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Chronicles

The story behind the story

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EA: our fastest growing platform is the iPad

There was a time when the majority of games were played on dedicated consoles like the Xbox or PlayStation but, as they say, “those times are a'changin.”  Speaking to IndustryGamers, EA CEO John Riccitiello said consoles are no longer the dominant force in gaming.

TUAW Michael Grothaus

Context & Ripple Effects

Riccitiello's iPad comment is the latest step in a decade-long EA pivot away from box-only distribution. The company called for an 'open gaming platform' back in 2007, extended The Sims to iPhone and iPod touch in January 2010, and formally backed Android as a gaming target in September 2010 — so naming the iPad its fastest-growing platform reads as the confirmation of a strategy already in motion, not a new direction.

First-order effects

  • EA's internal resource allocation now tilts toward iOS/tablet versions of its franchises, since the CEO has publicly identified the iPad — not Xbox or PlayStation — as the fastest-growing surface for its games.

Second-order effects

  • Apple gains pricing and distribution leverage over major publishers: if EA's growth runs through the App Store, Apple's 30% cut and feature placement become commercial terms EA must manage rather than a side channel.

Third-order effects

  • If publisher growth keeps concentrating on tablets, the traditional console cycle loses its role as the industry's center of gravity, pushing Microsoft and Sony to justify hardware with services and exclusives rather than installed-base momentum.

The trend: Gaming's growth is migrating from dedicated consoles to tablets and smartphones, with major publishers following audiences off the hardware cycle and onto app-store distribution.