D.I.C.E. '08: ESA prez presses for expansion

LAS VEGAS--This being an election year, the Entertainment Software Association and its political dealings are a hot topic of discussion. The gaming-industry trade group has already highly publicized its intention to catch the ear of candidates on the campaign trail, pledging to form its own political action committee with the intention of donating between $50,000 and $100,000 to contenders whose goals and motives match up with those of the gaming industry.

The ESA's efforts have been headed up by the recently installed Michael Gallagher. The former Bush Administration policy advisor took over the gaming oval office in May 2007 after longtime ESA president Doug Lowenstein vacated the post at the tail end of 2006. In a session titled "The New Gamer: Closing Gaps in Our Industry" during the D.I.C.E. Summit today, Gallagher explicitly laid out the thriving situation the industry has found itself in, and urged industry illuminati to continue growing gaming's reach.

Citing data found on the ESA's Web site, Gallagher began the presentation with a little number-boasting and back-patting. After saying that the gaming industry has become mainstream, Gallagher touted that in 2003-04 and 2005-06, the industry exceeded GDP share at a ratio of four to one. On top of that, from 2003-06, the industry more than doubled the US economy's real growth rate, a factor that jives with current popular sentiment that the gaming industry is recession-proof.

Adding perspective to the importance of the gaming industry to the US economy, Gallagher said that the impending Activision-Vivendi merger is valued at nearly $19 billion, whereas the merger of telecom giants AT&T and SBC was valued at around $16 billion. Gallagher said that the industry is expected to hit $50 billion in the US by 2011, a marked increase from the $18 billion of 2007.

However, Gallagher cautioned that the industry must not get complacent, and that it is unwise to be satisfied when a game sells the "magic million or blockbuster 5 million." In the pursuit of the mass market, the industry should strive to capture more than just 5 percent of the estimated 300 million people in the US.

The question, then, becomes how does the industry grab a larger hold on the total population? According to Gallagher, this can be accomplished by following three axioms.

First, the industry must "expand what we do." To do this, Gallagher urged the industry to continue to cater to the hardcore base, facilitate the acclimation process for new gamers, eschew the couch-potato image by promoting active games, continue to foster cross-media ventures such as game-to-film adaptations, and encourage the broader use of games, such as in training and education environments.

Second, the industry must do a better job at "telling our story." Gallagher said that publishers need to advertise to the new audiences, and he cited Nintendo's recent appearance at the 2007 AARP convention. Gallagher also said that parents must be engaged, and anti-gaming legislation must be thwarted.

Lastly, Gallagher said that the industry needs to "support our interests" by joining organizations such as the Video Game Voters Network to help the gaming collective gain a stronger voice with elected officials. Gallagher also said this involves cultivating the next generation of game makers, noting that more than 200 universities now offer programs or courses in game design and development.