uploads/2017/09/2-5.png

Why Electronic Arts Is Optimistic about Its Live Services Vertical

By

Updated

User base growing for EA’s Live Services

Electronic Arts (EA) is optimistic about growth in its Live Services business vertical. This business includes revenues from microtransactions, subscriptions, and downloadable content. According to EA’s management, user engagement across its Live Services Console, PC, and Mobile Platform segments were exceptional in fiscal 1Q18.

Electronic Arts has been focusing on improving user engagement and game time to increase its player base across multiple platforms. During the company’s fiscal 1Q18 earnings call, its CEO, Andrew Wilson, stated, “Engagement in our live services across console, PC and mobile was exceptional, demonstrating the strength of our digital business that evolves daily to meet the needs of our players.”

Article continues below advertisement

Live Services revenues rose 22% YoY in fiscal 1Q18

Electronic Arts stated that unique players in the Ultimate Team segment rose 11% in fiscal 1Q18. FIFA Mobile now has a user base of 95 million unique players, followed by NBA Live Mobile at 70 million plays. 

EA’s Sims community has continued to grow, and monthly active players in Sims 4 rose ~20% YoY (year-over-year) in fiscal 1Q18. EA is also developing a new Sims Mobile game.

EA’s Battlefield 1 community has over 21 million unique players, driven by extensive live services, in-game events, missions, and monthly updates. EA aims to grow player relationships through live services and wants to attract players outside its gaming universe.

EA’s Live Services revenues have increased 22% YoY to $420 million in fiscal 1Q18, up from $343 million in fiscal 1Q17. It accounts for more than 61% of total digital revenues in fiscal 1Q18.

Advertisement

More From Market Realist