WRKO>Audio & Video on Demand>>Paul LaMonica (CNN Business, Take-Two Interactive)

Paul LaMonica (CNN Business, Take-Two Interactive)

Oct 26, 2018|

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

The markets are still volatile really keep. Get our weekly monthly recap by becoming a member of berries brigade visit financial exchange showed dot com and sign up today. We're joined now by Paula Monica from CNN business and that. Paula we're talking about the gaming industry today and asked specifically what typically take two interactive. And I can't claim to be as up to date with the gaming industry is that was maybe five or six years ago but I know that they have a very being anticipated release coming outs and with a new game at their print yet what's the stock how the stock been reacting to all of. Yeah it's a cute guy. I groups yesterday. Expectation that that. In the popular debt protection. Would be. One the biggest sellers of all time use were. Phenomenal and don't while some might argue that you know wait a little silly her game the B. Surging because it refused to but typically these. Studios jumping after I had the ball in theory is all that off. Yeah people do we be strong. Your word of mouth with that possibility that sales and be crept mr. Yeah I mean I can admit to being on the wrong side of history on this one I've I've kind of looked at the gaming industry and said. Like really are these companies are these. Professional gamers really worth that much and it turns out that I'm wrong I mean these these special gamers are now earning millions of dollars it's incredibly popular. My question is this is a game that's being released under the pretty traditional standards riches they're gonna make money on the sale of the game I assume there'll be some you know. Extra stuff that you can buy with in the game but. Do we have any concerns about their being just a shift in terms of how games are money the big one that comes to mind is fort night a completely free game has been. Seemingly the most successful new game to come out with and maybe the last decade. Yeah I think you know there had been some concerns earlier this year at that. Or I was told the bad news worse off. Traditional powers as you pointed out I think this has been an industry that has been incredibly resilient as a ball. Over the past couple years you know there's times where. Well not in the stature in trouble is people are going to be buying a console as much. Mobile phones then you're almost the company if he should. Not Activision Blizzard. Yea being that they really don't get even though did he do that what. Actually the evening or attention. Eight years really years. Of being a particularly take too because that. And I think it really make a significant enter or thereafter prop. Correct me if I'm wrong I don't think fortnight is actually owned by any of the Big Three I think their own guy is is Tencent have some ownership into the. Is that they're having their way into your ward and I think that reasons why. You know that has been as something that that there's been concern. China. As popular as some restrictions there. You know that's one thing that she you know there's been. A lot of companies that benefited from the the boom and Kimi Yale or. Op part of it are Wordock. At the company. Paul total. You know. There there there are. The year and it is not it is just. All company. Nine. Cent this year. She. It I mean you look at all these charts and is these are companies over the last five years have just had tremendous growth if you're trying to get into this industry may be haven't invested four. Where are you going at this point as there is there an index that you can invest in middle bio all of these guys are you really trying to pick the next winner of who's gonna have the best new game comes out. Yeah I think by and large you know people have the being. He. The the mean. Cultures the at the top title here companies like. A news EA and Activision. There he is. Ones. Yet how that that some exposure to it did which are the Europe sure that. You know you know like. They're the here but you know I think there's always risk when you are looking any yet that are such. It. Paul appreciate coming on as Paula Monica from CNN business talking just about take two interactive in the larger video game industry which. Has just seen tremendous growth Paul thanks coming on have a great week. Tucker ready for it and indeed you still gain. I do and this game from take two interactive. Red dead redemption to his sitting in my mailbox as we speak so it's already out. Gets out to Iran if Tehran today what's gonna sit back. Grand sixty bucks sixty bucks yeah I mean. I think it's a little you know what price Bly but I mean you know it will cut games cost and twenty years ago there are only 5040 or fifty cents and they've doubled the cost I mean they've kind of done with what the market. Dictates for the most part and how much does it console costs. You can get a console for I believe to 99 for like an Xbox one. Just confirm. Yet to 5999. At Wal-Mart. C I guess at sixty dollars isn't huge price point to be an issue but am I really get concerned that you know. A company like a game like four I can come out where you do that they don't put any money down I pray there's no cause you know subscription cost. You can hand by additional stuff but you don't do. A game like this compete well. It's different is different it's different for I mean this this game is like it's it's so detailed it's it's ridiculous like its whole open world. Literally take Hewlett data across the map market so it's like west wrote. It's pretty much like west world the is your travel on horse and everything and you can choose your destiny what do you wanna be hero or villain there. Pretty much like that play in terms of fort night. It's pretty like Linear just like okay this is the object. You know your team has to finish first and that says images rinse and repeat. Reno aces is almost like a movie that this is literally seventy hours of his story. Like a movie it's seven. But you know the thing with you know these video game stocks itself. I'm a big fan of video games nowadays because you're seeing these kids you know whether before her game like this. It's a wider range each group really is just like this is how you socialize. I was talking to my neighbor. They've got that. Thirteen year old son and oh and what's he doing right now and its sister always up in his room watching YouTube videos you play games death. A lot of four I mean he has that's a whole other honorees industry itself you know that's twitch witches Nam. You know owned by Amazon and YouTube has its own division to. Yeah I mean it keeps these different socialize pretty much for. You know you go online you socialize with your friends and you know. You know just sitting in front of the screen and just being a blob like Yad there's an aspect to that but yours at least socializing with people like you you're not just being loaner would that make sense I guess I understand I was wrong about this guy I thought this was just going to be a bubble and fired back off their elitist growth industry you can get a college scholarship in gaming sir. Yet car multi millionaire that twice Earl I mean you saw Robert Kraft you know Jonathan Kraft. Invest in the Boston a rising to believe it is. Which is in. You know hefty chunk of money into that team and you know these are sponsored players are you gamers that urgent aid and you know hundreds of thousands millions of dollars. And and people close they'll sell out an arena. It's trees they will sell out and 181020000. Person arena of them playing a video game that's the thing. Well that the three big players in the industry are electronic arts Activision Blizzard and takes too active. Year to date nothing to write home about in terms there returns but if you take a look at the five your turn to these companies they are truly tremendous.