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Don't Expect a Change in the NFL License Status Quo

This past month has been a very eventful one for Electronic Arts and EA Sports. On Monday, March 18th, Electronic Arts announced that John Ricccitiello had stepped down as CEO. This was only weeks after Sim City released with terrible issues and was a company wide embarrassment. While both events may or may not be completely connected, this was industry changing news and it could perhaps signal a new direction for EA in the future.

At the same time, we are coming to the end of this console generation. Also of importance is that we are near the end of the exclusive deal between EA and the NFL/NFLPA.

If there was ever a time we could believe in the chance to see a change in the football gaming market, the end of a monopoly, and a return to competition, this is the time, right?

The Winds of Change, Calm As Ever

Both EA and the NFL have both been publicly happy with the current exclusive deal, with no comments from either side signaling that the business deal has been less than ideal for either party. The current deal technically ends after Madden NFL 25 releases and before the next iteration of Madden next summer. The NFL and EA Sports have already renewed the deal twice, once in 2008 and again in 2011.

Assistant Executive Director of External Affairs for the NFLPA, George Atallah actually took to Reddit recently and stated that "We have an agreement with EA and Madden. I have heard some opinions like yours, but honestly, EA is one of our best partners. I know they hear some of your input as well and work to improve the game every year.”

Attallah added, "One thing to clarify though, my job and the job of the NFLPA, is to ensure that the players' interests are top priority. I know that might not be the most popular answer, but it's our mission."

We haven't heard anything from the NFL publicly regarding it's position on the deal but one can only assume that they are satisfied with the control that they get by licensing the game only to EA Sports and working closely to decide what is included and how it's official video game is marketed.

Make no mistake, the exclusive license is all about money and control for everyone involved. The NFL wants to closely control it's image as a business and a sport and Electronic Arts wants the exclusive license to the most popular sport in the United States for it's flagship sports franchise in America.

Consequently, the NFL has possibly created a situation where EA Sports is their only potential dance partner if they are to continue the exclusivity that they desire in video gaming and in other areas of their business. EA knows this, as no other company is ready to take on the massive task that is building an NFL game from scratch and having it release within a year on a level that could compete with what EA does with Madden today. Pipe dreams aside, 2K's technology is incredibly dated at this point and their marketing prowess and ability to afford a deal that EA themselves wouldn't already be able to afford makes for an unlikely combination of the status quo changing.

Major League Baseball found themselves in a similar situation as the NFL, with no realistic options at the conclusion of an exclusive license but a strong desire to get another game out. The NFL will be wise not to repeat the same mistakes, and likely they are trying to not bend too much to Electronic Arts' desires. For their part, EA is likely negotiating far more favorable terms for themselves both financially and possibly with regards to length, as they do likely recognize the strength of their negotiating position.

The End of Competition

For every gamer hoping that 2K Sports will be able to “save” them from Madden NFL, it's tough to say, but it's time to snuff out the torch. 2K Sports hasn't made a licensed NFL game since ESPN NFL 2K5 on the Playstation 2 and Xbox. We are now almost two full console generations since that game was released in 2004. That leap is the equivalent of making a game on the PSOne and then having to jump to the Playstation 3 to develop a game in the same sport/genre.

All Pro Football 2K8 was considered a good but not great game, and the expectations for sports gaming and football games are even higher now. 2K Sports simply isn't in a position to make the jump to new hardware AND build a new football engine that could compete with Madden all within one year at this point. NFL 2K5 was an outstanding game for it's time, but it's also easy to recognize that the gameplay in 2K football is well behind Madden in most respects today.

The writing is on the wall, it is time to start talking about the end of NFL video game competition as the present situation and future outlook. Barring a huge string of unforseen events, EA isn't letting the NFL license go so long as the NFL will have them, and that continued partnership between both organizations appears to be exactly what the NFL wants with no evidence to the contrary. EA will be able to likely get a much more favorable deal than in 2004, possibly locking up the license through this upcoming console generation.

This isn't the end of 2K Sports though. NBA 2K, WWE, perhaps MLB, and other potential projects will all continue to flourish. However, when it comes to more than one NFL game releasing yearly, don't bet on it. That ship has sailed, as competition appears to be over in NFL gaming and Madden is almost certainly the only future option for sports gamers. As a football fan this is definitely not my favorite outcome, but it is the outcome we will get.

The continued persistence of the status quo may indicate competition may be over, but NFL gaming is not. Here is to hoping Madden NFL 25 is the best yet, it's our only option after all.


Member Comments
# 1 Gstate_510 @ 03/28/13 03:42 PM
This can't be life 😢
 
# 2 cuttingteeth @ 03/28/13 04:08 PM
I still say that Tecmo would be the first/best to take a shot at competition, and after all of these years, people would give them the benefit of the doubt and give it a go.
 
