The Escapist has an in-depth look at how PC games are dying -- at least in their current business model. This link is to the second part, you can read the first part here. The problem with the game industry in general is that it is becoming increasingly capital intensive for each game and more competitive (i.e. a lot more games in a lot more places). With 3 major consoles and the PC platform, those immense investments in game creation have to battle for your buying dollar harder than ever before.
The Escapist argues that they business model of gaming has to change. That's something that developer Stardock (which owns WinCustomize.com) agrees with since it launched TotalGaming.net last year as a way to distribute its own and third-party games electronically. But in the near-term retail is still king.
Read the whole thing, very interesting stuff.
