REDWOOD CITY, Calif. – February 12, 2008 – Electronic Arts (Nasdaq: ERTS) today announced an extension of its exclusive licensing relationships with the National Football League and NFL PLAYERS to develop, publish and distribute interactive football video games. These agreements – which were negotiated separately and are extensions of contracts originally signed in December 2004 – provide EA continued rights to NFL teams, stadiums and players for its critically-acclaimed and best-selling football videogames through the end of the 2012 season, which culminates in February 2013.
Both agreements include all aspects of the interactive experience, including console and handheld games as well as console-based online features. The agreements also provide EA access to both NFL Films and the NFL Network to enrich its game experiences. Financial terms of the agreements were not disclosed.
"This is all about bringing authenticity and realism to NFL videogames," said Eric Grubman, President of NFL Ventures. "EA SPORTS continually works to maintain the cutting edge for NFL products across a variety of gaming platforms. We like the fact that they never rest."
“This is great news and it means we can continue to produce the best interactive experience possible. It also allows NFL PLAYERS, the NFL and EA to continue to build our brands,” said Gene Upshaw, Chairman of NFL PLAYERS and Executive Director of the National Football League Players Association. “We offer a very unique experience. “
"We are excited about the opportunity to extend and expand our relationships with the NFL and NFL PLAYERS," said Peter Moore, President of EA SPORTS™. "For nearly two decades, EA SPORTS has been bringing sports fans closer to the great game of football through the breakthrough interactive experiences of our videogames. Game quality is our top priority, and we’re committed to pushing our gameplay innovation, connecting football fans via rich online experiences and delivering the most visually stunning sports games on the market.”
Celebrating its 20th anniversary in 2008, EA’s Madden NFL franchise has consistently been one of the videogame industry’s best-selling and top-rated products, generating more than $2 billion in retail sales. Madden NFL 08 earned awards from the 2007 Game Critics Awards at the E3 Media and Business Summit, The SpikeTV Video Game Awards, and the GameSpot Readers Choice Awards last year. The game is available on the PLAYSTATION®3 and PlayStation®2 computer entertainment systems, Xbox 360™ and Xbox® videogame and entertainment systems from Microsoft, Nintendo DS™, Wii™, PC, PSP® (PlayStation®Portable) handheld entertainment system, mobile handsets and Mac. EA also produces the arcade-football game NFL Tour which hit stores in January 2008, and NFL Head Coach, which was released in 2006. EA SPORTS recently hosted Madden Bowl XIV in Scottsdale, Ariz., as part of Super Bowl XLII festivities.
Both agreements grant exclusive rights for action simulation, arcade-style and manager games on the PC, handheld game devices and consoles.
What does this mean for competitors?
Cementing another long term deal with the NFL basically assures EA that there will still be no competition with any other football game for at least the next five years. EA clearly recognizes how important it is for consumer's to play a game with real player names, accurate stadium design, and incredible NFL life-like presentation. There have been games like All-Pro Football 2K8 and NFL Blitz: The League that have tried to entice gamers by attacking this market from a different angle. However, being able to play a football game with a bunch of Hall-of-Famer's, or with a story that's controversial, just isn't enough for people to sway away from true reality. With that said, the next football game that will attempt to stand up to EA's Madden is Backbreaker.
Backbreaker is scheduled to be released sometime in 2008. The reason this game has so many people intrigued is because it's showcasing the physics of the game like no one else has ever done. One of the main claims that the publishers at Natural Motion say is unique about this game is that every single tackle is different. Every other previous football game that was released always had a certain amount of animations that looked pretty much the same. However, in Backbreaker it is said that you will never see the same animation twice. You can also expect to see the same technology that is used in Backbreaker in Grand Theft Auto IV and Star Wars: The Force Unleashed. I think this is certainly an interesting angle to pursue, but as long as EA continues to lock-down the NFL license I just don't see how it's possible for another game to overtake the Madden series. Gamer's love playing a football game with their favorite teams and players too much to accept anything less. However, big-time football fans may just want to check out both because if the physics in Backbreaker are that good, then we may just see them incorporated into the Madden series within the next few years.
