The figure includes both single and multiplayer demos, and is a vote of confidence in the title, due for release early next year.


The publisher claims the multiplayer demo has clocked up over 300,000 hours of play time online since release last month.

The single-player demo was released on the Xbox Live Marketplace back in May as part of Microsoft's synchronised E3 showing, which also included playable demos for Test Drive Unlimited and Moto GP.

"Since we made the multiplayer demo available through Xbox Live Marketplace, there have been hundreds of thousands of hours spent playing the game, which is a great testament to the quality of Lost Planet," said Hiroshi Tobisawa, president of Capcom Europe.

"This latest demo has completely energized the Xbox community, giving them something to look forward to in the New Year, when the next big hit Xbox 360 title hits retail."

Matt Martin
gamesindustry.biz

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Konami offers free game demos for mobile

Konami has launched a download service for US consumers, allowing them to access free mobile game demos and other content for hit titles such as Contra, Castlevania, Frogger and Dance Dance Revolution.


The Konami Mobile Portal is a free download which the publisher hopes will make the process of choosing and buying mobile games a simple and efficient experience.

"Our customers appreciate being able to browse and sample the wide variety of products," said Joe Morris, vice president of mobile content for Konami.

"Once they do decide to buy, the speed of our store is unparalleled, with most customers receiving the content an average of 90 seconds after choosing it."

"Additionally the Konami Mobile Portal allows us to develop an ongoing relationship with our customers. We're committed to developing new ways of making the mobile experience easier and more enjoyable, and other companies are finding ways to use our technologies for a variety of applications beyond gaming," he added.

Matt Martin
gamesindustry.biz

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Games hub at varsity

Jadavpur University (JU) is set to become the first academic institution in the country to have a centre for development of computer games. The increasing preference of young engineers for a career in the rapidly-growing gaming industry has prompted the university’s decision to set up Games Valley.


Two reputed foreign institutions will collaborate with JU in the project. The university will soon tie up with Digipen, in Washington DC, which conducts programmes in design and computer games. An agreement will also be signed with Algon Quin University in Canada, which is known for producing quality game developers, said JU officials.

“A team of four senior teachers will visit the US in January to finalise the agreement with Digipen. The team will also visit Ottawa for inking the pact with Algon Quin University,” said Parthapratim Biswas, a member of the university’s executive council. Biswas is part of the team that is going to the US.

The JU authorities have plans to seek faculty support from Digipen.

At the national level, the university has decided to collaborate with IBM and Institute of Toy Making Technology for developing the infrastructure of Games Valley.

“Games Valley will open an avenue for young graduates to pursue careers in entertainment technology, which is much in demand in both the national and global markets,” stated Biswas.

JU officials said one of the attractions of Games Valley will be its well-equipped workshops. The team going abroad will interact with experts to finalise the design of the workshops, laboratories and other facilities at the centre.

“We will engage experts in various fields to offer inputs on games. For instance, there are going to be experts on arts and literature,” said Biswas.

The university had announced in January this year postgraduate courses in gaming for graduates in computer science and engineering and electronic science and engineering.

MITA MUKHERJEE
www.telegraphindia.com

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Cancer Video Game

Like many kids his age, 17-year-old David Kossow can often be found in front of the television. "I've been playing video games all my life," he says. David is also taking it easy because of his health. Three years ago he was diagnosed with leukemia. The news meant dozens of trips to the hospital and 36 months of chemotherapy.

Cancer is the number one cause of death in kids and teens in the United States. Treatment regimens are improving, but getting patients to follow them can be a challenge.

Mike Kossow, David's dad, says, "It's been a rough three years." But a nice distraction came when David was able to test a new computer video game through a study at Washington University School of Medicine.

The game is called "Re-Mission." Roxxi, the main character, is a robot who seeks and destroys the enemy, "cancer."

"It kind of gives a whole new perspective on fighting cancer," David says. "I mean you can't really do it physically, so you can do it virtually."

