The Wisdom Wall

“And you look at the Activision deal, sixty-nine billion dollar acquisition of Activision. It's basically like, you know, Netflix or Apple or, or, or one of these other companies buying exclusive content.”

“I invest in businesses, not in studios. Right? And the, and those businesses have to have a strategy that transcends, I want to make a game and put it on Steam, or I want to make a mobile game and put it in the App Store, right? And I'm really interested in that strategy more than I'm interested necessarily. The…”

“I resist as long as possible going paid, although sometimes you're so profitable that you can with and not really mess your margins up too much, right? But I think once you start down the paid path for customer acquisition, it's kind of a, a slippery slope and it's a very difficult thing to come back from because you…”

“Like, I think you can expect to spend as much or more on an annual basis than you were spending in development in LiveOps.”

“And so, when you're, when we're looking at web three related deals, like solving that problem, like incentivizing you so that you don't feel like an idiot for utilizing the token is a key, key factor in these games.”

“where you aggregate demand On an online platform, and then you utilize that demand to leverage the supply side of the, of, of whatever industry that you're entering. And I think you look at steam and steam shares many of those attributes. And I think that move, which was essentially perfected by Tencent with QQ and,…”

“So you're, you're, you've got this audience there that's pre-qualified where you've got their credit cards, hundreds of millions of users. And so you just use it as a way to lower your customer acquisition cost effectively to zero for the next products that you launch. In the pipeline, and it just gives you tremendous…”

“in the packaged goods era, your, your goal was to sell a disc and then get somebody to come back a year later and buy another disc, and that's a business model choice, and therefore what you're going to put on that disc is going to be informed by that business model. It's got to have a degree of planned obsolescence to…”

“So with the new, uh, xCloud platform, and I was a pioneering investor in this with Gaikai back in the day, and it wasn't really economically viable, but now with scale and, Moore's law and all these other things we, and bandwidth improvements, we can now really do it well.”

“So you could stream these games without owning a gaming PC, but all the games that were really viable to stream were the kinds of games that gamers who already owned a damn PC were wanted to play.”

“I do think, however, that the, the audience has expanded really in the, in the last 12 to 15 years, and, and that this next generation of kids who've grown up on Fortnite, who've grown up on harder core games, um, but are still casual in their self-identification, who don't think of themselves as being core gamers. I…”