The Predatory Monetization of Video Games - How Money Works

Thank you to Morning Brew for being my first ever video sponsor. Anybody who has watched my channel for some time knows that I will only work with brands I personally use myself. It's completely free so there is no reason not to check it out at - bit.ly/mbhowmoneyworks2
Morning Brew has been the inspiration for many of my video's so if you enjoy my content you will love theirs.
Sign up for my newsletter compoundeddaily.com 👈
___________________________________________________________________________
Video game developers are companies with a profit motive and in many instances shareholders who they need to keep happy.
Selling a game once is great but it means there is a set amount of money that can be made from a set market of games. Exceptions do exist, somehow I have managed to buy Skyrim for the PS3, PS4 and PC, but I don’t like to talk about it.
The problem here is that some people are only willing to spend $20 a month on video games where other people are happy to spend thousands.
The only way to truly maximise profits is to get every possible gamer to pay the maximum possible amount that they are individually willing to pay for a game.
#HowMoneyWorks #MicroTransactions #Monetization
___________________________________________________________________________
Link to my brand new Patreon 👉 / howmoneyworks ❤️
___________________________________________________________________________
Link To The Capitalists Discord where I hang out with other creators - / discord
Music by Epidemic Sound
Stock footage by Storyblocks

[@HowMoneyWorks]

To get a sense of pride and accomplishment in your morning routine be sure to sign up to Morning Brew. No loot boxes here and it's completely free to sign up! - bit.ly/mbhowmoneyworks2

[@redtigergaming1467]

sponsor momento

[@tapiomarkkanen6170]

The problem for me, is that it cones in the middle of a day

[@seanwilliams7655]

I see what you did there.

[@lucasatilano8008]

This reminded me of the credit card rewards game. Hope you make a video about it soon, it’s pretty crazy

[@TheMapleTable]

That was a great ad for morning brew. Im sold

[@crestinglight]

The idea that the players who aren't spending any money actually become a product for the whales completely blew my mind. Never thought of it that way. It's so important to shine a light on these disgusting practices!

[@trulystupidgaming6642]

I don't care if someone is stronger than me in a video game. I have friends and family that are richer, stronger, and bigger than me in real life. Do I care? Not really. If my criteria for being happy in life requires me to be the top compared to everybody else, I would have a miserable life. Not to mention a video game is not even real life. It's just a game, bro. Why would I be angry because someone ELSE is strong in a game? It's not even real life, and even if it was real life, that's okay too. I don't even care if whales have an unfair advantage. If it makes them happy, good for them. Their money pays for the game I'm playing for free. I actually like to work hard for my rewards. I used to play super grindy games like Lineage 2. I feel sorry for those people who feel they have to have instant gratification. They are missing a lot of fun.

[@xman7695]

Yup, but it is very real. if you take guns of glory, tales of Avalon, or empire four kingdoms for example the top players will raid the low/non-spenders every few weeks because of dominance and fun in PVP. they won't or won't that often attack other whales but those that pay less than them. I was a non-spender for years and after a while, in a top guild/alliance or whatever it's called, you'll notice that kind of behavior. And if you're actually in a top guild/alliance you'll see top players having fun attacking others/doing PVP and stuff. but not against than often against the second best because it could take weeks until one of you runs out of time and/or money to keep going..

[@xman7695]

@OlJimJam GOG and KOA, yes! Still don't know why I ever played it. Empire four Kingdoms was better but in the top 20-40 it was also kinda like that but still more humane. It's like that I'm most/all f2p games with p2w content that I played.

[@KaeYoss]

You know what they say: If you don't pay, you're not the customer. You're the product. That's true for video games, but also lots of reading material. And always remember that whoever is selling only cares about the customer, or rather the money, but the customer is the one who pays, so he is listened to when it comes to making the product.

[@KaeYoss]

@@trulystupidgaming6642 Competition is a huge part of gaming. Not for everyone, obviously, but the majority of people play for the challenge, and playing against other people is a very popular form of challenge, since human opponents introduce unpredictability. You might not be motivated to become The Best, but many are. And some are so into being The Best that they're willing to pay for advantages. Pay a lot. Not that many people are like that, but there don't have to be that many people like that if they each pay enough. And whales are certainly willing to pay insane amounts of money. It's simple math: The average player is willing to pay anything from 0 to 60 bucks for the game. Maybe up to 100 if you include a season pass. A whale will gladly shell out thousands of dollars. EVERY MONTH. That means that even if you look only at one year worth of revenue, one whale will net you as much money as hundreds of regular players. Of course they also want people like you. People who don't care that they're nowhere near the top. After all, the whales need a mass of regular players to feel superior to. And that's why you're part of the product. You are used to sell the game to whales.

[@GrandSupremeDaddyo]

The future we feared when horse armor was released wasn't even the tip of the iceberg. Back then people were worried that games would soon be sold in chunks; unfinished and/or chopped into parts. These days the idea of a game sold in "episodes" seems harmless, because instead we're dealing with predatory gambling mechanics targetting addicts and children.

[@Mac_Omegaly]

And now NFT grifts.

[@JimJamTheAdmin]

I've always been okay with paying for episodes of say a story-driven game. I see nothing wrong with the Telltale business model, in concept. When I see people I know get hooked on a mobile game that siphons their wallets by playing on their addiction, I start to see red. I have been preaching against these things to everyone I know for years now.

[@serpentinious7745]

They don't just target addicts, they create them

[@phasorthunder1157]

That future kind of became true, considering the amount of games today that come out unfinished/unplayable due to the sheet amount of glitches and lack of content. Most recent example is Battlefield 2042.

[@guilhermecunha3363]

and worse than all, addict children

[@brrrr9165]

Personally for me, this whole toxic monetization of the video game industry made it a whole lot easier to quit playing altogether

[@SAMARTBO]

Pay to stop playing

[@shawniscoolerthanyou]

Plus, so many games now won't even let you play unless you create an account. I uninstall those right away.

[@aguspermana8643]

good for you.

[@aguspermana8643]

@@shawniscoolerthanyou for Persistence online i think it is understandable. for solo ? idk chief

[@DylanJo123]

Ive abandoned AAA games all together. As soon as the indie and AA scene gets infected by the greed in bigger games, im devoting my time to martial arts and guns. Have a plan, gents

[@thruwaycircus2532]

That line at the end about who you're NOT sponsored by is a gem.

[@gromm93]

Or a pearl! Or a coin! ;)

[@stevegruber4724]

if the video *was* sponsored by that game, it would have been a clear indication that they do no exert editorial control over the videos they sponsor. (i mean, i know they do, because the presenters have to talk about their experience with the game to get the money)

[@Jonascaa]

I was about to comment that! hahaha

[@neverhungryagain2187]

Fortnite at the end

[@mearkatman]

There's a fine line between spending money on a game you enjoy and spending money because you're addicted. A self check I often use is "does this money I'm spending result in more total play time or less". The more predatory pay to win systems that feed off addiction typically are designed to reduce total play time (skipping build times, auto leveling, equipment that would otherwise take a large amount of time to grind for), where more positive DLC will typically extend play time (additional quests/story lines).

[@abiku2923]

Sort of like how there are multiple currencys. Time, money, happiness, and trying to reduce frustration. There are several things at play once you want to start using your life this way.

