Latest / The Game Business Show / Can you build a legitimate video game business on prompts? Meta thinks so
Transcript
- 0:00SPEAKER_00: It complements the traditional game industry.
- 0:02SPEAKER_00: I don't think it directly sort of steps on top of it or anything.
- 0:05SPEAKER_00: I just think this is the modern way of making games.
- 0:07SPEAKER_00: People that make games are like circus horses.
- 0:09SPEAKER_00: We smell the sawdust and we walk in circles.
- 0:12SPEAKER_00: Like because it's so addicting to make a game,
- 0:14SPEAKER_00: like to make something out of nothing and have people like find joy in playing it.
- 0:19SPEAKER_00: It's like the most satisfied thing I can think of.
- 0:20SPEAKER_00: So like giving that feeling to more people,
- 0:23SPEAKER_00: I have a hard time thinking that's nothing but a positive thing.
- 0:29SPEAKER_01: Hello and welcome to The Game Business Show.
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- 1:02SPEAKER_01: Now onto this week's episode.
- 1:04SPEAKER_01: Last month Meta announced two new tools, Horizon Create and Horizon Studio.
- 1:09SPEAKER_01: One is for use on mobile,
- 1:10SPEAKER_01: the other is browser based and these tools enable game makers to turn any idea into
- 1:14SPEAKER_01: a complete 2D or 3D mobile game just using a prompt.
- 1:18SPEAKER_01: Basically you open the app, you describe what you want to create and it comes to life.
- 1:22SPEAKER_01: Once people are happy with the game,
- 1:23SPEAKER_01: it can be published to Facebook,
- 1:24SPEAKER_01: to Instagram, or to the Horizon game that Meta runs.
- 1:27SPEAKER_01: Now, this is a big conversation point today.
- 1:29SPEAKER_01: On the one hand, these tools are exciting.
- 1:31SPEAKER_01: It dramatically lowers the barrier to entry for game making.
- 1:34SPEAKER_01: Suddenly,
- 1:34SPEAKER_01: more and more people can turn their ideas into something that people can play
- 1:37SPEAKER_01: without the need for coding experience.
- 1:39SPEAKER_01: And that's got to be a good thing, right?
- 1:42SPEAKER_01: But it's also a challenge for the video game industry.
- 1:44SPEAKER_01: What does that mean for the people whose entire jobs are to code things
- 1:47SPEAKER_01: and build impressive 3D art and to animate stuff?
- 1:50SPEAKER_01: What does it mean for the number of games that are going to come to market?
- 1:52SPEAKER_01: We already have far too many of them coming out.
- 1:55SPEAKER_01: And is this stuff actually any good?
- 1:56SPEAKER_01: Are people actually going to play this stuff or is it just going to suck time out of
- 1:59SPEAKER_01: the market and hurt the entire business?
- 2:01SPEAKER_01: Meta is of course not the only one doing this.
- 2:03SPEAKER_01: Roblox as well as prompt based gaming solutions
- 2:05SPEAKER_01: and Google has just announced its playground which is basically the same thing.
- 2:09SPEAKER_01: So I thought we need to talk about this.
- 2:11SPEAKER_01: And why not talk to Meta itself and in particular the company's VP of Horizon, Saks Person.
- 2:17SPEAKER_01: Now Sax knows this world better than anyone.
- 2:19SPEAKER_01: He played a senior role looking after Xbox Live Arcade back in the day.
- 2:23SPEAKER_01: He also launched Project Spark, which was a game creation title that Microsoft was making.
- 2:27SPEAKER_01: And then after that he became Mojang Studios' chief creative officer
- 2:31SPEAKER_01: and vice president overseeing the Minecraft franchise.
- 2:34SPEAKER_01: He then went and joined Epic Games,
- 2:35SPEAKER_01: worked on Unreal Editor for Fortnite and made Lego Fortnite a thing,
- 2:39SPEAKER_01: all before his current role at Meta.
- 2:41SPEAKER_01: So when it comes to the power of UGC and lowering the barrier of entry
- 2:45SPEAKER_01: for game developers, there are few people out there as experienced as this man.
- 2:49SPEAKER_01: So here he is, check out my conversation with Sax Person.
- 2:53SPEAKER_01: Hello, Sax.
- 2:54SPEAKER_01: Welcome to the show.
- 2:55SPEAKER_01: Thank you for having me.
- 2:56SPEAKER_01: It's a year.
- 2:57SPEAKER_01: Have you been at Meta now?
- 2:58SPEAKER_00: How are you finding it?
- 2:59SPEAKER_00: I should count it in days, but that's how it feels.
- 3:02SPEAKER_00: I've been there 10 months, 10 months now.
- 3:03SPEAKER_01: And how are you finding it?
- 3:04SPEAKER_00: Am I finding it?
- 3:06SPEAKER_00: I have had a fantastic time.
- 3:07SPEAKER_00: I came here wanting a fantastic time.
- 3:10SPEAKER_00: So to a less degree, you make your own fantastic time.