Kids in the study played this game or a regular video game for three months. Researchers found the teens who played Re-Mission felt better overall, knew more about their cancer, and were more likely to take their medications properly.

Jeanne Harvey, N.P., of Washington University School of Medicine, tells Ivanhoe, "We always have to try to be creative with teenagers, especially to come up with ways to engage them in the process because a lot of times, their reaction to all of this is to just shut down."

The Re-Mission game is free to young adults with cancer and rated "T" for Teen.

David's beaten all 20 levels of Re-Mission. He's found it so inspiring he plans to one day design video games himself.

"He knows that that chemo treatment is kind of like going to the next video game level and beating that level," Mike says.

Now that David is done with treatment, his final mission is to destroy the cancer in his body for good.

abclocal.go.com

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Group advocates game-rating system

WASHINGTON - With the holiday shopping season underway, an industry group for video games is trying to encourage parents to use its voluntary ratings to protect children from graphic images of sex and violence.

The Entertainment Software Rating Board said Thursday it would distribute four public-service television spots to more than 800 broadcast and cable stations nationwide.

“Just like movies and TV shows, video games are created for a diverse audience of all ages, and some are simply not intended for children,” ESRB president Patricia Vance said.

Sens. Joe Lieberman, D-Conn., and Hillary Rodham Clinton, D-N.Y., lent their support at a Capitol Hill news conference. Both have been active in the fight to protect children from sexually explicit and graphically violent videos, music and movies.

Lieberman said parents must play a central role in learning about the ratings and what games their children should be playing.

“Ultimately, this is about parents exercising some responsibility,” Lieberman said.

Vance said about 12 percent of the games the ESRB rates each year are M-rated, intended for those aged 17 and over. She said parents should take such ratings seriously in deciding if the content of the game is appropriate for their child.

Executives from retailers Best Buy Co. and GameStop Corp. appear in the ads, stressing their support for ratings and their store policies not to sell M-rated games to children under 17 without parental permission.

The ESRB rating system was created in 1994 by the entertainment software industry. Use of the ESRB seal and rating is voluntary, though virtually all games do so.

Andrew Miga
www.msnbc.msn.com

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Ubisoft MD predicts bright future for gaming websites

Ubisoft UK managing director Rob Cooper has confirmed that the publisher plans to devote more of its marketing spend to online advertising as gaming websites become ever more popular.

Speaking in the latest edition of the Games Central podcast, Cooper said that "a lot, lot more" of Ubisoft's money is now being spent online.


"Only last week we were looking at ways and means we should further our spend in sites generally, because it is so active. You see such a big result on a website," he stated.

According to Cooper, it's access to instant information which makes gaming sites so popular with consumers.

"[Gamers] like to read it when they want to read it, rather than actually sit for a certain time or read when a magazine comes out," he observed.

"Certainly, if I'm looking on the Internet, I've tended to look at things because it's instant. Rather than wait for something to read it, I can read it there and then, which to me is much more important."

gamesindustry.biz

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UK Charts: FIFA is Christmas number one

Electronic Arts has claimed the Christmas number one spot for the fourth consecutive year, with FIFA 07 staying at the top of the All Formats charts. Need for Speed: Carbon also remains at number two in the charts, proving EA has some of the most popular franchises during the busiest retail period of the year.

THQ's WWE Smackdown Vs RAW 2007 has climbed up the top ten to number three, boosted by the release of the PSP version of the game, while Konami's Pro Evolution Soccer 6 slips one place to four.

Also dropping down the charts is Activision's Call of Duty 3 at number five, with the third EA title in the top ten, The Sims 2: Pets holding at six.

Climbing one place is Epic and Microsoft's Xbox 360 exclusive Gears of War, with Midway's seasonal movie tie-in Happy Feet breaking into the top ten at number eight.

Two charts stalwarts round out the top ten, with LucasArts' Lego Star Wars II: The Original Trilogy at number nine, and THQ's Cars at ten.