[@aangitano]

Yup! This is an excellently way to look at things

[@Bittzen]

In the beginning, those games like elder scrolls oblivion and Skyrim had little dlc content or cosmetics you can buy, but that was fine because the base game was solid and could hold its own weight without extra content. Now, however, games are released with real-life graphics but really dead content. Skeleton content that gamers are promised the meat will be added to if they just stick with it and hold out, most of the time not happening or not enough. Elder Scrolls Online, for example, has many microtransactions for cosmetics, but the game is good even without it. Games like Halo Infinite, however, are taking advantage of patent and copyright law. The flaw with having copyrights and patents is that it stifles competition and is worse for the consumer. This was all inevitable as the industry evolved, and the solution is very simple: repeal patent and copyright laws. Fans have created Star Wars games better than what studios have done, but they can't be sold or marketed because of laws. These laws hike up the price of products and services. Look at pharmaceuticals: EpiPen was a huge example of late that showed the power of patent laws. The price was hiked up because no one else could make it, and the creators of patented and artificially expensive pharmaceuticals admit that they have no choice but to raise prices to take advantage of patent laws because if they don't do it, their competition will do it for their next big patent-worthy product. They'll eventually be destroyed by the competition doing it if they don't do it, so companies can't be blamed. The government is to blame

[@killersberg1]

@@BittzenCopyright law is very imperfect but abolishing copyright and patent law will cause products like the epipen to never exist in the first place.

[@PaulTightbowFirellon]

But it does not have to be just about reducing/increasing the playtime. The truth is, there's only so much a certain game can give you till it becomes a drag on your attention and time. The way games cling to you and try to extort some more money from you, regardless for more content or not, is rather disgusting. Ideally, the games would be free and the people in general would be wealthy and conscious enough to think about the developers and give them some money out of their own volition in order to let them know they like the game and want the devs to continue making it. Unfortunately, the whole system is sorta rotten at the moment, rewarding the devs that treat their players like cows to be milked rather than intelligent beings; and likewise, games that try to be good and useful for you don't get so much traction. Puzzles, strategies kinda get forgotten and replaced with quick-win roguelikes and mobile happy farms.

[@OmDahake]

Worst ones also include when a company takes pre orders and yet releases a game unfinished for which they made their developers work all night without extra pay

[@FractalPrism.]

that's why they took the preorder, you're less likely to ask for a refund for the product they knew wasn't finished.

[@Bittzen]

In the beginning, those games like elder scrolls oblivion and Skyrim had little dlc content or cosmetics you can buy, but that was fine because the base game was solid and could hold its own weight without extra content. Now, however, games are released with real-life graphics but really dead content. Skeleton content that gamers are promised the meat will be added to if they just stick with it and hold out, most of the time not happening or not enough. Elder Scrolls Online, for example, has many microtransactions for cosmetics, but the game is good even without it. Games like Halo Infinite, however, are taking advantage of patent and copyright law. The flaw with having copyrights and patents is that it stifles competition and is worse for the consumer. This was all inevitable as the industry evolved, and the solution is very simple: repeal patent and copyright laws. Fans have created Star Wars games better than what studios have done, but they can't be sold or marketed because of laws. These laws hike up the price of products and services. Look at pharmaceuticals: EpiPen was a huge example of late that showed the power of patent laws. The price was hiked up because no one else could make it, and the creators of patented and artificially expensive pharmaceuticals admit that they have no choice but to raise prices to take advantage of patent laws because if they don't do it, their competition will do it for their next big patent-worthy product. They'll eventually be destroyed by the competition doing it if they don't do it, so companies can't be blamed. The government is to blame

[@SpaceRanger187]

Right.Like Tarkov game is made for streamers and such a mess

[@user-rx5qe7iz5v]

@@SpaceRanger187 I always wondered what is so special about this game

[@baldbeardedbassist]

Did somebody say Anthem?

[@tj-co9go]

This is the main reason I play only single-player games (apart from Minecraft), and mostly old ones. Usually I buy them from sales or bundles where I can buy the all the DLC included for the price of base game. I don't buy any subscriptions, loot boxes or cosmetic DLCs that have no impact no the gameplay. In addition, I try to pick games with the most depth and playtime available (at least 100+ hours and replayability). So far I have been quite successful in this

[@whaha]

Good strategy. Keep it up.

[@bolt5564]

That's exactly what I do, If the game doesn't have any in-game purchases available I'm not going to make any in-game purchases.

[@realgoogleuser]

What are your picks?

[@bolt5564]

@@realgoogleuser civilization vi You starts by settling a city and then run your civilization through time.

[@commissarf1196]

Personal experience: For me, I've never spent money on any video games microtransaction and I rarely buy games that require you to pay upfront if I can pirate it, though for console games I obviously have to pay upfront, because I (use to own) a PS2 and you have to buy a physical disk to play the game. Because ever since I was a kid my parents would never let me buy those things (microtransaction and even paid mobile games and for my PS2 games they only buy them for me on special occasion), and because I was a kid I obviously have no money and don't even know how online transaction works, so I can't even and wouldn't even know how to buy microtransaction even if I wanted to. And my parents wouldn't buy them and they always tell me to never buy them, it's a waste of money they said. So it has been ingrained to me, drill into my head from childhood, that I should not buy those things. In fact, that's the mindset of almost everybody here in Indonesia, no one would spend money on micro transaction and we would rather pirate a game rather than buy them. I guess part of the reason is that, we can't afford them. Gaming is seen as an expensive hobby reserve for the rich (or just people with money in general) here in Indonesia, especially high-end gaming. And on the high-end gaming stuff, you'd rarely find someone who own a PS3,PS4,PS5 any playstation above number 2 is rare here, gaming PC/laptop almost nobody can afford them, and Xbox is not really that popular here, so the cheapest option would be mobile gaming, and since almost everyone owns a phone nowadays, is the most popular option for gaming. So for us average Indonesian gamers, our only option is to go cheap, as cheap as possible, like pirating games instead of buying them, free to play games, using cheap computer/laptop that's just barely powerful enough to play csgo and TF2, etc. Even now, after i already have a job, and have my own income, that mindset of doing it cheap still persist to this day. so I guess I'm grateful that I didn't fall in to the trap of constantly spending money on video game and microtransaction, made by predatory and scummy video game companies like EA for example.

[@parsafarjammusic28]

I feel like this concept applies to more than just video games and all industries these days are trying to push some sort of microtransaction system into their business models. You see airlines like Ryanair who charge very little for the actual price of the ticket but charge for even the simplest stuff (such as in person check in). You see tech companies like Samsung that sell you cheap tech (e.g. a budget Galaxy Phone) but then tease you into buying accessories (such as Fast Chargers, Cases, Wireless Earbuds etc) and the list goes on

[@Kronos0999]

The world today is that way. Fake things. SUVs being preferred over sedans despite the fact that both are built on the same platform but the SUV just being larger than its SAME counterpart. Fake faces, fake lips, fake chi-chis.

[@Atsumari]

Everything is becoming a value added service subscription; you can get "premium" service on your new house door camera. Get the newest cloud storage features by spending 9.99 a month so your door can beep at you... Every industry is doing this now and its sad... Welcome to the Internet of things...

[@Atsumari]

Oh did I mention the Google enabled shower-head; it can spray water faster but only if you pay 2.99.

[@rewindoflow]

Honestly, I think you're describing a different phenomenon, although it does involve some of the things talked about in the video.

[@mingchenzhang3113]

Not just micro transactions, also subscriptions.

[@Leptospirosi]

You forgot the "even worse" scenario, when a company putting out loot boxes for real money actually put a closed list of worthless goods you have to all already have or to "get" inside those loot crates, before having a chance to win what you are looking for, but keeps the fact hidden to the costumers. This has been proven to be done by Wargaming and it backfired massively in their face.

[@magnuscritikaleak5045]

In Game economies are abig prpbl

[@TheMoneyInnovator]

I virtually stopped playing video games 10 years ago because this sort of thing started getting bad... I understand why gaming companies do this, but for me it's ruined what a game was. I'll just go back to the old Rome Total War and call it a day. Thanks for the video! I hope someone watches this who's getting into debt to play games.

[@fantasy9917]

Yeah, and then they introduced remasters to catch even people like us, who just like to stick with the same single-player games for years - but if you buy it again in a remastered version, it will run well on the new Windows/hardware you were forced to get, etc.

