Digital Distribution: time to clean out the shelves?
I read an interesting article on digital distribution at ArsTechnica recently and it got me thinking. The article covered a recent investigation into digital distribution of video games by Gamestop, which suggested that digital distribution wouldn’t be mainstream for at least 5 years — and even at that stage they suggested it would still be fledgling with only 25% of the market set up for it. The article then went on to counter these statements by suggesting that digital distribution is already here. But I’m not so sure…
On one hand, I do agree that digital distribution is here and now. XBLA and PSN are going strong, the PSP Go is coming (minus the need for physical media), PC distribution via Steam is becoming increasingly popular — sure, to some degree, it’s already here. HOWEVER — convincing nerds to purchase online is one thing. Convincing the great majority is another.
Me? I’m all about digital distribution — I absolutely love the fact that all my games, music, photos, and movies can be available from the one place with a couple of button clicks — and this is coming from someone that used to LOVE watching my DVD collection get bigger and bigger — now I want to get rid of it all! Clear up some space for all the other crap I’ve collected over the years…
Sure –there are undoubtedly many people like myself, but for the general population, there are a couple of issues that need to be addressed…
One problem is storage, but with decreasing prices and increasing HDD sizes, I don’t think it’s a major issue, at least not for much longer. Another issue involves network speed, bandwidth, and download limits… But that’s another topic altogether. As things improve, these things will start to align with what is required for digital distribution, and it’s already heading that way.
The thing is — the majority of consumers are… well… stupid — when it comes to technology, at least. Very few people are aware of what they can actually do with their computers as well as on the Internet — they see it as a place to check their Facebook accounts and read some emails and that’s all. Many people aren’t interested in anything else there is to offer – perhaps they see it as too much to learn. Very few families actually connect their gaming systems to the Internet to download games (at least, this is my understanding) – but even this is changing over time. As more and more games are released through the Inter-pipes — and particularly if the cost of manufacturing is removed from the price of the product — it is likely that more people will turn to digital distribution.
However, it’s still going to take time — parents may not be willing to provide their credit card details. People may not have the download limits to allow for it. It will be hard to get people to change their habits. And those that are like myself may not be willing to get rid of their huge collection so easily…
Music distribution is heading down the path of digital distribution, but Apple and iTunes have compounded the issue — there needs to be a universally accepted method of distribution rather than this hugely well-known application that functions only with proprietary products (there are some, but they aren’t as well known as iTunes — and they certainly aren’t as functional). Video games are heading this way, but it’s still very early in the game — I have to agree with Gamestop, but I also have to think they must be worried. Movies and TV? Again, we’re headed this way, but there seems to be more roadblocks here — regional issues that need to be overcome. Heard of Hulu? I have… Never watched it though, as it’s locked to Australians. These regional issues also plague video game distribution (to a lesser degree — at least less obvious) — a topic I’ll be looking into soon. Once we can overcome these roadblocks, the world will be a more awesome place to live. The awesomeness is already shining through, but so many people are yet to notice…