Matt Martin
gameindustry.biz

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America victorious in virtual war on terror

Whatever your opinion of the war in Iraq (and I don’t want to get too political in a game-review column), one thing is clear: These are tough times for U.S. forces, with debate raging about the uses of military might in the 21st century.

There’s no such debate in the virtual world. The conflicts being waged on video-game consoles can get ugly, but there’s no question who’s in charge: the good ol’ U.S.A. In video games, ruthless terrorists and nuke-wielding despots are no match for American firepower, technology and guts.

It’s easy to get caught up in this gung-ho approach to warfare, and games about U.S. troops fighting terrorists are popular worldwide. The global nature of the video-game industry has led to some strange bedfellows; most famously, the games sporting Tom Clancy’s superpatriotic brand name are published by a French company, Ubisoft.

Ubisoft and Clancy are back this fall with new installments of two of their most popular franchises, and they’re both addictive enough to compel even the most pacifistic of gamers to pick up an assault rifle.

Like many a fading star — Celine Dion, Elton John, Prince — the aging “Rainbow Six” (Ubisoft, for the Xbox 360, $59.99) series has taken refuge in Las Vegas. But the desert air has done wonders for the creaky old war horse, which delivers its most exciting episode yet. D

uring a mission in Mexico, your commando team discovers that terrorists are about to mount an assault on Vegas, and it’s a quick trip from the border town’s sun-baked squalor to Sin City’s flashier brand of decadence.

The 360 does a terrific job capturing Vegas glitz, from crowded casino floors to breathtaking panoramas of the neon-lit Strip. You have to use smart strategy to outflank your enemies, but this game makes it easy to give orders to your three-man unit, making it the most accessible “R6” yet.

As usual, you get to fight with an impressive assortment of high-tech weapons and explosives, and it’s undeniably thrilling to watch a bank of slot machines explode in a burst of AK-47 fire. Vegas Mayor Oscar Goodman may not like it, but “Rainbow Six Vegas” is a blast.

The latest “SOCOM” (Sony, for the PlayStation 2, $34.99) visits a more familiar setting, a former Soviet state called Adjikistan that’s become a terrorist hotbed.

“Combined Assault” doesn’t offer any surprising twists on that tired scenario, but it’s a serviceable simulation of squad-based tactical fighting. You control the leader of a four-man unit, and you have a wide range of commands you can issue to the other three guys.

Most of the missions require some degree of planning and stealth: You’re better off taking out enemies one-by-one than rushing in and starting a massive firefight. “Combined Assault” is an involving and well-executed PS2 shooter, but it doesn’t bring much new to the series and it pales in comparison to the next-generation competition.

Lou Kesten
www.ap.org

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SCi obtains 11 new licences as part of GBP 44m deal with Warner Bros.

SCi Entertainment has picked up 11 new licenses, including Looney-Tunes, Hanna-Barbera and The OC, as part of a new deal with Warner Bros. worth GBP 44.5 million (Euro 66.4 million). The deal sees WB acquiring a ten per cent stake in the company, subscribing at GBP 5.02 (7.49 Euro) per share.

"We continue to build a broad portfolio with a very strong focus on original IPs supported by strong licences," SCi CFO Rob Murphy told GamesIndustry.biz.

"The WB licences reflect the broadening demographics of games buyers and should be particularly well suited to new platforms such as the Wii and DS."

Under the terms of the deal, SCi's publishing label, Eidos, will create games based on Looney Tunes characters such as Bugs Bunny, Daffy Duck, Road Runner and Speedy Gonzales for handheld consoles.

SCi also has the right to produce up to ten games based on Hanna-Barbera characters including Tom and Jerry, the Flintstones, Wacky Races and Yogi Bear, plus titles based on DC Comics's Batman character and hit TV show The OC.

In addition, SCi has acquired the licenses for animated TV programmes Loonatics Unleashed and Legion of Super Heroes.