[@anthonylaviale3021]

It is still very possible to buy great games with no bullshit, but itbdemands following what's happening. In particular there are more indie games every year, they will often be cheaper, more original and less buggy than AAA ones, with no DLC at all or only real expansion packs. In the big budget world, you still some games or even developers that have little to no bullshit DLC. Right now I'm thinking of From Software, Atlus and Nintendo (well, amibos and smash bros, but still better than ea, ubisoft or activision)... Remasters aren't that bad. How many people have the hardware to run Resident evil 3 or ff7? Plus the graphics update can be worth it for some people.

[@fantasy9917]

@@anthonylaviale3021 So true. Some of my favorite games rank among them. Rimworld, Project Zomboid, Mad Games Tycoon (2), Ultimate General and Admiral series, Grand Tactician, Precipice, Battle Brothers, Transport Fever 2... I'd rather play any of them than another AAA action RPG.

[@anthonylaviale3021]

@@fantasy9917 on my side it would be factorio, ksp, hollow knight, stardew valley, nuclear throne, dwarf fortress (I swear I'm not a masochist)... But I also play dark souls, europa universalis, nier automata , doom eternal, zelda and metroid, that are all big budget. Some big studios still make good games.

[@fantasy9917]

@@anthonylaviale3021 Yes, Paradox is probably the favorite gaming company of mine, but I don't think they fit the "minor" category anymore.

[@redtigergaming1467]

It's interesting to see videos like this, honestly as a dude who plays lots of games i really think this is an interesting video we perhaps haven't thought about but now we should. Very Informational and creative love it! Keep it up man.

[@Kronos0999]

I don't even bother with new games now. I just stick with old single player games

[@Iksvomid]

My dude, do you have a favorite game?

[@voidspirit111]

This has been a topic of discussion for the last 10 years. Not that it has spread since most.gamers live in bubbles and echo chambers. Glad he did the video but this is not something new. There have been lawsuits and bans for loot boxes and other type pf monetizayion in the past. But in some countries they just do what they want as long as gamers just buy into it.

[@craigmcpherson1455]

Jim Sterling has been harping about this for years. Unless you've been only playing low budget indie games, it's hard to believe that you haven't questioned this practice. Politicians have been paying attention. Some of these games operate like casinos without the rules casinos have to follow such as displaying odds and age restrictions. The game companies argue that these "digital items" have no value. Oh really? Why are people paying real money for them?

[@ferinzz]

Jim Sterling has been talking about how awful and predatory these systems are for at LEAST 5 years now. The information is out there, the complaints are out there, the proof of how predatory is out there, how unnecessary this is is out there. This doesn't just feed on gambling addicts, but also people with ADHD and other disorders. There was a company that was looking at matchmaking based on the skins that a player has rather than the skill a player has. Emphasizing how important this is to their bottom line. Acti-Blizz made billions of dollars, but the actual developers barely see any of that. Josh Strife Hayes lambasts the economies in free to play games and highlights how it is impossible to get 'the thing you will want' without paying more than it costs. Incentivizing you to spend $50 instead of $30, because there is no price bracket in between.

[@steelers3321]

Perhaps loot boxes should be labelled as gambling

[@Alche_mist]

There are some countries that regulate them in a similar way, most importantly Japan, The Netherlands and Belgium.

[@jablue4329]

Eh, I regularly get loot boxes in Overwatch without paying a dime past the game's initial cost. Got them as incentives to que for more flexible roles, which is a great implementation, imo

[@lukemorgan6166]

Better idea, take responsibility, stop buying and stop supporting loot boxes or virtual damn clothes. All microtransactions have destroyed the gaming industry but its the sad fucks buying them that are to be blamed now. Supply and demand

[@OmDahake]

loot boxes is also a good name as they loot you and leave you nothing

[@kavky]

@@lukemorgan6166 Wow why didn't we ever think of doing that?

[@jason874]

I feel victim to this. Thank you for putting this together; I hope it will keep others out of harm's way.

[@HowMoneyWorks]

My pleasure

[@PassportBrosBusinessClass]

SOLUTION: refuse to buy DLC. Plan B: refuse to buy/ play the game. “THE ONLY WAY TO WIN IS NOT TO PLAY” -War Games

[@Alche_mist]

1. You can't win. 2. You can't break even. 3. You can't stop playing by your own will. - Thermodynamics

[@medotaku9360]

Or just use NFTs

[@brycejohnston7806]

@@Alche_mist disagree you just need to find a big enough why. people have been quitting far worse addictions for all of history.

[@Alche_mist]

@@brycejohnston7806 This was a rather unrelated joke. Those three rules are describing respective laws of thermodynamics and react to the format of the OP's post, but they have no real connection to game compulsion.

[@notarabbit1752]

@Bob this is the way

[@jensenchavez265]

I'm glad more people are learning about this. They absolutely do prey on those who struggle with addiction and social isolation. I miss the days of Warcraft and Warcraft 2, back when Blizzard still had a soul.

[@Iksvomid]

Why didn't Blizzard have a soul when Warcraft 3 came out?

[@jensenchavez265]

@@Iksvomid A lot of ideas that were developed in Warcraft 3 were further refined and released as WoW. Obviously the two are different in many regards but it's arguable that WoW was kind of a natural progression from Warcraft 3 based upon where they were taking the design elements. It's the point where their focus shifted from great gameplay to more profits. People point at their being acquired by Activision as the time when they sold their souls but all Activision was doing was picking up a company that had already adopted similar business practices as them by the time WoW caught their attention and positioned Blizzard as a lucrative investment.

[@lukemorgan6166]

Boo hoo, grow up and take some accountability, stop buying microtransactions and microtransactions wouldn't exist

[@jensenchavez265]

@@lukemorgan6166 Lol, I don't but others do. I'm not crying either, the money I save has been well spent. Not everyone has comparable strength of character though and preying on the weak is loser behavior that should always be called out.

[@nocrtname]

Yeah, it’s the same as the segment of the population that had a predisposition to gambling addiction losing everything to the casino and still coming back for more, who get destroyed by these games.

[@whaha]

As a gamer and as a person who is interested in the economy, I'm really glad you made this video. You make so many valuable points and arrange them so nicely that non-gamers and gamers alike can understand what the issues are with the gaming industry. Now that Microsoft is about to acquire Activision Blizzard I'm even more concerned about the future of the industry. Where will it end? Will we have another E.T. again? When will consumers stop financing all these bad practices?

[@HowMoneyWorks]

Glad you enjoyed it!

[@michadomeracki5910]

We already had another E.T. and it is called Cyberpunk but the industry has fallen that low that today everyone is just used to this.

[@redroyce4590]

Doubt consumers will ever stop financing those bad practices simply because we are humans. One can only hope but :/

[@wilbing8465]

“A fool and their money are soon parted.”

[@__Ultimate]

Microsoft acquired Activision Blizzard, but I do not think that it can get worse with how they handled COD. Battle Pass, DLCs, cosmetics to mention a few things.

[@andrewrockwell1282]

I love how this video is not sponsored by Raid Shadow Legends. I have stopped spending any money on online games, I only spent modestly and have cut the games because they end up eating my life as well. Also me: I am back into paper Magic The Gathering; and if I buy that Toxic Deluge for $20 bucks I can be just a little more competitive in my plays when I want to defeat my opponents.

[@ShadowebEB]

Good point, it's the same thing in the real world lol

[@josesalgado2796]

👏👏👏 Great presentation! Thank you for bringing awareness to this issue, my son has this addiction thanks to Roblox but i was not a good role model either. I personally quit playing Clash of Clans late November 2020. It was taking away from my time with my family and while I wasn't dropping thousands every month I have probably spent thousands on mobile games overall. I personally saw it as a contribution to the developers from some games but CoC was just in it for the money with no improvement to the quality of the game. Roblox is probably the worst offender right now who takes advantage of children and creates this addiction

[@trentonaustin3318]

It takes a really big person to admit they had / have an addiction, & an even bigger person to walk away from it. Good for you for recognizing your issue with Clash of Clans & putting it down. That's pretty huge. As for your son? I don't want to give parenting advice to a stranger...but YOU'RE the parent. You've got control over what he watches & plays. He may be angry at you in the short term, but limiting his screen time & scheduling when he can play Roblox versus read, write, ride a bike, play outside, draw, paint, etc, etc, etc...you have the power to determine that.