- 3:13SPEAKER_00: But it's been really fun.
- 3:14SPEAKER_00: I think tackling some of the things, it feels like a combination of a very long career.
- 3:19SPEAKER_00: A lot of the things I've worked on before coming to a head,
- 3:23SPEAKER_00: both in an industry fashion and meta helping bring things about.
- 3:28SPEAKER_00: It's been really fun.
- 3:29SPEAKER_01: It does certainly look that way from Minecraft to Fortnite and UEFN and
- 3:34SPEAKER_01: then here we are doing these AI, they're not the word to use, tools.
- 3:39SPEAKER_01: Is that the right one or platforms with Horizon?
- 3:44SPEAKER_01: Tools, I would say, like an AI platform tools.
- 3:47SPEAKER_00: I think the AI is the least important part.
- 3:49SPEAKER_00: I think it's very much what it brings about that we are very focused on,
- 3:53SPEAKER_00: that we want more people to be able to make games pretty simple.
- 3:58SPEAKER_00: The industry has always had moats.
- 4:00SPEAKER_00: When I started, it was certainly access to equipment.
- 4:03SPEAKER_00: It was, I don't know, dev kits to develop on the genesis way back in the time.
- 4:09SPEAKER_00: And then coding became a pretty big moat,
- 4:11SPEAKER_00: and I really think Like one of the big advantages
- 4:14SPEAKER_00: of new coding models is it allows people to make games,
- 4:18SPEAKER_00: including logic, like end to end, like to express themselves.
- 4:22SPEAKER_00: I think that that's always been what drove me and like through Fortnite,
- 4:25SPEAKER_00: through Minecraft, before that Project Sparked, before that I ran Xbox Live Arcade.
- 4:29SPEAKER_00: It's the, how do you give game makers access to make games and a place to publish it?
- 4:33SPEAKER_00: That's like, it's such a fun problem to tackle.
- 4:35SPEAKER_01: My question was going to be, what is the vision for this?
- 4:38SPEAKER_01: Is that the vision?
- 4:42SPEAKER_00: Well, the vision is twofold, right?
- 4:44SPEAKER_00: There's a developer vision and there's a player vision.
- 4:47SPEAKER_00: And the developer vision is very much that.
- 4:49SPEAKER_00: It is allow people that want to express themselves through games to be able
- 4:53SPEAKER_00: to make games,
- 4:54SPEAKER_00: like break down the barriers as much as we can using modern tools,
- 4:57SPEAKER_00: whatever the tools are.
- 4:59SPEAKER_00: And AI happens to be like an extraordinary accelerator.
- 5:03SPEAKER_00: To certain things that have just been very difficult.
- 5:06SPEAKER_00: A good game is iteration.
- 5:08SPEAKER_00: And if we can buy more iteration by making more powerful tools that make it faster,
- 5:14SPEAKER_00: more precise, more people can make the iteration.
- 5:16SPEAKER_00: I think by nature,
- 5:18SPEAKER_00: we should expect more interesting games to come about because it doesn't cost
- 5:22SPEAKER_00: as much to make one.
- 5:23SPEAKER_00: You can afford to iterate.
- 5:24SPEAKER_00: You can afford to be I don't know, like sort of experimenting.
- 5:27SPEAKER_00: I think that's the developer vision, like allow more people to make games.
- 5:32SPEAKER_00: And on the player side,
- 5:33SPEAKER_00: I found so much joy in using the headline that best place to have fun with friends,
- 5:41SPEAKER_00: that really these platforms and ecosystems are not as much
- 5:43SPEAKER_00: about any individual piece of content.
- 5:46SPEAKER_00: They're much more about, what do players tell us?
- 5:48SPEAKER_00: Like, did you have fun today?
- 5:50SPEAKER_00: Is the biggest predictor of, like, do you have a good platform?
- 5:53SPEAKER_00: Not necessarily, like, is the individual game, like this particular game.
- 5:57SPEAKER_00: It's the, no, this was a place that was welcoming for me and my friends.
- 6:01SPEAKER_00: We played ten games, like, sometimes competitive, sometimes hanging out, sometimes ridiculous.
- 6:07SPEAKER_00: But, like, the platform had all the content that made all that possible.
- 6:11SPEAKER_01: I mean,
- 6:11SPEAKER_01: it's certainly very an interesting space at the moment and there's some big players
- 6:15SPEAKER_01: in there.
- 6:15SPEAKER_01: Obviously,
- 6:16SPEAKER_01: Roblox has been doing this for a bit
- 6:18SPEAKER_01: and it's also introducing these prompt-based things.
- 6:21SPEAKER_01: Google just announced its playground.
- 6:23SPEAKER_01: What do you think makes the Horizon version unique?
- 6:28SPEAKER_00: Well, we're very focused on...
- 6:32SPEAKER_00: And so I think the journey we're on is we've spent
- 6:36SPEAKER_00: since I joined 10 months ago really thinking through how do you make games,
- 6:40SPEAKER_00: like break down into all the atomic components of what makes a good game,
- 6:44SPEAKER_00: like what makes a game maker be able to make the game they want to make.