SCi will produce up to 20 games in total across current and next-gen platforms, and Warner Bros. will provide primary distribution and media buying services to Eidos in the US. The games will be developed at both internal and third-party studios, and will be released from 2008 onwards.

"These agreements represent a further step in SCi's development as one of the world's leading publishers of interactive entertainment," SCi chief executive Jane Cavanagh said in a statement.

"The share subscription will provide SCi with the firepower to accelerate growth initiatives such as increasing our development capacity and our new media and online strategies."

Ellie Gibson
www.gamesindustry.biz

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Nintendo Wii breaks records in Australia

First it was announced that the Nintendo Wii had become the fastest-selling home console in the UK, then Europe - and now it's breaking records in Australia, too. GfK Australia has published new figures showing that 32,901 Wii units were sold in the four days following the console's launch on December 7. During launch week, the Wii made up 43 per cent of all videogame hardware sales in the territory.

That means it sold faster than any other home or handheld console, edging past the Xbox 360 - which shifted 30,241 units during its opening weekend - and the PSP, next in line with a figure of 27,055 units.

The software attach rate for Wii stood at 1.5 units per console - so towards the lower end of the scale, GfK conceded. But, the company observed, Nintendo's machine does come bundled with the Wii Sports game, which wasn't accounted for when calculating the attach rate.

Earlier this week, Microsoft published Xbox 360 sales figures for the same period, with regional director David McLean stating that the launch of the Wii had not had a negative impact.
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Ellie Gibson
www.gamesindustry.biz

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SEGA enlists heavyweight support for Alien games

SEGA has enlisted seasoned PC and console developer Gearbox Software to create a first-person shooter based on the Alien film franchise.

The news comes hot on the heels of an announcement that Neverwinter Nights 2 developer Obsidian Entertainment will be producing a role-playing game based on the films.

Earlier this week SEGA revealed it had secured the rights to create next-generation games based on the enduring sci-fi favourite.

The fact that developers of the stature of Gearbox and Obsidian are involved will be considered a significant show of strength from the one-time platform holder, which appears determined to buck the industry trend of producing low-expectation licensed properties under the assumption that the brand will carry the content.

"Gearbox Software has a storied history of bringing innovative and compelling design to the FPS category," said SEGA of America president and COO Simon Jeffery.

"Combining their design talents with the intense action of the Alien franchise ensures that gamers will have an immersive and action-packed experience."

Gearbox president Randy Pitchford said that the Alien series had been "a tremendous influence" on the developer and the games industry at large.

"The opportunity to work with the amazing people at SEGA and Fox to build a next generation videogame in the Alien universe is one of those dream projects that is a perfect fit for our capability and our passion."

Platforms have yet to be specified, but SEGA has previously said that both the RPG and FPS titles are in pre-production, with one due out in 2009.

Ellie Gibson
gamesindustry.biz

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China tightening control of online games

BEIJING - China is tightening controls on its booming online game industry, requiring distributors to closely monitor game contents after some were found that included forbidden religious or political material, a state news agency said Tuesday.

The announcement adds to government efforts to tighten controls over Chinese newspapers, television and other media.

Distributors must obtain approval to release new games and submit monthly monitoring reports confirming that operators haven't added forbidden content, the Xinhua News Agency said. It cited a notice by the Press and Publication Administration.

China has 23 million online game players, up from 13.8 million in 2003, according to Xinhua. It said revenues this year are expected to reach $850 million.

The latest crackdown was prompted by "a rash of problems with imported online games, some of which contain sensitive religious material or refer to territorial disputes," Xinhua said. It said some were criticized as pornographic or too violent.

The report gave no details about the religious and territorial issues, but the government is sensitive to references to Islam and Taiwan, the self-ruled island that Beijing claims as its own territory.