[@HowMoneyWorks]

Glad to hear you gave it the kick. I agree with Trenton, it's not easy to admit you had a problem especially when it is something seemingly so innocent.

[@josesalgado2796]

@@trentonaustin3318 I agree and feel ashamed that it's taken 2 strangers and a youtube video to get me to do something my wife has been bringing up. It won't be easy but I will ween him off the game and show him what his time and money can be spent on instead. He's 6 so its definitely something that needs to be fixed now

[@trentonaustin3318]

@@josesalgado2796 Hey man, no shame here. The GOOD news is he's only six. Would be a much more difficult conversation if he was sixteen. lol I'm not saying take Roblox or video games away entirely - I've been a gamer for 30 years at this point, so I'm DEFINITELY not advocating that. However, all good things must come in moderation, or else they are no longer good.

[@trygvehalsbutenschn1125]

This might be the most constructive comment thread I've ever read😅 As of right now I'm 21 years old and already very thankful that my parents limited my screen time growing up. So I wouldn't be to worried

[@apc9714]

Even the guy famous for the (awesome) "defending the indefensible" serie can't defend EA

[@MJ-uk6lu]

EA is basically big digital tobacco, but on roids.

[@Loctorak]

@@MJ-uk6lu incorrect, because if you ask tobacco smokers if they're happy to be using, they'll usually say yes. Yet to see the same thing happen for EA. Ever.

[@MJ-uk6lu]

@@Loctorak If they weren't "happy", they would let EA croak, but they buy their shit.

[@Saarth_]

Now imagine gaming companies adding another layer of monetisation with NFTs and Cryptos. What a nightmare that will be.

[@domagojgalekovic8507]

Not gonna happen on steam baby, Valve already put a ban on crypto games and crypto integration. Furthermore it looks like the average player wants nothing to do with as evident with STALKER 2 boycott due to an NFT project which was bollocks. Not to mention that the steam cosmetic marketplace is pretty much NFTs without extra bullshit.

[@nikola8140]

@@domagojgalekovic8507 "Not to mention that the steam cosmetic marketplace is pretty much NFTs without extra bullshit." actually true LOL, why would they add NFTs when they already have it

[@Felhate]

Ubisoft: WRITE THAT DOWN! WRITE THAT DOWN!

[@immortal8447]

I just got an ad for a crypto game while watching this lol

[@thesoundofnow1710]

why Imagine it! is already a thing in many metaverse games like the sandbox and decentraland. more will come

[@demons27]

Governments recognize the behavior when it comes to Gaming companies using Lootboxes to get items through unfair practices. Some countries are fighting this. They'll: Either ban the game from their country due to "gambling practices" (Greece), or to age restrict the game to 18 years and up(Japan). Lootboxes have changed. Before it was just to get a rare item, but they changed it due to the unfair practice of dumping tons of money to get that rare item. Now, most lootboxes now are for cosmetic purchases. I came to know some of the practices the gaming industry does because I'm a recovering gaming addict. So I find the legal side of this fascinating.

[@Bittzen]

In the beginning, those games like elder scrolls oblivion and Skyrim had little dlc content or cosmetics you can buy, but that was fine because the base game was solid and could hold its own weight without extra content. Now, however, games are released with real-life graphics but really dead content. Skeleton content that gamers are promised the meat will be added to if they just stick with it and hold out, most of the time not happening or not enough. Elder Scrolls Online, for example, has many microtransactions for cosmetics, but the game is good even without it. Games like Halo Infinite, however, are taking advantage of patent and copyright law. The flaw with having copyrights and patents is that it stifles competition and is worse for the consumer. This was all inevitable as the industry evolved, and the solution is very simple: repeal patent and copyright laws. Fans have created Star Wars games better than what studios have done, but they can't be sold or marketed because of laws. These laws hike up the price of products and services. Look at pharmaceuticals: EpiPen was a huge example of late that showed the power of patent laws. The price was hiked up because no one else could make it, and the creators of patented and artificially expensive pharmaceuticals admit that they have no choice but to raise prices to take advantage of patent laws because if they don't do it, their competition will do it for their next big patent-worthy product. They'll eventually be destroyed by the competition doing it if they don't do it, so companies can't be blamed. The government is to blame

[@tedbendixson]

Thanks for shedding more light on this. I make games as a hobbyist, and I'm looking to build an ethical business selling puzzle games for a flat price. It's really disheartening to see all of these so-called "AAA" studios basically bilking their customers out of money while providing a terrible gaming experience. Meanwhile, over in the indie scene, there are people who just want to get paid to make good games. We won't go get a job in the game industry because so many companies would have us building predatory psychologically addictive trash. I'm not sure what the answer is (maybe regulate casino-like elements in video games the same way regulate physical casinos/gambling), but I do hope consumers are becoming increasingly aware of these scam tactics and are pushing back by not giving a dime to these companies. Burn the predatory studios to the ground. Salt the Earth. Give your money to people who make real games, and only pay a fixed price for it. Ethical game studios exist. They don't have as big of a name or budget, but their games are much better and they respect your time.

[@stevegruber4724]

I involuntarily read "so-called 'AAA' studios" the the shrill voice Steph uses when they say that term in Jimquisition videos and need somebody else to enjoy that fact.

[@tedbendixson]

@@stevegruber4724 I wish we had better AAA games. It's a bad situation. I have this really amazing gaming PC I've built to experience these high budget masterpieces, and I would pay for more of them if they were any good.

[@arnowisp6244]

Or be called Mihoyo and make Waifu gacha games while rewarding players with high value animared shorts made on their YT.

[@captainhakob814]

@@tedbendixson don't know what kind of style your games have, but I have the ability to wright lore, quests, and stories lines like no other. Your the kind of person I need to start talking to, it's a dream of mine- writing side quests or side stories for games.

[@tedbendixson]

@@captainhakob814 Let's link up. [e-mail] I mostly make puzzle games, and right now my biggest problem is finding interesting gameplay. Once that is more or less solved, I can start bringing in more of a story.

[@ryaeon9793]

remember indie games. dont trust kickstarter with weird promises. never trust AAA companies. you can trust single player games 90% of times.

[@Loctorak]

That last sentence/claim is almost definitely incorrect and misleading. What led you to that conclusion? Anything beyond anecdotal evidence? What do you mean "trust"? The safer attitude to have is that _no_ games _or_ devs are inherently trustworthy or working with your interests in mind. If some prove you wrong, great. But most of them wont. The rest I agree with

[@tj-co9go]

6:48 Worst type of games? I immediately thought to myself "Electronic Arts". I was expecting EA to be mentioned at this point, and I wasn't disappointed

[@damienhansen7553]

I'm a Gacha gamer, years ago I had a whale guild member confess after always acquiring everything in game that his wife had left him, took the kids & he was at risk of losing his house because he hid the credit card bills, then his game account went dormant. That always stuck with me.

[@mrluthfians01]

damn, i played 2 gacha games(gbf and honkai) but never put any money on it. cant believe some pep can be that addicted

[@damienhansen7553]

@@mrluthfians01 right, to be that addicted to something you dont even own when you buy, happens all the time though huh.