- 6:48SPEAKER_00: And then recomposed it all again agentically.
- 6:50SPEAKER_00: And then what's the differentiator is that we have, we kind of build it all from scratch.
- 6:55SPEAKER_00: We don't sit on 20 years of very opinionated code bases and licensees.
- 6:59SPEAKER_00: We sit on an engine and code base that's made for this,
- 7:01SPEAKER_00: like that's made to very quickly recompose,
- 7:05SPEAKER_00: make the game you want to make and publish very fast.
- 7:08SPEAKER_00: So that's one side of it.
- 7:09SPEAKER_00: It's like, how do you make the game?
- 7:11SPEAKER_00: Well,
- 7:11SPEAKER_00: we just think we have the right toolset for it to make meaningful games that have
- 7:15SPEAKER_00: the iterations, that this is not a one-shot.
- 7:18SPEAKER_00: You just kind of make a fun, I don't know, vignette of a game.
- 7:21SPEAKER_00: Like, these are games as I've always played games,
- 7:24SPEAKER_00: and the key to that is continually making sure that the creator is in the center.
- 7:29SPEAKER_00: The tools surround you, but this is not about a clever prompt.
- 7:34SPEAKER_00: It's about being able to communicate and make the thing you want iterate towards
- 7:38SPEAKER_00: the result you want, and then finally being able to publish.
- 7:41SPEAKER_00: So that's one side of it.
- 7:42SPEAKER_00: The other side is distribution.
- 7:45SPEAKER_00: Meta understands scale.
- 7:47SPEAKER_00: I think that's one of the really neat things about being here is it's a company
- 7:52SPEAKER_00: that doesn't blink when you say a billion people at this thing, why not two?
- 7:58SPEAKER_00: Because that's kind of the type of company here, right?
- 8:00SPEAKER_00: And I think that's the other part of it is I really want to spend my effort building
- 8:06SPEAKER_00: a gaming ecosystem platform that is welcoming for all,
- 8:10SPEAKER_00: not just the people that That sort of is well served through like a fortnight
- 8:15SPEAKER_00: or what have you.
- 8:16SPEAKER_00: But the like the billions of people that do play games that they would love to do it
- 8:20SPEAKER_00: in a fricking this fashion to get the game that they want to play with friends.
- 8:24SPEAKER_00: So I think the distribution side is one of it.
- 8:25SPEAKER_00: And from a tooling perspective,
- 8:26SPEAKER_00: we're approaching it very It's very similar to how I would have written
- 8:28SPEAKER_00: an engine back in the 90s when I worked on Messiah and Sacrifice and sort of
- 8:33SPEAKER_00: that matrix back in the day where my job was to make an engine that could allow
- 8:39SPEAKER_00: a game creator to make the game they wanted.
- 8:40SPEAKER_00: I never made the game.
- 8:42SPEAKER_00: I made the thing that made the thing.
- 8:43SPEAKER_00: And it feels very similar to how we're approaching it.
- 8:47SPEAKER_01: Do you see this as a business opportunity for professional developers to be looking at?
- 8:52SPEAKER_01: Or is this more about what you're just talking about there,
- 8:55SPEAKER_01: which is people that perhaps Never thought they could make a game
- 8:58SPEAKER_01: or even people maybe that do make games,
- 9:00SPEAKER_01: but doing a bit on the side or having a bit of a fun project or experimenting
- 9:03SPEAKER_01: with stuff.
- 9:04SPEAKER_01: Yeah.
- 9:04SPEAKER_01: Do you see it as a business opportunity or is it more for the other thing?
- 9:07SPEAKER_00: I think it's absolutely a business opportunity.
- 9:10SPEAKER_00: Is it a business opportunity for a AAA team to switch to this platform right now?
- 9:14SPEAKER_00: No.
- 9:15SPEAKER_00: I think there's a particular flavor to it that we'll start with,
- 9:20SPEAKER_00: but it's still a business opportunity.
- 9:24SPEAKER_00: I spend a lot of time with sort of like new forming teams
- 9:28SPEAKER_00: that are making games like indie teams.
- 9:31SPEAKER_00: And I think very much my pride lies in can I inspire people to take that first step,
- 9:37SPEAKER_00: make that first sort of level and get the group together that's going
- 9:41SPEAKER_00: to make this magical game.
- 9:43SPEAKER_00: And those are very much business opportunities.
- 9:45SPEAKER_00: Like we should measure ourselves in our ability for people to be entrepreneurs on the platform.
- 9:51SPEAKER_00: And in many ways, I think it complements the traditional game industry.
- 9:54SPEAKER_00: I don't think it directly sort of steps on top of it or anything.
- 9:56SPEAKER_00: I just think this is the modern way of making games.
- 9:59SPEAKER_00: That's my controversial opinion,
- 10:01SPEAKER_00: is faster iterations,
- 10:02SPEAKER_00: closer to your community, and a higher tolerance for experimentation.
