Slowly but surely, PC gaming has become a significant factor in Take-Two Interactive’s business. The success of the platformed has been spurred by the rise of digital game sales over the past decade, with 63% of Take-Two’s net revenue coming from digital sales and in-game purchases.
"I would observe that the PC platform has become a very very important part of what we do, driven by digital distribution,” said Take-Two CEO Strauss Zelnick during a quarterly earnings call. “And that was not the case for so-called console titles 10 years ago, and it is the case now.
“Does that mean the business has flattened out and everything becomes open and we don't care what brand is on the box? Not in the least. I wouldn't rule out the possibility of more console generations, however, it does get us closer to a point where we truly can be platform agnostic as an industry. I'd say we're not there yet but that day will come."
Of course, Zelnick says all this while handily overlooking that Red Dead Redemption 2 is launching as a console exclusive in October. Considering just how much of Take-Two’s incoming is coming from the PC market though, which is 18% of its revenue, then an eventual PC version of Red Dead Redemption 2 is all but assured. While the console sector is still the dominant market for Take-Two, they made $329m from PC during the last 12 months, and it’s not going to want to pass up similar numbers for FY2019.
But, back onto the subject of digital revenue for a moment, and recurrent spending was a big theme in Take-Two’s financial results. Over the last year alone, recurrent consumer spending grew 63% and now accounts for 42% of the total net revenue. Recurrent consumer spending is simply the total spend by consumers after they’ve bought a game, so that’s money spent on microtransactions, DLC, etc. The biggest earner there was, unsurprisingly, Grand Theft Auto Online, but WWE 2K18 and NBA 2K18 also helped boost the books.
As for Grand Theft Auto 5, I don’t know who these people are on the far-flung corners of the planet who don’t own it yet, but it still continues to sell faster than you can say 'Lindsay Lohan lawsuit'. GTA5 has now surpassed 95 million copies sold, and it looks as if it’s going to comfortably pass 100 million by the end of this year. Amazing stuff, truly a phenomenon. The launch of GTA 6, whenever it happens, is going to be a monumental event.
In light of RDR2, do you think there's much truth to Zelnick's claims that PC is now a high priority platform for Take-Two Interactive? Let us know below!