[@staredecisis8415]

I have been telling people about this exact phenomenon for years now. How companies exploit the innate addictive tendencies of humans to subtlety drain gamers, many who are children, of hundreds and thousands of dollars through micro transactions. I have known so many people that have spent so much more on a free game than they ever would have on a traditional $60 paid game without micro transactions. It’s gambling for kids and it’s F’d up. It’s one of these issues that unfortunately most people outside the gaming community don’t really appreciate or understand. Thank you for making this video, glad to see someone actually talk about this.

[@christophernuzzi2780]

This is why I LOVE retrogaming. There's nothing like going back to the old days when your console wasn't connected to the internet (because the internet as we know it today did not yet exist).

[@clark987878]

I'm a victim of mobile gaming... 5 years... thousands of dollars... it makes me sick but like they said I have all my friends in the game and run a successful guild with a family member. It's something we started to bond over but ended up become a shackle I feel guilty introducing to the family when I was naive to how free games worked...

[@aravpanwar2431]

All this predatory monetization of video games made me leave gaming for the most part. I guess it was the right decision. If you are thinking of quitting, just do it. It is more memorable if you leave rather than get tired of it and trust me you will. Probably not now but soon enough. Gaming is not worth it unless you got time to burn. I do, I just burn it where I am not cucking myself.

[@redtigergaming1467]

I mean is meant to waste time just like any other type of enterteimnnt. But these companies know the climax and can exploit hella money from these enterteiment industries, And i mean is not bad if you just play them for fun or etc, Just don't be too obsessed with it.

[@michielecker]

To me this depends on your personality. If you know you're sensitive to this kind of social affirmation than yeah, best to quit. If gaming is nothing more to you than a moment to relax and have fun and you can easily resist any temptation of P2W stuff or games, then it's all fine. I guess it depends on your life. I would also not have the time available to waste more than a couple of hours in a game. So, wasting a bunch of money would be, well, wasteful.

[@archmagusofevil]

I live in the indie game scene now. There are a lot of gems there and they almost always ask for an upfront cost and nothing else. Hell, I once bought an indie game and had it expanded to 4 times its original size at no cost to those who already bought it.

[@villevalste1888]

Indiegames do still exist. Plenty of fun games out there that have no DLC.

[@demons27]

I came across some games that happen to get the play-to-win vibe but their content was extremely shitty. Players don't care as long as they get their superiority fix.

[@darkranger116]

The predatory monetization doesnt just end with hack-boot phone games and AAA first person shooters. Its also in strategy games. CA has actively used total war warhammer to draw in younger and younger crowds while simultaneously implementing FOMO strategies with their product.

[@dario8433]

Man, with every new video you make, you wow me even more than with the last one. This one finally made me want to donate to you monthly to support your great channel. I've got one question tho, on which platform do you get the bigger cut out of donations, KZbin or Patreon?

[@HowMoneyWorks]

Patreon! I really appreciate your kind words and support :)

[@alanhonlunli]

This has led to the rise of indie gaming, which in itself is sort of like a new golden age in the industry.

[@amirhm6459]

I think it is beyond that. Indie game is very saturated already and now is not so pure anymore. Giant company buying small Indie game studios and controlling the end product. And it is sad when good pure indie games is not get enough visibility because need to competing with Giant company with big marketing budget.

[@r.a.6459]

You know that Rothschilds control the world right?? Do you think you have any choice??? Every video game, every entertainment media, every movie, every stuff you buy, all are a direct/indirect product of the Rothschilds. That said, you're the product.

[@versuzzero5335]

Being a free player in a pay to win game feels like being an easy npc against paying players.

[@mondoseguendo6113]

Sounds like life

[@scorbiot]

I hated microtransactions and lootboxes from the start. I can feel morally superior about this, but I was never the target audience. At least I never spent a cent on any unfair online videogame, which is nice, I'd say. It helps I play mostly single-player games, which are harder to monetize and whose players are less receptive to those practices.

[@aangitano]

I'm the same as you! I remember when DLC became a thing and i got really upset when developers were using it as a ploy to ship unfinished games but for a few more $$$ here's more story line. Like, wth? (Looking at you Destiny & No Man's Sky!)

[@user-rx5qe7iz5v]

Videos games are peak right now and I would honestly give all my money to every addicting game I play. I also discovered my love in gambling

[@baronvonfaust]

@@user-rx5qe7iz5v how's it all going for you now? Are you still spending a lot on gaming and gambling?

[@noahyannis2465]

If I enjoy a game and play it a lot, I don't mind spending some money on it. What I noticed however was, that whenever I was regularly playing these village-building games like Clash of Clans or Dawn of Titans, I was constantly glued to the screen and would spend more time playing them than I was working towards my real-life goals. That's why I deleted them and avoid playing them again in a competitive way. Anyone else feel the same?

[@jacksonsutrick1361]

Yeah, I'm with you. Used to play a lot of COD and Star Wars Battlefront. Never really spent a lot on them, but I would rather play that than do stuff with my parents. I slowly transitioned to noncompeditive single player games and I was able to just back off the keyboard easier. I still rely on escapism more than I should, but I'm getting better about it and I feel you sir/ma'am

[@heikoguckes5693]

Sometimes I buy games that do not offer DLCs or subscription just to thank the developers.

[@joemoma154]

My #1 recommendation every time I see things like this is to support Indie/Smaller developers. Games like: Kenshi, Songs of Syx, Grim Dawn, Risk of Rain, Terraria (not really small anymore but still!), and the Mount and Blade series are all great examples. I would like to put a lot of stress on Kenshi and Songs of Syx. Amazingly good games.

[@user-rx5qe7iz5v]

Videos games are peak right now and I would honestly give all my money to every addicting game I play. I also discovered my love in gambling

[@Loctorak]

Mine is to _stop_ supporting the opposite end of the spectrum and buying the same god damn FIFA game every 12 months for $130 - it's a scam designed to make you feel you NEED to upgrade the game despite nothing actually being added to it. Or to stop buying games from Bethesda since they're always happy to exploit their loyal supporters for a quick buck Or stop buying call of duty every time another fever dream spin off comes out. See this is the problem. Gamers these days are shockingly undiscerning when it comes to recognising value vs exploitation. People suck at it, and then even when shown how they're being exploited, the avg Aussie response is (bafflingly) "ah well, i still get to play my game so whats the problem?" You, dear hypothetical person i just made up. You are the problem and your ignorance and shallow interest in gaming make you ultimately parasitic. Exactly the sort of person who needs to take a walk from this project and never come back.

[@mage3690]

You know what made me giggle a little? You were explaining addictive behavior so well . . . and then the outro hit.

[@ranterraver5959]

Awesome vid bro! I always wondered why there were so many “free game” ads when I watch KZbin. It also explains the graphics and why they look so “casinoey”. I could definitely see why people get addicted to this crap, and I’m glad you shed some light on this.

[@tengkualiff]

Its sad that "P2W" is now the term associated with video game monetization.

[@Spartan0430]

what's even more sad is that 'unregulated gambling' is associated with video game monetization.

[@johnekopy]

Thank goodness I've never struggled with video game purchase addiction. I can't keep whiskey in my house, but the video games are all good.

[@thonyarrieche]

Morning Brew is great! I'm glad to hear you are sharing it. Easy reading, great content!

[@Xdddd422]

Ooh i wanted a video about this for so long . Thank you for bringing this to the light.

[@jtyrellv]

Part of the predatory aspect is that game developers have AI systems in place that will adjust gameplay and make it harder for a person that either doesn't pay extra money or hasn't paid any money in a while in order to advertise a micro transaction that will not give the advertised advantage because after the purchase, the gameplay is adjusted back to normal levels.

[@nicholascurran1734]

NBA Jam baby

[@jtyrellv]

@@nicholascurran1734 very very true. But I personally feel like that was more rubber banding to keep/maintain tension.

[@nicholascurran1734]

@@jtyrellv for consoles that's true, for arcade cabinet it was the beginning of all this

[@faustsin9366]

Honestly Tales of Arise did this and nobody called it out!