- 10:08SPEAKER_00: I don't think it's that controversial.
- 10:10SPEAKER_01: I know perhaps that some people it is,
- 10:13SPEAKER_01: but I've been doing this show for a while and that's a regular thing
- 10:18SPEAKER_01: that gets brought up.
- 10:18SPEAKER_01: Not necessarily related to what you're building here,
- 10:21SPEAKER_01: but just generally fast iteration and using tools to do that.
- 10:26SPEAKER_01: It's interesting because I was going to ask,
- 10:27SPEAKER_01: do you see it as a threat to the traditional business or is it something
- 10:29SPEAKER_01: that might sit alongside it?
- 10:31SPEAKER_01: And I guess you've answered it there,
- 10:33SPEAKER_01: but do you see it having an impact upon the wider business?
- 10:38SPEAKER_00: It has a measurable impact today.
- 10:40SPEAKER_00: Where do people spend their time playing games?
- 10:42SPEAKER_00: Well, the headline I said,
- 10:45SPEAKER_00: best place to have fun with friends, is what defines the most successful games.
- 10:49SPEAKER_00: And UGC is a big, big part of it.
- 10:52SPEAKER_00: I think user-generated content has this It's not a great word for what it really is.
- 10:58SPEAKER_00: These are smaller developers making games that people love playing and play
- 11:01SPEAKER_00: for billions of hours.
- 11:03SPEAKER_00: I think there's a whole generation growing up that this is just part of how you play games.
- 11:08SPEAKER_00: So I think it's a really important expression.
- 11:10SPEAKER_00: I think it's a really important new generation of developers that are showing sort
- 11:15SPEAKER_00: of a modern take on how to make games and what a game should do in order
- 11:19SPEAKER_00: to be successful.
- 11:21SPEAKER_00: From my perspective, it still complements the traditional game making.
- 11:23SPEAKER_00: I have the same respect for traditional games that I've always had
- 11:28SPEAKER_00: that are more crafted for,
- 11:30SPEAKER_00: in many ways,
- 11:31SPEAKER_00: for the team and sort of as a statement versus user-generated content
- 11:35SPEAKER_00: that often is much more about measuring yourselves in how do people feel
- 11:40SPEAKER_00: when they play your game,
- 11:40SPEAKER_00: like the direct communication between community and game maker.
- 11:44SPEAKER_01: I do business journalism,
- 11:45SPEAKER_01: so I often talk about its impact on the business sense
- 11:47SPEAKER_01: and how much time it sucks out of the market and all this.
- 11:50SPEAKER_01: But at the same time, this isn't just a business, it's an art form.
- 11:54SPEAKER_01: And most other art forms,
- 11:56SPEAKER_01: like we encourage,
- 11:56SPEAKER_01: we like it when everybody's making music and everybody can paint a picture
- 12:01SPEAKER_01: and everybody, you know, I would say everybody can, everyone can, right?
- 12:04SPEAKER_01: And it's just the ability to express ourselves and share with each other our stories
- 12:09SPEAKER_01: and our things.
- 12:10SPEAKER_01: And that's something that all the big art forms allow you to do as well.
- 12:14SPEAKER_01: You know,
- 12:14SPEAKER_01: not everybody can necessarily become a professional artist,
- 12:17SPEAKER_01: but everyone can, most people can paint.
- 12:19SPEAKER_00: But often it's not even the goal.
- 12:21SPEAKER_00: The goal is just for 10 people to like what you make and that's exciting.
- 12:26SPEAKER_00: I think Spotify is a controversial subject because they ruin the music industry
- 12:32SPEAKER_00: or did they open it up for everybody to become a musician?
- 12:35SPEAKER_00: I think in the balance, both things are true.
- 12:37SPEAKER_00: I think we can do better than that.
- 12:39SPEAKER_00: I think the games industry has They've largely done pretty good on preserving
- 12:44SPEAKER_00: the premium,
- 12:45SPEAKER_00: very defined market of AAA and the validity of a Roblox,
- 12:50SPEAKER_00: Fortnite,
- 12:51SPEAKER_00: Minecraft,
- 12:52SPEAKER_00: user-intimated content that powers billions and billions of hours,
- 12:56SPEAKER_00: and in many ways,
- 12:58SPEAKER_00: For many years, I've been the fastest growing part of the game industry.
- 13:02SPEAKER_01: In linear entertainment,
- 13:03SPEAKER_01: in the age before YouTube,
- 13:05SPEAKER_01: the idea of making films was something that was quite prohibitive to most people,
- 13:08SPEAKER_01: and now it's something that anyone with a phone can do.
- 13:11SPEAKER_01: But not everyone on the phone can be Steven Spielberg or Christopher Nolan.
- 13:16SPEAKER_01: But we can play around with it and
- 13:19SPEAKER_00: share things.
- 13:19SPEAKER_00: I think it's fantastic.
- 13:23SPEAKER_00: When I grew up, I had no way to make games.
- 13:25SPEAKER_00: I knew I wanted to make games.