Regulators said distributors concealed the content of the games when applying for approval, and operators sometimes upgraded games with improper content, Xinhua said.

msn_news

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The Nintendo Difference

No company frustrates the soothsayers quite as much as Nintendo. Across the land, divining rods are being snapped, crystal balls are being smashed and tea leaves are being stamped on in fury - as the firm whose death has been predicted countless times reveals itself once again to be in rude good health and ready to take on the world.

I refer, of course, to the launch of the Wii in Europe, which saw the firm clocking up a record breaking 325,000 sales over the weekend; but even more astonishing, and more laudable, is the stunning success of the Nintendo DS in the same week. Over half a million units of the handheld were sold in Europe last week, and the installed base now tops 8.5 million units in this territory alone. If this is an indication of how the Wii's sales will go, then Nintendo's risky gamble with the motion sensing Wiimote could actually turn out to be the stroke of genius which hands dominance of the console space back to its one-time master.

As the Kyoto-based firm continues to confound the doom-mongers who have gleefully predicted its demise for the best part of a decade, it's worth pausing for a moment to think about the other common prediction which is associated with Nintendo - namely that the company will (or at least, should) abandon the hardware market entirely, and instead focus on bringing its unique range of IPs and franchises to other platforms. Going third-party - or "doing a Sega", as industry slang would have it.

The most common argument for this strategy is that while Nintendo may be hugely profitable, the company's home consoles are in distant second or even third place behind those of the market leader - so in theory, by moving franchises like Mario and Zelda to the PlayStation and the Xbox, the firm would have a much larger target market, would sell more units, and would ultimately be much more successful. This is particularly relevant now, proponents of this model argue, because the astonishing cost of the new generation of consoles has forced Nintendo out of the arms race, leaving its games confined to an innovative but underpowered system.

On the face of it, it's a compelling argument - and it certainly worked for Sega, which has turned around its fortunes since bailing out of the Dreamcast (aided, admittedly, by being acquired by wealthy Japanese gambling firm Sammy) and is now one of the most influential third-party publishers in the industry. Why shouldn't Nintendo follow Sega's example, then, and leave the CPU and GPU arms race to the multinational giants with cash to burn?

The simple answer is because "The Nintendo Difference" isn't just a cunning marketing slogan; Nintendo genuinely is different. Its structure and business model are a radical departure from how every other company in the interactive entertainment industry works, and the comparisons between Nintendo and Sega are merely skin deep. Sega left hardware because it had no choice; the failure of the Dreamcast was a nail in the coffin, and the structure of its internal studios was perfect for transplanting into a third party publisher. Nintendo stays in hardware because it, too, has no choice in the matter.

Of course, on a very simple level, if Nintendo was to leave hardware then it would lose a major revenue stream, because the company notoriously designs and prices its consoles such that hardware is a profit-making enterprise. Making up for that lost revenue would also be tougher than it looks, because as a third-party publisher, Nintendo would be forced to pay a significant license fee on each game it sold, so its profit margin from software would be reduced. As such, the company would have to vastly increase its software sales in order to make up both for reduced margins and for the loss of the hardware revenue stream - an incredibly daunting task, even for a firm with franchises like Mario and Zelda. Bear in mind that those franchises already sell millions of copies, and have an astonishingly high attach rate with Nintendo hardware - even on a system with five times the installed base, achieving higher sales would be a challenge.

Even more important, though, is the change which would have to be made to Nintendo's entire culture, to its business and creative models, if it were to abandon the hardware market. Considering this gives an insight into the workings of one of the most fascinating companies in the videogames market - a firm which is quite unlike its competitors, with an approach which owes more to that of a toy company than to the videogame publishing model.

Nintendo's entire philosophy is focused on the platform - not on hardware or software as separate entities or businesses, but as the platform as a whole. Unlike Sony and Microsoft, where it's apparent that Chinese walls have been erected between the designers of the hardware and the creators of first-party software, Nintendo actually places its top software designers at the helm of hardware design. Consoles are designed to suit the game concepts which will run on them - a working model which is apparent in the design of both the Nintendo DS and the Wii, and which allows the company to create early first-party titles which really showcase the hardware.