# 3 tfctillidie @ 03/28/13 04:09 PM
The NFLPA spelled out plainly to everyone what needs to be done if you are sick of Madden. Make Madden not the best interests of the players. Make Madden sit on the shelf of the retail store.

If there is ANY accuracy, even ballpark for VGChartz, then Madden sells at half the rate it used to.

How is that best for the players? I don't know, but as long as EA can afford to buy out the competiton, I suppose that makes up the difference.
 
# 4 SageInfinite @ 03/28/13 04:54 PM
The only part I disagree with is 2k5 being well behind Madden in most of the gameplay, .
 
# 5 dcal @ 03/28/13 05:03 PM
.....and the Football Gaming Dark Ages continue.
 
# 6 NateOU @ 03/28/13 05:35 PM
Quote:
Originally Posted by dcal
.....and the Football Gaming Dark Ages continue.
That's a perfect name for this situation.
 
# 7 RandyBass @ 03/28/13 05:45 PM
Quote:
2K Sports simply isn't in a position to make the jump to new hardware AND build a new football engine that could compete with Madden all within one year at this point.
They wouldn't start building the game just a year in advance. If TTWO has any NFL plans they are already well under way.

I wouldn't count TTWO out either. If there ever was a time to swoop in and snatch up the deal, that time would be now. EA is reeling, GTA V is on it's way, new and more developer friendly consoles due out soon (friendly to Tiburon too I realize), so unless EA turns things around quick don't be surprised to see another player enter the picture. That player most likely being TTWO.
 
# 8 MEANFIDDLER @ 03/28/13 07:05 PM
Video game football has been a total disaster on xbox 360 and ps3! 8 years down the drain due to corporate greed and inept programmers and developers! It is really sad considering that video game football was on the upswing in 2005 and showed so much promise! Nfl 2k5 and Madden 2005 were the reason I stood on line in the cold for 2 days to get an xbox 360. If I knew how pathetic the future was for video game football I would have never purchased a next gen console!
 
# 9 tfctillidie @ 03/28/13 07:20 PM
Quote:
Originally Posted by RandyBass
They wouldn't start building the game just a year in advance. If TTWO has any NFL plans they are already well under way.

I wouldn't count TTWO out either. If there ever was a time to swoop in and snatch up the deal, that time would be now. EA is reeling, GTA V is on it's way, new and more developer friendly consoles due out soon (friendly to Tiburon too I realize), so unless EA turns things around quick don't be surprised to see another player enter the picture. That player most likely being TTWO.
Incredibly risky to be developing an NFL game, without certainty that you can publish it. I'm not sure things are "well under way" even if they do intend to do so.
 
# 10 NoSupport615 @ 03/28/13 08:16 PM
Danggit! i'm speechless...say it isn't so lol
 
# 11 RandyBass @ 03/28/13 08:26 PM
Quote:
Originally Posted by tfctillidie
Incredibly risky to be developing an NFL game, without certainty that you can publish it. I'm not sure things are "well under way" even if they do intend to do so.
If they have plans... IF... Then they sure ain't sittin' around twiddling their thumbs.

Big risk sure, but also potential big payoff. They may even have a back up plan in the NCAA license. Heck, this was a company that put out a football game more or less as a gift to fans. Don't see why they wouldn't keep themselves positioned for any sort of slip up by EA. It's not like they have to develop the entire game at once.

Again, not saying it's going to happen or even is happening. Just saying it's not out of the question.
 
# 12 joec63 @ 03/28/13 08:32 PM
Quote:
Originally Posted by tfctillidie
Incredibly risky to be developing an NFL game, without certainty that you can publish it. I'm not sure things are "well under way" even if they do intend to do so.
You got that right. A lot of wishful thinking going on. It takes capital to develop a full featured game today and I don't see anyone laying out millions with the hope of being able to publish an NFL product. And I also think if anyone is counting EA down and out is also mistaken.
 
# 13 bigeastbumrush @ 03/28/13 08:36 PM
Who says 2K's technology is dated?

And who wrote such an absurd article?

2K needs to do its due diligence and approach the NFL to scrap the exclusive license. It would be bad business not to.
 
# 14 RandyBass @ 03/28/13 09:17 PM
Quote:
Originally Posted by joec63
You got that right. A lot of wishful thinking going on. It takes capital to develop a full featured game today and I don't see anyone laying out millions with the hope of being able to publish an NFL product. And I also think if anyone is counting EA down and out is also mistaken.
What are you basing your assessment on? Who here is counting EA down and out? Have you even been paying attention to gaming news the past few years?

There is no wishful thinking going on here, just reality. EA ain't exactly the darling of Wall Street, they just happened to fork over enough dough for one of the biggest licenses available and did so without any other real alternatives available to them. It was a move they more or less had to make, but at the same time it hasn't bore any real fruit either.