- 13:26SPEAKER_00: I had no idea.
- 13:28SPEAKER_00: I grew up in Denmark,
- 13:30SPEAKER_00: and it's just kind of like a couple of lucky events,
- 13:33SPEAKER_00: and I end up in a place where I go,
- 13:35SPEAKER_00: oh, these are the people that make games, and I became part of that community.
- 13:39SPEAKER_00: It was awesome.
- 13:40SPEAKER_00: But it also was so random.
- 13:42SPEAKER_00: I think the idea of access very much like when I was on Minecraft for seven years.
- 13:48SPEAKER_00: It was just so empowering to feel like kids growing up on Minecraft,
- 13:54SPEAKER_00: how they found ways to express themselves and how all of
- 13:57SPEAKER_00: a sudden they found huge audiences and before they knew it,
- 13:59SPEAKER_00: they were running a business.
- 14:01SPEAKER_00: I think that's fantastic, something very unique to gaming.
- 14:05SPEAKER_01: How do you see it from a monetization point of view?
- 14:07SPEAKER_01: What are you thinking?
- 14:09SPEAKER_01: Is it microtransactions?
- 14:11SPEAKER_01: Is it ads?
- 14:12SPEAKER_01: How do you see that sort of playing out?
- 14:15SPEAKER_00: I think all of it.
- 14:18SPEAKER_00: I think it depends on where you are.
- 14:19SPEAKER_00: Like they say, there's a realistic thing called cost to serve.
- 14:25SPEAKER_00: Like what does it cost to put this game in your hand wherever you are in the world
- 14:29SPEAKER_00: and what's your ability to pay for that, right?
- 14:33SPEAKER_00: And in some locales,
- 14:35SPEAKER_00: ads are by far the most realistic way that you can have a business like that
- 14:40SPEAKER_00: where you can share proceeds with the creator and all the things that happens
- 14:43SPEAKER_00: on YouTube.
- 14:44SPEAKER_00: On the other hand, I think microtransactions and download-to-own.dto are great business models.
- 14:51SPEAKER_00: And subscriptions are good catch-all for everything.
- 14:54SPEAKER_00: I just think we should be open to all of it.
- 14:56SPEAKER_00: And I don't think the problem is the business model ever.
- 14:58SPEAKER_00: I think it's always the disclosure of it and the How is that integrated into the platform?
- 15:04SPEAKER_00: Much more so than the individual transaction, if you know what I mean.
- 15:08SPEAKER_01: I also think video games have got so broad now and there's so many people,
- 15:11SPEAKER_01: different people play games and different backgrounds.
- 15:14SPEAKER_01: They're different monetization strategies,
- 15:16SPEAKER_01: also different audiences and depends on the game you make, I guess.
- 15:19SPEAKER_00: Yeah.
- 15:20SPEAKER_00: So I think, again,
- 15:21SPEAKER_00: we should make a platform that is Where the platform promise is a platform
- 15:26SPEAKER_00: that has integrity,
- 15:28SPEAKER_00: that has quality,
- 15:29SPEAKER_00: that has a way for you to find the content you want and match the content
- 15:33SPEAKER_00: that you want, and a way for your friends to be part of that same ecosystem.
- 15:38SPEAKER_00: And from a monetization perspective,
- 15:39SPEAKER_00: just focus on what is the most realistic way for those two things to add up to
- 15:45SPEAKER_00: a good business.
- 15:47SPEAKER_01: So how, I mean, I don't even know if this is a goal.
- 15:48SPEAKER_01: I was going to ask, how can you entice developers to Horizon?
- 15:51SPEAKER_01: You know, why choose this over UEFN, which you know very well, or Roblox?
- 15:56SPEAKER_01: Is it better terms?
- 15:57SPEAKER_01: Do you make a pitch or is it the distribution?
- 16:01SPEAKER_01: I mean, or is that not something that you think about?
- 16:04SPEAKER_00: Yeah, I do think about it.
- 16:06SPEAKER_00: I should.
- 16:06SPEAKER_00: I do want us to have like a differentiated offering, of course.
- 16:12SPEAKER_00: I think the most What do I think,
- 16:17SPEAKER_00: from a developer perspective, is the most interesting thing about our platform?
- 16:21SPEAKER_00: One is that it's targeted on mobile, like the place where everybody is.
- 16:25SPEAKER_00: It's unopinionated from a platform perspective, meaning there's not a particular look.
- 16:30SPEAKER_00: The character is your look, whatever you decide, whatever you do.
- 16:33SPEAKER_00: The character is your character.
- 16:34SPEAKER_00: The environment is your environment.
- 16:36SPEAKER_00: The style is your style.
- 16:38SPEAKER_00: So I think we're very welcoming to ship to the widest possible audience the thing,
- 16:43SPEAKER_00: exactly the thing you want to make in the style you want to make it.
- 16:47SPEAKER_00: And there's nothing quite like that.
