Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

Wednesday, June 17, 2009

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

Content is Key

Michael D. Gallagher

Entertainment Software Association

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

The industry has maintained traditional gamers’ support while reaching out to new demographics

The average gamer is 35 years old

Women represent 40% of gamers

One out of every four gamers is over 50

An Expanded Consumer Base

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

In less than a decade, video games have embraced the new opportunities that broadband affords

Sony shipped PlayStation 2 in 2000 without a built-in network adaptor

When Microsoft launched Xbox Live in 2002, the service supported only five exclusive games

An Increasingly Interconnected Relationship

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

North American gamers spent $1.9 billion downloading games last year

500 million online EA Sports games have been played since its launch in June, 2008 – equates to 2.2 million EA sports games are played each day

Xbox Live has more than 17 million members, who watched 25 million hours of Netflix movies and TV programs during the partnership’s first three months

Sony’s PlayStation Network maintains more than 20 million registered user accounts

An Increasingly Interconnected Relationship

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

Video Games Enter a New Era

68% of American households play video games; 42% of American homes have a video game console

Overall computer and video game sales climbed to $22 billion in 2008

Over 400 academic institutions around the world offer video game programs or courses

Opinion leaders increasingly appreciate the industry’s contributions across society

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

Despite roots in entertainment, video games today serve serious purposes for many organizations

The Wellcome Trust launched Sneeze, later renamed Stop Swine Flu, to teach young people healthy habits

Broadband enabled Stanford University to launch the Folding@Home project to better understand protein folding

Dance Dance Revolution is in over 1,500 schools in 31 states, supplementing physical education classes

Games Tackle Serious Issues

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

An ESA survey found that 70% of businesses now train employees through video games

78% of organizations not using the technology today likely will offer it within the next five years

More than 75% of companies plan to expand their usage within the next three to five years

Video Games Mean Business

Developing a National Broadband Strategy: Deployment, Adoption and the Stimulus

Broadband Networks:  Flooded with illegal copies of games, movies, music, and software that are downloaded by the thousands EVERY DAY

In May 2009 alone, ESA identified over 6.3 million infringements for a select number of ESA member games

This illegal content taxes broadband systems’ bandwidth capacities and undermines legitimate businesses

ISPs’ interests are best served by reducing the illegal uses of their networks in order to support legitimate business models that will be there for the long-term

Online Piracy