[@plumberman19]

This is conspiracy theory bullshit

[@Admiral_Grufus]

I recommend playing indie games. If you want two space examples: X4 Foundations and Space Engineers. They both have DLCs, but they aren’t required for the games, true extension packs

[@HibiscusWizardsStudio]

Brilliantly explained, Thank you so much for your work!

[@xman7695]

Yup, this is exactly right. as one of those paying players in a mobile game, I can say I experienced everything. What wasn't mentioned was the constant devaluation of the purchased stuff so you had to pay again just to keep up.

[@hegarciarivas]

Thank you for making this content!! Young adults who grew up with the old style video games (buy at the beginning and that’s it) can see the difference and how these companies play with your mind and emotions so they can get their hands in your wallet. But kids, they have pretty much no chance against them and are really getting hurt for the rest of their lives. Parents (every grown up really) should look at gaming almost as dangerous than any other vice in regards to kids. And don’t think I don’t like video games, I do, but I think a line has been crossed when they mercilessly target vulnerable parts of the population (same goes for you, social networks)

[@evannibbe9375]

Alternatively, have the parents use a video game engine like Unity, Godot or Unreal Engine in order to design simple video games for their kids to play. This then allows the parents to remove the monetization scheme.

[@YoshuaYoshoka]

@@evannibbe9375 or only buy them single player games that don’t have any practises even remotely similar - thankfully there’s still many games you can buy once and get everything out of Hell maybe even introduce old games that still hold up from the days before this monetisation shite

[@BN-ff3nw]

Was half aware of this while playing Master Duel (as someone who has never played these kind of "free" games before) but it's nice to see it summarized in this video. Always remind yourself that if it's free, there's a big chance you're the product.

[@arvidschwerin7340]

Thank you so much! I actually wrote the German ministry for family affairs about the predatory business models and the answer was long but underwhelming. It's really hard to explain the mechanics behind the business models to regulators and you did a fantastic job!

[@ricketybridge7059]

I appreciate you making this for us !

[@NicholasBrakespear]

A little addition worth noting about the 90s - the general attitude used to be that developers would often add extra content for free as a reward for customer loyalty, and almost an apology, because this additional content (a few maps, a few skins etc) would often be bundled with a patch. So it was the developer's way of rewarding its fans, and simultaneously apologising for the fact that they had to fix something. In the case of Unreal Tournament, for example, a number of "bonus packs" were released that by modern standards would be paid DLC, featuring as they did maps, skins and models. As for expansions; the pricing model was pretty clear there too. Expansions were often quite large - perhaps a quarter the size of the entire game. Some of them were bigger. But because they were expansions, the average price was about £10 ($15-20) cheaper than the main game. In the UK, most expansion packs for PC games were about £15 to £20 during the 90s and early 2000s, with a peak price of about £25 post-2000. An important thing to note about this whole thing however is that the notion that computer games grew more expensive to make is a myth, born of PR and people who don't understand how business works. The cost of making games did NOT go up; INVESTMENT went up. And investment went up, because profits went up. The actual cost of making games went down, due to the advent of better technology, better tools, a growing baseline for programming knowledge, and an ever-growing supply of experienced developers and designers. The modern business trends of the gaming industry have absolutely nothing to do with necessity; they did not start gouging people in response to increased costs... they started gouging people in response to increased profits. It's important to understand that it's this way around; it was not the response to an industry struggling, it was the response to an industry that was booming and running laps around all other entertainment media. Additionally, it's about time that we discarded this notion that such practices are "clever" and merely "capitalism at work". They're not. They're amateurish. If the biggest publishing companies are resorting to the same kind of sleazy tactics as casinos and drug dealers, tapping into the potential addiction of players, they're not canny businessmen. They're not doing something clever. They're doing something very, very old, and something that does not produce long-term stability in the industry, but instead contaminates IPs, disrupts technological progress, and gradually pushes actual talent away. Which is what we're seeing right now, with all the big publishers in a state of turmoil, their portfolios of usable intellectual property left ravaged and decimated, and an ongoing exodus of developers who have realised that there's more money and happiness to be found with the indie scene, or smaller publishers.

[@JP-JustSayin]

Great video covering predatory micro transactions. Needs a sequel that covers so called play-to-earn games.

[@andydataguy]

I love your Eve series. Never played before. But the parallels to reality is fascinating and your insights are super captivating

[@dranez305]

In game purchase -> price discrimination to maximize profit is an idea that makes so much sense, yet I did not realize until watching the video. Good job!

[@herumuharman6305]

Microtransactions and hyper monetizations don't only happen in online games. These things have already affected single-player games. And it only makes the game industry worse. With microtransactions, game developers are now incentivized to alter their game in a way that makes their players want to spend. One example would be xp boosters. Imagine that, xp boosters in a single-player game. You essentially pay not for something new; you pay so you can tweak the gameplay of a game that you already have in your system for a short amount of time; imagine that; they have basically monetized cheat codes. So how does this affect devs? Well, they make their game more grindy, of course. Another thing that I notice is the difficulty curve. Before, there were basically three levels of gamers; beginner, regular, and expert. As a beginner, you'll spend time learning the game's basics and acclimatizing yourself to the game. As a regular player, you started playing the game normally. When you have increased your skill further, you become an expert, which all the player wants to be. And this is how the game industry changes it with monetization; they widen the regular phase while shortening the beginner and the expert phase. Why? Because people in the regular level were the ones who would spend money the most, these are people who want to be an expert, so if they can achieve it quickly with cash, why not? How do they make the beginner phase shorter? By making the game simpler. And how do they keep people in regular phase longer? By making the game grindy. It's as simple as that. Take Assassin's Creed franchise for an example. In the last game, before they implemented microtransactions, the gameplay was fun. The gameplay has mechanics where you can execute a counter kill, basically killing your opponent with a single strike. And there was also execution streaks, where you can maintain a chain of one strike kills when there are multiple enemies. These mechanics weren't easy to use, but they weren't also that hard to master; basically, you just need to have decent gameplay hours to master these. And then Assassin's Creed Unity came along with microtransactions, and everything changed. The moment Ubisoft implemented microtransactions, they removed every instant kill mechanic. If you want to defeat an enemy, you need to have a better weapon and armor than them. They dumb down the game. If before you can finish the game with your starting equipment, as long as you have the skills, now skills mean nothing. They change the battle from where it used to be full of technical skills to a mere bashing competition. Why? Because you can use real-world cash to purchase weapons and armors.

[@phantomthunderclap975]

...which is why that franchise is dead to me.

[@brianbentz2484]

Great video! The attention economy is terrible for those susceptible to addictions. Could you do one like this on social media?

[@kaiserkygaming]

This was a very interesting watch. Great vid!

[@tensebeastgaming8527]

Love the not-so subtle dig at the very end.. absolutely classic

[@iymenabdella1774]

I like the comparison HMW is making to casinos, but there is one MAJOR difference a casino and a video games: Age. Toddlers and elementary school children arent allowed into casinos because they cant spend money responsibly, yet video game developers exploit that lack of financial responsibility. I think its a pretty big point worth mentioning because developers exercise the strategies HMW mentions, but on a much more impressionable audience. Imo this makes them far worse than casinos morally. Overall great video HMW man, look forward to seeing more!

[@stainlesssteellemming3885]

Wait - who lets their kids have the CC details so they can spend it on game micro-transactions? "Toddlers and elementary school children ... can't spend money responsibly," applies generally in life - and I'd argue that parents who allow their kids to spend irresponsibly are also financially irresponsible.

[@iymenabdella1774]

​@@stainlesssteellemming3885agreed to some level, but a lot of parents arent aware that games are built this way. They probably put down the CC because it keeps their kids playing for another hour or whatever. The fault doesnt always lie with the parent because there is a sort of manipulation going on that most adults have never dealt with before

[@financeclubyt]

Notification :)

[@silversurfer5475]

Interesting video. I'll be watching for these things in my game of choice. Cheers!