- 16:48SPEAKER_00: Like Roblox is a very opinionated Artistic perspective,
- 16:51SPEAKER_00: Minecraft, the same thing, Fortnite, the same thing.
- 16:53SPEAKER_00: Fortnite and mobile, that's not at scale.
- 16:57SPEAKER_00: Roblox is certainly at scale,
- 16:59SPEAKER_00: but it's hard to imagine sort of a Like a rich artistic look,
- 17:05SPEAKER_00: like compatible with how Roblox went about building the engine.
- 17:08SPEAKER_00: So that's a part of it is we're trying to fade into the background to provide
- 17:12SPEAKER_00: the components for the games to be the center and meta in many ways just to be
- 17:17SPEAKER_00: the platform that helps the games get there.
- 17:19SPEAKER_00: Similar to YouTube.
- 17:20SPEAKER_00: YouTube is not opinionated about what content they have.
- 17:25SPEAKER_00: They serve the content that matches up with the player's interest.
- 17:28SPEAKER_01: No, I see.
- 17:29SPEAKER_00: And from an IP perspective,
- 17:30SPEAKER_00: so that's the other differentiator I think for us is if you're in IP,
- 17:33SPEAKER_00: then this is a good place to be.
- 17:35SPEAKER_00: Like you can make the thing That represents your IP accurately in the way
- 17:41SPEAKER_00: that you would want to make it distributed to the widest possible audience and
- 17:44SPEAKER_00: with very, very little friction and low development cost.
- 17:49SPEAKER_00: That's just a basic value prop.
- 17:52SPEAKER_00: If you're an IP or you're another creator,
- 17:54SPEAKER_00: like an Instagram creator,
- 17:56SPEAKER_00: if you want content for your channel,
- 17:58SPEAKER_00: you can now develop content for your channel that is exactly how you would want it
- 18:01SPEAKER_00: for your channel without us pushing the content in any particular direction.
- 18:05SPEAKER_01: This might be a naive question,
- 18:07SPEAKER_01: but when it's sort of like an IP,
- 18:08SPEAKER_01: how do you protect, make sure the right people are using it?
- 18:11SPEAKER_01: And how does that?
- 18:14SPEAKER_00: Yeah.
- 18:14SPEAKER_00: So I think in principle,
- 18:18SPEAKER_00: there's a lot of safeguards in place for any platform,
- 18:22SPEAKER_00: honestly, to protect intellectual property.
- 18:25SPEAKER_00: You can't operate a platform if you don't observe all the basic safeguards
- 18:29SPEAKER_00: for preserving intellectual property.
- 18:31SPEAKER_00: There are things you can do above and beyond that.
- 18:34SPEAKER_00: My goal is that this will be a first-rate place for that.
- 18:38SPEAKER_00: So my defined goal is to go and make this a great place for IP.
- 18:42SPEAKER_00: Because I really think that matters from a player perspective.
- 18:44SPEAKER_00: You want the legitimate experience that feels exactly like the thing.
- 18:50SPEAKER_00: I worked a lot with LEGO and Star Wars before in my past,
- 18:52SPEAKER_00: and I certainly have an appreciation for how precise a franchise feels
- 18:57SPEAKER_00: that their IP needs to be represented.
- 18:59SPEAKER_00: Making a platform that's good for that is a big deal for me.
- 19:03SPEAKER_01: I was going to ask as well,
- 19:04SPEAKER_01: maybe it's linked to that,
- 19:05SPEAKER_01: is that how confident are you in the safety measures and the age review processes
- 19:08SPEAKER_01: and that it's capable enough?
- 19:10SPEAKER_01: And I know how important that is, you know, if you're seeing Roblox and stuff like that.
- 19:14SPEAKER_01: Are you confident in the tools you've got there and the protections you've got there?
- 19:18SPEAKER_00: Yeah, I'm very confident.
- 19:19SPEAKER_00: I think the industry is growing up and we are like any company,
- 19:24SPEAKER_00: like to operate a global platform, like really have to be on the A game.
- 19:30SPEAKER_00: The global regulatory landscape is not the easiest to navigate, but it's there for a reason.
- 19:34SPEAKER_00: I really think for us to develop trust long-term is directly proportional to
- 19:40SPEAKER_00: the integrity of the platform, both for me, content and age.
- 19:44SPEAKER_00: And from all perspectives, business practices.
- 19:48SPEAKER_00: So yeah, it's a very defined focus of ours.
- 19:51SPEAKER_00: And we're fortunate in the sense that Meta is as keenly aware as any other company,
- 20:00SPEAKER_00: like how to do this right.
- 20:02SPEAKER_00: And we're piggybacking on that.
- 20:05SPEAKER_01: I remember when Horizon was a VR thing and we had VR developers on this show tell me
- 20:10SPEAKER_01: that,
- 20:10SPEAKER_01: you know,
- 20:11SPEAKER_01: there were so many Horizon games on the Meta store
- 20:13SPEAKER_01: that it was causing discoverability challenges for them.
- 20:16SPEAKER_01: Obviously this in theory is going to be a lot of games being made.