This top-down approach, which creates consoles based on the games which will run on them, is the antithesis of Microsoft and Sony's approach, which designs from the bottom up - first creating a console and then worrying about what games will run on it. It gives Nintendo an enormous competitive advantage which would not be evident if it were a third-party publisher, and allows its top first-party software to innovate and evolve in ways which would be impossible on another company's hardware. It's also the approach which has informed the decision to restrain the specifications of the Wii - and indeed the DS - to a manageable level, which allows development to take place faster and less expensively than on rival consoles.

These factors combine to make Nintendo into the company it is today - a company whose low development costs, tight integration between hardware and software and enormous profit margins allow it to take creative risks, drive forward innovation and promote the growth of the gaming market as a whole. Without Nintendo's unique business model and first-party status, games like Nintendogs, Brain Age, Animal Crossing and Wario Ware simply could not exist; they either rely heavily on the hardware which supports them, or are so far off the beaten track that creating them on a system with higher development costs and lower profit margins would be commercially untenable.

That's why Nintendo will remain in the hardware business - because its consoles are more than just a platform to run its software on. They are part of a platform strategy which defines the entire company's approach to the market, and which means Nintendo is more than just one of the world's leading videogame companies - it is also, and arguably more importantly, one of the world's leading toy companies, and remains a powerhouse of innovation and development which is a driving force for the entire games sector. "Doing a Sega" is not on the cards for this firm, and probably never will be - especially not when it's still in the enviable position of being able to shift the better part of a million units in Europe in a single week.

Rob Fahey
gamesindutry.biz

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Technology changing way fans see game

The San Francisco Giants were in the thick of the pennant race in August 2002. And Blake Krikorian and his brother, Jason, were stuck at their office with no way to watch.


The afternoon game was being shown on a local TV station, but their office didn't have a TV feed. They signed up for an Internet service that showed games live — only to discover local teams were blacked out.


"We thought, 'There's got to be a way we can watch and control our living room television,'" Blake Krikorian said. "Whether I'm in my backyard on my laptop, or sitting in an office on my desktop, or traveling in Shanghai with my mobile phone, it shouldn't really matter. All I want is my familiar, living room TV programming."

Thus, Slingbox was born.

The product, which lets people watch their home TV anywhere, anytime using an Internet-connected computer or handheld device, is one of the many ways the view of games we love are changing.

No matter how many channels on a cable system or state-of-the-art satellite dish, there isn't enough room for everything. The networks have little choice but to stick with the programming they know sells — baseball, the NFL,
NASCAR,
NCAA basketball and football, plus the golf and tennis majors. Viewers have turned elsewhere for what they want and are using the latest in technology to get it on their terms.

"Television is still king of the hill," said David Raith, executive director of U.S. Figure Skating, which launched IceNetwork.com this fall. "(But the Web) brings out great opportunities for further exposure, for marketing opportunities. ... There are no time or space limits. It's wide open. It's endless. It's as much as you want to put in there.

"And it's 24-7."

Teams and leagues are scrambling to adapt, turning the Web into an interactive playground to capitalize on that all-important "fan experience." Or better yet, the athletes' experience. NASCAR, for example, will take DirecTV customers behind the wheel next year, showing races from a driver's vantage point.

Sports that have been largely shut out of the mainstream media are using Webcasts to stake out their spot. The NHL even is putting full-length games on delay on Google Video in hopes of attracting new fans or luring back those turned off by the season-long lockout. It also has highlight packages on YouTube.

Not home to see the Super Bowl? Get it live on a mobile phone. Didn't get enough of this year's Michigan-Ohio State matchup? Download it to a video iPod. Want to see if Daisuke Matsuzaka is really worth all those millions the Red Sox are shelling out? A couple clicks of the mouse gets his career stats and clips of him pitching. A hardcore badminton fan? Pay a subscription fee and watch matches on the Internet.