[@nero008]

this is such a smart way to approach this topic !

[@LC-uh8if]

Even worse is when its not so bad at first, but after you've been playing for a while they turn the microtransactions up to max.

[@Gabriel-sd9cx]

Great video! Really impressive and informative. In the media the new technologies are always on a pedestal and this is basically a reflex of it in our lives during the last few years. Better lifestyle for those with money to pay, more practical ways to achieve our goals, but totally exposed and as vulnerable as ever. With the new ways of collecting and analysing information, discovering how to make someone addicted to a product was never as easy as it is now. Meta is still under development, looking like some cheap MMO that shouldn't be even in beta, but it could have been a good addition to the video. If the so called immersion they promise turns out to be true, things are going to get really worse from now on. I mean, people are already betting on virtual pieces of land.

[@mattanderson6672]

Good points!! Thank you!!

[@littzy5576]

Love you content thank you for all the work you put in

[@HowMoneyWorks]

Thanks for the support

[@zerodyne5333]

I like the general vibe of the video, but the idea that an artist takes a mere afternoon to design and create a 3D model contributes to the exploitative practices of game companies of their workers. Yes, some of these skins are criminally minor in changes (changing colours is not even a few minutes), 3D models tend to be a much more involved process that requires approval from leads which can often take a few weeks, depending on the complexity. Yes, there's plenty of artists who stream working for a few hours but they're not beholden to certain constraints of game engines or styles which does speed up the work quite a bit. Then there's the very few artists who really can get it done in an afternoon... guaranteed they don't get paid proportional to their skill and experience, again due to the exploitative nature of the game/animation/VFX industries.

[@chillaxboi2109]

Thank you, thank you. "Developers spend no time making this games, no effort put into them" "The industry is passionless" Makes it hard to read most people here because they themselves don't know anything that happens behind the scenes.

[@lifeb4game]

@@chillaxboi2109 regardless they exploit people. And to honestly say that mobile games like candy crush takes teams of people in multiple departments to develop is preposterous. A game like that can be churned out fairly quickly (not in an afternoon obviously) but the turn around profit vs effort spent is hardly proportional compared to indie devs that try to make a genuine product. Or even a scummy AAA title like a FIFA game.

[@chillaxboi2109]

@@lifeb4game Success is not guaranteed. And as much as I dislike FIFA for its lackluster gameplay, their core, loop, modes and settings are up to par. It's a good game, bang for buck as long as you don't play Ultimate Team.

[@ShaneHummus]

Great video! I used to love hopping on call of duty just to wind down in the evenings. Now with "skill based matchmaking" (aka gamification designed to get you addicted while calling itself something else) it does the opposite. I feel like I have to sweat just to get a positive KD

[@carltonmiller6701]

Online games nowadays are like sports

[@OscarUnrated]

I don’t see why skill based matchmaking is so bad. Now the beginners who everyone preyed on and couldn’t improve actually have a chance

[@amosamwig8394]

@@OscarUnrated Takes the fun away for good players since every lobby feels like a damn tournament and nobdy preyed on beginners, we had lobbies with variations some where challenging and some were layback, and thats what cod is all about. And what you mean noobs couldnt improve? those same "noobs" later became good players I learned it this way aswell so what you say is not correct.

[@beebo7071]

5:47 the wale’s share of the profit goes to the CEO, board members and investors. They’re privately owned corporations so only the minimum amount of money goes to the developers who are often contractors to prevent them from qualifying for benefits and also works to atomized them so if they try to unionize they can just let the contract run out. Great video very informative!

[@Szarps]

Glad that you made a video like this for the more general non-gaming perhaps audience or for the more casual part of it, its important that this kind of practicies are better understood by the general public as this worse than casinos and usually games with this ideas in mind tend to be so terrible that offer next to no value in exchange unless you pay for it. Only one note tho, the next "worst step" on a game isnt exactly free with cosmetic followed by paid with DLC, yes its pretty annoying but usually a game that is free with optional more "cosmetic" stuff for sale is around as good as a full paid game without any DLC, maybe even as good as a free game entirely given the value is great, sometimes people is just happy to pay for something of clear quality and love put into it, many indies come to mind on this

[@incurableromantic4006]

The games industry has essentially learned all the dark arts the gambling industry has perfected over the years about manipulating human weakness. Most of them deeply unethical, and which caused gambling to be regulated in a way that the games industry isn't. "Free" is always the most expensive type of game.

[@Loctorak]

Gaming has had minimal effect on gambling regulation, by itself. Sometimes gambling regulation WITHIN certain circles or companies may change but it's always game regulation shifting to try to allow or disallow gambling mechanics for companies. Govt will _never_ do something like restrict poker machines in pubs because of something happening in a video game, for example. But the binary opposite (the game industry as a whole changes to accommodate what gambling "needs") has definitely happened several times. So you see it isn't equal. Gambling gets some special status of diplomatic immunity shared by nothing, while games are ravaged and tainted for the "benefit" of gambling/gamblers. Gambling has destroyed the industry for gamers, not the other way around.

[@astrahcat1212]

The problem happened with the move from physical box games to digital games.

[@wt6115]

THANK YOU SO MUCH! I highly recommend people watch this video before playing any gacha and mobile games. Like, a mandatory watch.

[@forevermasteri4330]

A super informative video; well done. Extreme corporate greed is almost-certainly the worst aspect of the video game industry, heck it may be the single biggest plague or evil of most profit-driven industries today. Just... how many millionaire and billionaire investors focus far too much on $$ statistics over ethics?

[@r.a.6459]

What else to expect? Capitalism is tightly rooted on secularism - relegating God from life. You see the lives of billionaires and trillionaires... always about money money money money!!!! Their lifestyle reflect a Godless life. When I hear they're going to Mars, I bet they're going there for money - drilling resources to rake in profits, not for science. And wonder why our climate is changing for the worse, heatwaves here, record flooding there and so on.

[@FinancialShinanigan]

Perfect video after hearing Microsoft is acquiring Activision Blizzard

[@JezebelIsHongry]

This was their Metaverse play. You don’t matter to game companies. It’s a business. But for the first time a change is being offered and many are pushing back. They are like prostitutes who were getting railed for free who were given an option to at least earn some money for their services. But they screamed no!! I want to continue to get trained all day for free. I’m talking about NFTs. All this will do is allow you to own each individual skin. To have your items controlled by you on your wallet and not the sever. If you want to sell a few skins or all when you are bored so be it no need to sell your entire account

[@susk3326]

I think there is a huge untapped demand for good quality games that are just one time pay ( for ex grid autosport) I mean I don't feel like playing any mobile games now as they are mostly money sucking bs Also I think Apple arcade subscription is much better than all these pay to win bs

[@DogginsFroggins]

So regular games? This exists already?

[@susk3326]

@@DogginsFroggins I meant in the mobile space

[@Origami84]

@@susk3326 It's unlikely, pal. These are games normally meant to be played in small chunks of time, those 5-20 minutes you spend in the bus while going to school or work. Or, you know, when taking care of your "business". There is no need for elaborate quality games on mobile, just for things that can distract you long enough.

[@CreepyOwl18]

@@DogginsFroggins Problem is many regular games are becoming like what this video describes. See Halo, Call of Duty, Battlefield

[@flamingcatofdeath1605]

Steam.

[@sofieberger8851]

It is much worse. Some games BORE people on PURPOSE. Cause theire stats tell them bored people spend more money to overcome said bore-dom. It's a new level of psychological monetarization warfare.

