Sony recently announced that Patapon 2 would be its first completely digitally distributed PSP game. On the heels of this announcement, lots of speculation has occurred about the future of UMD, and how retailers would react to the implications of its possible demise. Speaking with GamesIndustry.biz, SCEA's Marketing Executive, John Koller, addressed the concerns, and shed light on Sony's plans for the future of the PSP.
In regards to the future sales of UMDs, Koller said:
We want to provide the content and at least allow the consumers to make that choice. We're going to be fairly democratic and open and if consumers want digital they can wake up and download it, if they want UMD they can go to retail for it. We want to provide that content opportunity. We're looking at various models to see when to launch those. That's not to say retail is going away, because it's not, so it's a balance. It's a very fine balance because retail does so much for us that digital maybe can't. So it's a nice compliment. Different models are floating around and it's not decided quite yet.
Shelf hoarders don't have to worry just yet, as Koller makes it readily apparent that UMDs will continue to ship alongside retail. This is smart, because he also recognizes that maintaining relationships with retailers is important, even if it might not be through direct media sales:
Retail for the first two years of the PlayStation Network thought that it was the enemy. But now they've really come around and now they want to participate. They've been very open and they want to know how to become part of the PlayStation Network, to get margin out of it and be able to help sell some of our products. The first step has been the PSN cards, which are basically debit cards, and interestingly enough most of them are being purchased in cash. So it speaks about who is purchasing them in many ways -- someone without a credit card, or who can't access the PlayStation Network. Certainly in the case of the PSP, where the lion's share of business is done with the 13 - 17 year-old consumer and they may not have a credit card. The PSN part of that is really important for retail. Retail sees that we have a portfolio of PSP content so they want the right purchasing dynamic. But they're also looking at various ways to help actively sell products, and there's a lot of different ways and iterations of looking at the business models of that.
So for now Sony doesn't have plans to make UMDs completely obsolete, but it appears to be making the gradual shift towards a focus on digital over direct retail sales. This is a good move for developers and publishers, who, according to Koller, are having a "very, very positive" reaction.
Source: gamespy
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