Games Industry = Media Industry

Wagner James Au at GigaOm has a fascinating post about the disruption of the game industry by a variety of network orientated upstarts (Flash games to virtual worlds) all developed by teams outside the traditional game industry – and all growing quite handsomely. Unlike the game industry which is faltering. 

In many ways it parallels the media industry – which is being challenged by a variety of upstarts using networked approached to aggregate or distribute information to audiences overlooked by traditional media.  

One quote stands out.

Joi Ito says game companies are “making the same mistakes that the content guys have been making since the beginning of networked computers. They ALWAYS over-estimate the importance of the content and vastly underestimate the desire of users/people to communicate with each other and share.” 

Applies equally to the media don’t you think?