[@tomseiple3280]

Sunk cost is both monetary and non-monetary, which makes it even more predentary, even for people like myself who KEEP SPREADSHEETS for maximizing in-game outcomes. Just the action of keeping logs, understanding the currency, developing strategies for playing and avoiding traps is... itself a trap. How can you justify walking away from a game that not only took a few hundred bucks from you but also represents a master's thesis level of mental investment to maximize? It is important, as with any addition, to always remember: you can walk away and start over tomorrow. No level of overstepping your personal boundaries is worse than repeating it again the next day. Like alcohol, weed, porn, or any other potentially addictive activity, tomorrow is always a new day with new potential. Do yourself a favor; before you start a game, establish limits. I have ADHD and this is very hard for me, but extremely important. If it is too late for that, or you overstep your limit, know that you can always start over tomorrow and be kind to yourself. Build new habits, take a break, talk to a friend or therapist. Stay safe and healthy out there fellow gamers!

[@ef3001]

You can walk away from your gaming, gambling, alcohol, drug, porn, whatever addiction just like when you walk away from your current employer and switch jobs. There's also sunken costs when it comes to your job. You may have given some of the best years of your life to your current employer. But if you're no longer fulfilled where you are, you still need to walk away and go elsewhere. Somehow, it's harder for people to walk away from the current addictions they enjoy than the current source of their livelihoods.

[@brookrichardson1373]

I deeply dislike free games, not because they are free, but because they do not offer the kinds of singleplayer campaign experiences I enjoy.

[@trulystupidgaming6642]

Epic games offer games every week for free, and some of them have good single player campaigns. No joke! Not all free games are bad.

[@chillaxboi2109]

Most free games are free because its a form of advertisement in and of itself. They promote high levels of engagement as the game utilises ads watched as its form of business, same as social media. They need more people so single player features are obviously not as advanced.

[@barrygormley3986]

20 year old me- *Gets made fun of by other gamers for not playing online games.* 30 year old me- BAHAHAHAHAHAHAHAHAHAHAHAHAHAHA!

[@okay9574]

“selling a game once is great… but” gee I wonder if having deeply artistic endeavors intersect with a “profit motive” might have consequences that tank any profit that could’ve been seen while also delivering faulty, half products to consumers that aim to bleed you dry above all else. great video!

[@commonaffection1703]

Sad to say but this was the reason why I stopped playing video games in general. Being raised by a single mother and into a family that wasn't into games already made it hard for me to get into video games but now that I'm older and could finally afford a proper high end rig with my own money (I'm 26 now), I just felt like I moved on from playing video games and while I do want to go back to gaming (and actually not pirate it this time). Its just sad to see what the gaming environment has turned into these days.

[@leoe.5046]

If you're dropping $2k a month in clash of clans, you're gonna be maxed within a few months

[@Squatch_Rider66]

Never trade real money for fake game assets. Good explanation and vid

[@HowMoneyWorks]

Thank you!

[@stapleman007]

*cough* Crypto Currency *cough*

[@thegoodsheep]

Great information break down

[@nadeemchaudhry6585]

Another great video!!

[@oiinahgiiusadurrybrahchuck7209]

Gaming developers are also now capable of maliciously employing algorithms which could assist operant conditioning of players with controlled delivery of reward triggers by tracking and dictating when players will get a ‘win’ in order to keep them engaged, or likely to spend money for a win. This stuff is powerful psychological conditioning, has historically been considered thoroughly unethical and can create immense revenue projections, and it’s a pissy amount of work for an algorithm. Also: people who spend more on the game can be given shadow-benefits too (thus, spenders incentivised to stay by having a more enjoyable experience)

[@curtisrenninger1886]

I see lots of comments talking about it starting with microtransactions and dlc. IMO it was the ONLY purpose digital(non-board games) games were ever made was maximum monetization. Let's not forget arcades. lots of those games borderline impossible. With cheap deaths and ridiculous time limits all in the name of getting one more quarter out of someone. Then the crossover to home happened. Why beg for one quarter at a time when you can sell a prohibitively expensive product directly to the consumer? Then once you have access to someone's personal life you bring on merch and accessories and more cheap quality games all the while the product itself was technologically inferior to its arcade counterpart but made people feel better about where their money was going cause now they own the product. It's really simple video games ONLY real purpose is to syphon money from your pocket one way or another.

[@InsideCorporatePlaybook]

Welcome back! Missed your videos.

[@HowMoneyWorks]

Thankyou! I was being slammed at my day job in the new year but I should be back to regular uploads from now on.

[@floki9493]

Im subscribing. You thuggin bro 🔥🔥🔥👌🏽

[@blas_de_lezo7375]

wouldnt it be cool if there was a law that said "the maximum amount of money you can pay for aditional content cannot exceed the price of the game itself".

[@FriedCandle]

While I do agree on the main point of the video there are some things I really disagree on. The line "It only took an afternoon to make this 3d model of horse armour" is such an unfair way of phrasing it. It takes a lot of skill and time to make 3d models and saying it that way is really disingenuous. The second point is the worst to best game line. That is such an oversimplification of the problem. Saying that the "best" games are free games just does not make any sense at all.

[@michaelfortier7726]

In the sense of the video, it makes total sense to say it only took an afternoon. The game developer is paying the artist an afternoon of salary, whereas developing actual content from start to finish will take weeks or months. Also, the best to worst scale is referring to best and worst ethical aspect of a game, nothing to do with how fun it is to an average gamer. You are losing the context of the video by focusing on individual phrases.

[@crazyconan28]

It's sickening. I'm glad I had an experience of pre dlc/micro transactions being born in the late 90s and not playing games that used these methods. I hate that my younger siblings are growing up in this age with games and apps that are forcing them a half baked product.

[@Stroporez]

I already had thoughts in line with information presented in this video. However this content greatly expanded and systematized my understanding of these materials unethical monetization practices.

[@edpaolosalting9116]

Thanks for at least noticing this. This has been going on for a very long time now. Also, be careful of your mind. The problem with monetization and the laziness and gall of the video game industry has become so ingrained that sometimes blind stans defend such practices. Case in point: Cyberpunk 2077 before release.

[@darthzaphod3942]

What’s sad about Clash of Clans is, I know people who spend 30-60$ a month and really only progress at a slightly faster pace than those like me who spend a fixed 5$ a month. What I find more unfortunate is when those people go inactive, I end up just catching up to them rendering their hundreds of dollars spent utterly useless.

[@demons27]

I've heard stories about this. Some players would spend from (admitted publicly) $20,000 to about $100,000. All to 'stay competitive" I mentioned to players on this one game how addicts they are, but they don't care & continue playing a very shitty game.

[@darthzaphod3942]

It baffles me to think about how non wealthy people would squander what could be their retirement on something like a mobile game. They can be fun short term, but is it really going to change your life in the long run, incredibly unlikely.

[@lukemorgan6166]

You still spend money on that crap. You're still the problem

[@chillaxboi2109]

@@darthzaphod3942 non wealthy... Made you sound like the most posh person to ever live on Earth. Yes, people make stupid mistakes. People also live stupidly hard lives where the only gratification they can receive is instant. I'd say more than anything, it's how we have set up lives. Some need and some have. Some have way more than they need so they give while getting more. Some need more than they could ever have so they die trying to live.

[@garyp3472]

@@darthzaphod3942 Especially with you just constantly creeping up on your $5 a month waiting for them to take A-day off so you can catch up And ruin everything for them And making you the big winner in life and them the loser. Well done sir, well done.

[@AndrewFremantle]

"Since this video was obviously not sponsored by Raid Shadow Legends" - LOL! That would have been so incredibly perfect if it had been though.

[@supergene256]

Thanks for this video. You may have saved me a lot of money. I’m just getting into gaming and I definitely feel the pressure to spend money on DLCs, and I haven’t even played any of the social or team games yet. I had no idea the industry was so unethical as to prey on addictive behaviour. I’ll remember not to care when I’m not leveling up fast enough because I’m not paying for DLCs!!

[@baronvonfaust]

Eight months later, how are you doing with it?