- 20:21SPEAKER_01: How are you approaching discoverability?
- 20:23SPEAKER_01: I mean, I know perhaps it's some of the wider Meta ecosystem here,
- 20:26SPEAKER_01: but how are you approaching discoverability challenges that will inevitably arise?
- 20:34SPEAKER_00: I don't know.
- 20:34SPEAKER_00: I think at the heart of every platform is its ability to match content to players.
- 20:41SPEAKER_00: Yeah, absolutely.
- 20:42SPEAKER_00: I think Meta, if there's something Meta is really good at, it's that.
- 20:46SPEAKER_00: That is on Instagram and Facebook.
- 20:49SPEAKER_00: Our ranking systems are just very mature.
- 20:53SPEAKER_00: So it's not dissimilar to that.
- 20:57SPEAKER_00: Or ranking or matching,
- 20:57SPEAKER_00: whatever you want to call it,
- 20:59SPEAKER_00: is key to a whole lot of solving a whole bunch of issues about,
- 21:04SPEAKER_00: yeah, but what about low quality content?
- 21:06SPEAKER_00: Well, that gets spotted really quickly if you have the right signals in a way
- 21:12SPEAKER_00: that that's not what we put in front of you when you go onto the platform.
- 21:19SPEAKER_00: The ratings challenge are the same as Vanilla Platform.
- 21:23SPEAKER_00: The specific thing around VR that you're mentioning in the VR store
- 21:26SPEAKER_00: and what have you, I can't comment on that.
- 21:28SPEAKER_00: I wasn't there.
- 21:29SPEAKER_00: No.
- 21:30SPEAKER_00: I can comment on the,
- 21:32SPEAKER_00: I think,
- 21:32SPEAKER_00: modern ranking algorithms,
- 21:34SPEAKER_00: and AI is a big part of that,
- 21:35SPEAKER_00: allows you to be much closer to having individual recommendations
- 21:40SPEAKER_00: for every player sort of based on all the different factors
- 21:45SPEAKER_00: about what you're playing and all that stuff.
- 21:50SPEAKER_00: I feel pretty confident that good content will find the right players
- 21:53SPEAKER_00: because that's what I've seen before in these ecosystems.
- 21:57SPEAKER_00: But it is like one of those things that it's like a daily,
- 22:00SPEAKER_00: I don't know, there's something you should agonize over daily.
- 22:04SPEAKER_00: Are you featuring the right content?
- 22:06SPEAKER_00: Did the right content surface to the top?
- 22:08SPEAKER_00: Did any good content not get the chance it needed?
- 22:11SPEAKER_00: Those things are,
- 22:12SPEAKER_00: for any good platform, what a big part of the intellectual horsepower goes towards.
- 22:18SPEAKER_01: Sachs, I'm conscious of the time.
- 22:19SPEAKER_01: I know you've got other important things to do, changing the games industry.
- 22:24SPEAKER_01: But I'll ask one more question.
- 22:27SPEAKER_01: Where do you see this ending up in, I don't know, let's say 10 years.
- 22:31SPEAKER_01: Where do you see the end goal for this?
- 22:33SPEAKER_00: The end goal meaning for Horizon or the game industry?
- 22:36SPEAKER_01: Well, maybe this whole movement.
- 22:39SPEAKER_01: Maybe end goal is the wrong word because I don't think anything ever really ends.
- 22:42SPEAKER_01: But let's say 10 years.
- 22:44SPEAKER_00: I think every year we take more steps to remove more moats to democratize the act
- 22:49SPEAKER_00: of making games.
- 22:50SPEAKER_00: I have no illusion everybody's going to make a game,
- 22:52SPEAKER_00: but I do agonize over like the people that really have a game in them,
- 22:56SPEAKER_00: do they have the option?
- 22:58SPEAKER_00: So I think 10 years from now,
- 22:59SPEAKER_00: I want to imagine that the making and publishing of games are democratized to
- 23:04SPEAKER_00: a point that the best games can find the platform and an audience and what have you.
- 23:09SPEAKER_00: In terms of like I think 10 years from now,
- 23:12SPEAKER_00: humans are still making games like they've always been making games.
- 23:14SPEAKER_00: 10 years from now, a good idea is still a good idea.
- 23:16SPEAKER_00: 10 years from now,
- 23:18SPEAKER_00: you're iterating on your game for six months on a particular mechanic
- 23:23SPEAKER_00: because you really feel this is important.
- 23:26SPEAKER_00: We'll still feel the same, but the tools surrounding it will just make it faster, easier.
- 23:32SPEAKER_00: More fun to measure, like that sort of thing.
- 23:34SPEAKER_00: And then I think there'll be a whole new category of games where the agent sits in
- 23:36SPEAKER_00: the runtime,
- 23:37SPEAKER_00: which I really think what energizes me is that,
- 23:40SPEAKER_00: is I want to bring about a way that gaming is not just a different way to make
- 23:47SPEAKER_00: a game, but it's a different way to play a game also.
