Physical distribution is endangered for many reasons

Not to sound like an advertisement, but the following is true: With Steam, not only are the distribution terms fair and the delivery system reliable, but they have the world's largest network for digitally delivering big data games.  It's a robust and easy-to-monitor system that has been built by brilliant minds that have taken the time to envision, invest, and also work out the kinks.  Steam is indicative of the digitally distributed landscape that is inevitably going to be the de facto content distribution model for all electronic entertainment.

When you compare the cost of digital distribution to conventional channels, it's a hard decision not to make. It's also obvious to us that people will be buying games at the same place they are increasingly buying the rest of the consumer goods in their lives -- which is, of course, on the internet.   We have all come to expect that whatever we want can be bought easily through the internet, so anything that is selling outside of the internet is often through an old-school -- and soon to be outdated -- model. 

Physical distribution is endangered for many reasons, but most importantly, the cost of bringing physical goods to physical locations is killing it at the moment.  If we look at it globally, we?re witnessing unsustainable increases in the cost of distribution of all consumer goods due to our increasing energy prices. There?s petrochemical manufacturing for the DVD jewel cases, fuel for the container ships bringing goods over seas, trains and trucks taking games to the retail shelf, forklifts in the warehouse, paper for the hint guides, labor, facilities, etcetera. Every one of these costs has increased, and will continue to, but with Steam, these costs no longer exist.  And that?s great, because none of Runescape Gold those distribution costs has ever brought any additional value to the actual gameplay experience, but has doubled the price of a game by the time it hits the shelf.What is your benchmark of success for digital distribution of older titles like this?LL: The beautiful thing is that if you own your library and your games were high-quality and originally on PC, then you really can't go wrong.