"This is all about more and more choices," said Eddy Cue, vice president of Apple's iTunes. "Watching a game live on a 50-inch plasma TV is a tough thing to beat. But when you're not in that position, having other choices is going to be something that people want."

For fans, there's nothing better than seeing their favorite sport, team or athlete up close and in person. The next-best thing is watching the game from the comfort of their living room, preferably on a really big TV.

That's not always possible. As advances in technology have made everything more portable and more user-friendly, fans are expecting the same thing from their sports. The further technology goes, the more fans want.

Indeed, it's that combination of Web and wireless technology that's been such a boon for fans.

Even in its infancy, the Web gave sports an immediacy previously limited to ballparks and arenas. Instead of waiting for the next day's paper or even the next sportscast, fans got up-to-the-minute scores and could see how their favorite players were doing.

Fans' reach was expanded, too. Now, they easily tracked teams and athletes that would be mere blurbs in local newspapers.

As wireless technology improved, the Web went portable. Those same scores once found on office computers now were accessible on mobile phones. It wasn't long before fans were looking for ways to bring the games with them.

TiVo has come up with TiVoToGo, which can transfer recorded shows to PCs, iPods and some handheld devices, including mobile phones. iTunes offers highlight packages for the NFL, NBA, NASCAR and golf, as well as college football and basketball. The downloads include clips showing the progression of the game or race, as well as interviews with athletes and coaches.

To take advantage of the hype surrounding this year's Michigan-Ohio State game, iTunes put together a collector's edition type of package. For $5.99, customers got the full-length 1973, 1997 and 2002 games, as well as commercials touting the rivalry. After Ohio State beat Michigan, they got this year's matchup.

NASCAR's Internet "TrackPass" allows subscribers to customize video highlights and eavesdrop on in-race conversations between drivers and their crews.

"There's more and more opportunities in the future, giving people access to the game," Cue said. "The other piece is also access to new things, whether it's the press conference or the interview.

"You need to offer more as customers want more."

For some sports, the Web has become the only way to offer anything.

Before cable, networks occasionally would show lesser-known or fringe sports. ABC's "Wide World of Sports" gave viewers regular doses of sports such as cliff diving and ski jumping.

That's simply not possible anymore, said Rick Gentile, a former senior vice president of CBS Sports who is now a professor at Seton Hall.

"The networks have to pay such exorbitant rights fees for the staples, their sales forces have to charge advertisers big dollars to support those. And they really don't have the appetite to sell the little sports," Gentile said.

"Alpine skiing, you never see alpine skiing on television anymore."

Actually, you do. Just not that often.

You can, though, get your fill on the Web.

The World Championship Sports Network has acquired rights from 35 Olympic sports federations, allowing it to stream coverage of world championships and other major events on its WCSN.com Web site, co-founder Claude Ruibal said. For $4.95 a month or $49.95 a year, subscribers can watch everything from the Asian Games to the world gymnastics championships to table tennis' World Cup events. And, of course, skiing.

Other content on the site — news, features, athlete blogs — is free.

"(Getting attention) is a really big challenge," said Teodor Gheorghe, the executive director of USA Table Tennis, which has only 8,500 members even though nearly every American who's been to a family reunion has played the game.

"People don't have a clue what the sport means if they can't see it. If we can get this out, we will get more fans, more support."

Or capitalize on interest generated at a big event.

Ruibal said he was captivated during the Turin Olympics by the story of Lindsey Jacobellis, the American who hot-dogged her way out of a gold medal in snowboardcross. He wanted to see how she'd do in her first post-Olympics race — but it wasn't going to be on TV.

"There wasn't a place to see that," said Ruibal, WCSN's chairman and CEO. "There is now.