- 23:49SPEAKER_00: And we're just getting to that.
- 23:50SPEAKER_00: We show some of that at Connect,
- 23:52SPEAKER_00: but from my perspective,
- 23:54SPEAKER_00: that's where we can really bring innovation to the game industry is
- 23:57SPEAKER_00: to allow reasoning to influence how the game develops.
- 24:00SPEAKER_00: That's exciting.
- 24:01SPEAKER_01: I think a couple of years ago,
- 24:02SPEAKER_01: I was probably one of those people that's a little bit, you know, snippy around.
- 24:05SPEAKER_01: I don't know if I was or wasn't, but maybe I was around sort of AI made games.
- 24:10SPEAKER_01: And then it was a Christmas and one of my wife's cousins, a young lad, must have been 12.
- 24:17SPEAKER_01: And he knew I was into games and he wanted to show me his game.
- 24:20SPEAKER_01: And he, it was a wipeout clone, right?
- 24:22SPEAKER_01: And it was, and it was very basic and it didn't run quite right.
- 24:26SPEAKER_01: And so much of it was AI, these AI generated logos and so many elements to it.
- 24:31SPEAKER_01: And, and then I was quite skeptical when I saw it, well,
- 24:34SPEAKER_01: when he went before he showed it to me,
- 24:36SPEAKER_01: but when I saw it, I thought it was wonderful that he got to make this.
- 24:40SPEAKER_01: He was so proud of it.
- 24:41SPEAKER_01: And all the family were sitting there playing it together with him.
- 24:44SPEAKER_01: And yeah, sure.
- 24:45SPEAKER_01: He didn't even know what Wipeout was, by the way.
- 24:47SPEAKER_01: I said, oh, a bit like Wipeout.
- 24:48SPEAKER_01: And he gave me a look.
- 24:51SPEAKER_01: You're dating yourself.
- 24:52SPEAKER_01: Yeah, exactly.
- 24:53SPEAKER_01: But dad didn't say zero.
- 24:55SPEAKER_01: You don't know Psygnosis?
- 24:58SPEAKER_01: And, but I thought it was a wonderful little moment actually.
- 25:00SPEAKER_01: And I actually changed my tune.
- 25:01SPEAKER_01: I thought it's great that he was able
- 25:03SPEAKER_00: to make
- 25:03SPEAKER_01: that.
- 25:03SPEAKER_01: You know, I was able to make websites when I was 13 using drag and drop like systems.
- 25:07SPEAKER_01: I'm sure people with HTML experience were looking at me with a scowl and I,
- 25:12SPEAKER_01: and it's like, but that's, that's where we started.
- 25:14SPEAKER_01: And so I'm, I'm hopefully that's, that's what we'll see.
- 25:17SPEAKER_00: I love that.
- 25:17SPEAKER_00: That feeling that your nephew said,
- 25:21SPEAKER_00: that feeling he had making that game,
- 25:24SPEAKER_00: in my opinion, no doubt he wants to repeat that feeling.
- 25:29SPEAKER_00: But we said people that make games are like circus horses.
- 25:32SPEAKER_00: We smell the sawdust and we walk in circles because it's so addicting to make
- 25:36SPEAKER_00: a game, to make something out of nothing and have people find joy in playing it.
- 25:41SPEAKER_00: It's the most satisfied thing I can think of.
- 25:43SPEAKER_00: So giving that feeling to more people,
- 25:45SPEAKER_00: I have a hard time thinking that that's nothing but a positive thing.
- 25:49SPEAKER_00: Thanks.
- 25:50SPEAKER_01: I'm looking forward to seeing all of this develop in the future.
- 25:53SPEAKER_01: But yeah, thank you so much for your time.
- 25:54SPEAKER_01: Thank you for having me.
- 25:55SPEAKER_01: It was awesome.
- 25:56SPEAKER_01: Thank you.
- 25:57SPEAKER_01: That's all we have time for today.
- 25:58SPEAKER_01: Thank you to Saks for joining us.
- 26:00SPEAKER_01: It will be a topic that's going to run and run and run and I'll be looking to talk
- 26:03SPEAKER_01: to some other people involved in these projects in future episodes.
- 26:06SPEAKER_01: Speaking of future episodes,
- 26:07SPEAKER_01: if you want to make sure you don't miss one,
- 26:09SPEAKER_01: you can go to thegamebusiness.com,
- 26:11SPEAKER_01: put in your email address and every single time we do a new edition,
- 26:14SPEAKER_01: you'll receive an email from us.
- 26:16SPEAKER_01: We also have a paid subscription tier because we do an episode on a Monday
- 26:19SPEAKER_01: which is called Here's the Drink.
- 26:20SPEAKER_01: It's only available to paid subscribers.
- 26:22SPEAKER_01: So if you'd like to pay to support The Game Business,
- 26:24SPEAKER_01: that's how you can do it by going to thegamebusiness.com.
- 26:28SPEAKER_01: However, that's it for me today.
- 26:30SPEAKER_01: Until next time, thank you for tuning in.