Again, TTWO doesn't have to develop a full game; they don't have to commit themselves to a full fledged NFL game. They could relatively easily have the framework down for one though. Considering all that has transpired the past few years, wouldn't surprise me one bit if that was indeed the case. Companies do stuff like that all the time, have things in the works, prototypes, etc. It's not like one day they just decide to commit to something 100%, then spend the next 2-3 years plowing away only to find out it was a bad idea. That's not the way things work. Things are almost always going on, always in action, with a certain degree of flexibility too so that backsides are covered when the landscape changes.

Again, EA ain't going anywhere anytime soon, and NFL 2K14 ain't coming out next year; but it ain't all set it stone either. Two to three years from now it starts to get a little hazier, especially when you factor in where we are right now with EA stumbling just about every other step, and a new GTA getting ready to release at the end of a console cycle.

Giants mightier than EA have fallen, and underdogs smaller than TTWO have prevailed. Time will tell.
 
# 15 damedash @ 03/28/13 09:45 PM
Well that was my conversation with George attallah on reddit...I have actually spoken on the phone with him also. I have given out the phone numbers to the nfl office and nflpa offices to help spread the word that not every fan wants madden to be our only choice in the football genre. I have done my part...every week I call to try to let them know that the fans won't stand for this and honestly , you speak of nfl wants to work closely with a company to protect their brand. Call me crazy but isn't EA up for the worst company for the second year in the wrong? I'm not sure if the nfl wants that negative press...just my opinion
 
# 16 damedash @ 03/28/13 09:47 PM
I meant second year in a row...typing on my iPad. Lol
 
# 17 bxphenom7 @ 03/28/13 09:48 PM
BOYCOTT MADDEN 25!!!
 
# 18 kjcheezhead @ 03/28/13 09:56 PM
Quote:
Here's to hoping Madden 25 is the best yet. It's our only option after all
No thanks. I've already seen EA fail 8 times on these consoles. I'm not bothering with it anymore. I'll continue to play better games of other sports and genres. I've gotten through the withdrawls and don't need football "fixes" anymore.
 
# 19 joec63 @ 03/28/13 09:59 PM
Quote:
Originally Posted by RandyBass
What are you basing your assessment on? Who here is counting EA down and out? Have you even been paying attention to gaming news the past few years?

There is no wishful thinking going on here, just reality. EA ain't exactly the darling of Wall Street, they just happened to fork over enough dough for one of the biggest licenses available and did so without any other real alternatives available to them. It was a move they more or less had to make, but at the same time it hasn't bore any real fruit either.

Again, TTWO doesn't have to develop a full game; they don't have to commit themselves to a full fledged NFL game. They could relatively easily have the framework down for one though. Considering all that has transpired the past few years, wouldn't surprise me one bit if that was indeed the case. Companies do stuff like that all the time, have things in the works, prototypes, etc. It's not like one day they just decide to commit to something 100%, then spend the next 2-3 years plowing away only to find out it was a bad idea. That's not the way things work. Things are almost always going on, always in action, with a certain degree of flexibility too so that backsides are covered when the landscape changes.

Again, EA ain't going anywhere anytime soon, and NFL 2K14 ain't coming out next year; but it ain't all set it stone either. Two to three years from now it starts to get a little hazier, especially when you factor in where we are right now with EA stumbling just about every other step, and a new GTA getting ready to release at the end of a console cycle.

Giants mightier than EA have fallen, and underdogs smaller than TTWO have prevailed. Time will tell.
Let's get something straight. This discussion is all conjecture. I don't think anyone here has the inside track. I've worked at a fortune 200 company in management for 25 yrs so I believe I know a little something of how it works when it comes to using resources. It's not much different in selling widgets or software.

At the end of the day it comes down to maximizing the shareholders RIO and capital isn't spent without a plan on recouping that investment. We don't have people working on things that we believe aren't going to bear fruit. Just going by the estimated number of units of Madden 13 sold I believe was around 5M give or take a million. That's 300M gross in a sputtering economy. EA isn't giving that revenue up without a fight is all I'm saying. It's really up to the NFL /NFLPA . It's their license to either keep exclusive or not.

You speak of reality. Everyone here has an emotional interest in the game but in the end it's a business decision. The NFL/NFLPA will do whatever is in the best interest of the owners and their players.
 
# 20 clipperfan811 @ 03/28/13 10:50 PM
I've more than spoken with my wallet, I haven't bought a Madden since 2006 on the xbox. As a matter of fact my interest in the NFL has gone down the drain. It's just not something I'm into anymore, not sure how much the lack of gaming has had to do with it. At the very minimum the games would keep me really up to date with the players in the league.

It really is a shame what happens when the masses blindly buy whatever is put out. It's nice to see the sales numbers dropping.
 

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