It’s from here, and it’s nicely done.
Tallarico’s Intellivision Amico elevator speech to investors says that "only 200 million people" buy game consoles and spend money on them – and as the chart shows by the green stripe at the bottom, it’s a $33B market segment. That is $165 per person, which seems about right for a game console and a few games, spread out in a console generation. Not bad!
But wait! Tommy’s got a can’t-miss get-rich plan, because “three billion people" play casual games on mobile! Tommy is right that the red stripe at the top of the chart is a bigger slice of the pie, as the chart shows, that’s an $85B market segment. It’s also worth a lot less per person, $28.33 each.
Casual players are casual for a reason. Maybe they don’t see themselves as gamers. Seems more likely they just don’t want to spend the $200+ entry fee by buying a single purpose device. Is it because the right pitch hasn’t come along to show value to them? I guess that’s possible, but if you think that’s Asteroids and Astrosmash, Missile Command and Pong, I think you’re mistaken.
Tommy says, “But if just 1% of those 3 billion people come to us …"
Sure thing, Virginia, as if Microsoft, Sony, Nintendo, Apple, Google, Amazon, and a fartillion mobile game developers weren’t thinking the exact same thing. It is sad that anyone is falling for this obviously flawed idea.