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10.05.2012 , 10:34 AM | #1
Found this on TORWARS (

EA Statement on Subscriber Numbers

“First, the game many of you have been tracking closely, Star Wars: The Old Republic. Although it launched well, subscriptions have been on a declining trajectory and have now slipped below one million. Last year we announced that the breakeven point was roughly 500,000 subscribers. And while we are well above that today, that’s not good enough. The message from players exiting the game is clear – 40 percent say they were turned off by the monthly subscription. And many indicated they would come back if we offered a free-to-play model. Our plan now is to pivot and provide a two-tiered pricing plan which will make the game more accessible and grow the audience. The new pricing will go into effect in November.”

MMORPG Interview with Jeff Hickman and Matthew Bromberg – Source

“They plan on releasing these every six weeks, and they’ll include different sorts of content each time: warzones, operations, public events, and so on (even a mix of all three might be possible). And while there’s no set price point for each update, they plan to break it down into different options enough so that PVP folks can focus on buying the content they want, and dungeon folks can focus on what they want, while others can buy everything in one package if they want as well. They also have a brand new event for all subscribers coming in August which is a public world event like the Rhakgoul Invasion.”

Game Analysts Predict that F2P could bring 50 million Monthly Users to SWTOR

Wedbush currently has a 12-month price target of $29 and a rating of “Outperform” for EA. The market is reacting positively to EA’s fiscal news, which involved making Star Wars: The Old Republic free. EA’s stock closed up almost six percent at $11.68.

Wedbush Securities analyst Michael Pachter:

“We believe the free-to-play option and lower retail price will combine to significantly increase the number of Star Wars players by the end of the year as the two largest barriers to entry for potential Star Wars gamers (apart from an appreciation for the franchise and PC gaming) have been significantly reduced or eliminated. We expect the network effect to augment the number of gamers further. In the long-term, we believe the adjustments will result in incremental revenue and earnings growth as high-margin Cartel Coin purchases by a much larger pool of gamers and additional advertising generate more revenue than was lost through declining subscription fees and the lower MSRP.”

Ultimately, Pachter believes that Star Wars now has the potential to “attract at least 10 million Monthly Active Users indefinitely, with upside to perhaps 50 million.” He added, “Thus, we believe that contribution from the model shift could be significant for years to come.”