Subscription Model is Dying, Free-to-Play to Rule

Gamasutra reported today that the worldwide MMORPG game market will grow to $8 billion in 2010 ($5 billion in 2009), according to a new study by Strategy Analytics Digital Media. The report points out that the motive force of growth comes from Asian online game companies, such as Shanda, Netease, Nexon, and NCsoft, while the other region is the 'slow growing' western market which is dominated by Blizzard Entertainment.

"Contrary to the flattening Western market, the Asian MMORPG market has grown immensely since 2007, due to the successful virtual items-based revenue model," says Strategy Analytics Digital Media analyst Jia Wu. "As more Asian online game companies target US and European markets, they will become a formidable force in the global gaming industry."

So far, some MMO games with subscription, such as EverQuest II, Dungeons & Dragons Online, The Lord of the Rings Online, Global Agenda, and Alganon, are now free-to-play or microtransation model instead of subscriptions. Strategy Analytics says that the subscription model in traditional western MMORPG has lost traction and growth momentum.

Even Blizzard is considering to make World of Warcraf free-to-play. So, is "Free" time coming?

You can read the entire study on Gamasutra.