"We really are trying to build more of a community online," he added. "You need to somehow be able to touch better those people who have a core passion for sport and grow from there. You need to somehow have the excitement the content gives you, the excitement that interacting with these athletes through photographs and blogs gives you."

Even glamour sports like figure skating are relying on the Web.

Figure skating is one of the few sports with a TV presence outside the Olympics, but ratings are nowhere near what they were in the aftermath of the
Nancy Kerrigan-
Tonya Harding debacle. It doesn't help that
Michelle Kwan, the sport's biggest star for the last decade, has traded her skates for school books.

With the launch this fall of its Ice Network, U.S. Figure Skating is hoping to target die-hard loyalists and casual fans alike with sneak previews of who might be the next big thing. There will be Webcasts from lower-level competitions, as well as editorial content to showcase lesser-known skaters.

That a Web site like this could pique the curiosity of tomorrow's consumers isn't lost on Raith.

"For the younger demographic, the Web is much more relevant than watching a network at a specific time," Raith said.

Consumers of all ages are demanding information at their fingertips today. They want to replay whatever they've just seen and skip through the boring parts. They want to watch it at 11 a.m. or 11 p.m., in the living room or while riding the bus. They want information — lots of it. And they're talking about all of it on IM or with text messages.

Leagues, athletes and teams had better adapt, or they risk becoming as obsolete as that old Betamax.

"We have to increase fan interest in the game however we can," said Keith Ritter, president of NHL Interactive Cyber Enterprises. "What we need to do is take advantage of places where fans and potential fans are spending their time. Obviously, they're spending their time on YouTube, Google Video, AOL. They're not necessarily looking for hockey, but they're looking for interesting video.

"It's the old joke about chicken soup," Ritter added. "Is this the thing that's the cure? No, but it couldn't hurt."

NANCY ARMOUR, AP National Writer
www.ap.org

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Guitar hero? Pitcher hurt playing video game

When the Detroit Tigers lost flame-throwing relief pitcher Joel Zumaya for three games of the American League Championship Series this past October, it hurt his team. The reason for the injury, however, is even more painful.

According to the Detroit Free Press, Zumaya was hurt playing a PlayStation 2 video game called "Guitar Hero", in which the player simulates playing an electric guitar for popular rock bands. Zumaya, a 22-year-old rookie, suffered inflammation in his right (throwing) wrist and forearm from playing the game.

When Zumaya went to the Tigers training staff about his injury, they noticed his pain was more consistent with a guitar player than a baseball pitcher, according to the Free Press. Since Zumaya was known to play the game, the team asked him to stop, and he pitched pain-free in the World Series.

The Tigers are certain that Zumaya's injury will not recur. Team president and general manager Dave Dombrowski told the newspaper that he was pretty certain the injury came from the game, and not from pitching.

"That was probably what was taking place," he said.

"He felt fine in the World Series, to tell you the truth," Steve Springer, one of Zumaya's representatives, told the Free Press. "I didn't even think twice about it."

www.msnbc.msn.com

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Gears of War hits 2 million mark

It's already been well established that Epic Games' Xbox 360 shooter Gears of War is a hit. In the first two weeks after the game's November release, Microsoft confirmed that it had already sold a million copies worldwide and that it had surpassed Halo 2 as the most-played game on the Xbox Live service. There was even speculation about a fourth installment in the series, when a sequel of any kind has yet to be announced.

Today, less than six weeks after Gears of War's "Emergence Day" launch, Microsoft announced that sales had tallied up to more than 2 million copies worldwide. The game has also gone platinum in the US, reaching the 1 million mark. Since the game went on sale November 7, the daily rate of Xbox Live Gold subscriptions, which are required for online play, has increased more than 50 percent.

In a statement, Epic Games president Michael Capps said the development team was "stoked" at the news, and said fans can count on the company delivering "new gameplay" through Xbox Live. Previously, Capps assured fans that his company would provide free downloadable content for all its games.

Brendan Sinclair
GameSpot.com

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