Benchmark’s Mitch Lasky and Blake Robbins on The Art of Business in Gaming - Acquired Recap

Podcast: Acquired

Published: 2023-04-26

Duration: 2 hr 17 min

Summary

In this episode, Mitch Lasky and Blake Robbins discuss the intricate relationship between creativity and business in the gaming industry, emphasizing how business models shape creative outputs. They highlight the importance of collaboration between creative and business minds to achieve success in gaming.

What Happened

Ben Gilbert and David Rosenthal host a special episode of Acquired with guests Mitch Lasky and Blake Robbins from Benchmark, diving into the gaming industry's business dynamics. Mitch, a renowned games investor, shares his insights on how business models have historically dictated the creative processes within the gaming world, contrasting the common narrative that creativity leads the way. He references his inspiration from 'The Genius of the System' by Thomas Schaff, advocating for a deeper understanding of the business side of gaming that parallels the film industry.

The conversation reveals that successful game design is often influenced by the constraints and opportunities presented by business models. Mitch and Blake explain how, in the packaged goods era, the objective was to sell a disk and create a sense of planned obsolescence to keep players returning for new titles. They reference iconic franchises like Final Fantasy and Call of Duty as examples of how successful business strategies can sustain long-term consumer engagement, illustrating that the gaming industry thrives on balancing creative vision with strategic business decisions. Ultimately, their new podcast, GameCraft, aims to explore these themes more deeply, focusing on the symbiotic relationship between creativity and business in the gaming sector.

Key Insights

• The gaming industry's creative output is heavily influenced by underlying business models.
• Successful game design requires a collaboration between creative visionaries and business strategists.
• Understanding historical business practices in gaming can inform better investment and creative decisions today.
• The balance of planned obsolescence and consumer engagement is critical for gaming franchises.

Key Questions Answered

What inspired Mitch Lasky to create GameCraft?

Mitch shares that after retiring from active investing at Benchmark, he sought ways to remain involved in the video game business. He considered various avenues, such as mentoring younger entrepreneurs and participating on boards without compensation. Ultimately, he was inspired by 'The Genius of the System' by Thomas Schaff, which elevated the business side of the film industry, leading him to think about how he could similarly contribute to understanding the business aspect of gaming.

How do business models influence game design?

Mitch explains that business models have historically dictated the direction of game design rather than the other way around. For instance, in the packaged goods era, the goal was to sell a disk and encourage players to return for new releases, which required a degree of planned obsolescence. This understanding of business models helps to shape what content is created for games, ensuring that they remain commercially viable.

What examples illustrate the impact of business strategies on gaming franchises?

The discussion references franchises like Final Fantasy and Call of Duty as prime examples of how business strategies can lead to sustained success. These franchises have managed to thrive by adapting their models to keep players engaged over time. Mitch points out that if games were designed without considering business constraints, it could lead to a collapse of the gaming market as players would not return for new titles.

Why is collaboration important in the gaming industry?

Both Mitch and Blake stress that for creators to succeed, they must work collaboratively with business strategists. The narrative that video games are solely the product of creative geniuses overlooks the significant role that business models play. This collaboration ensures that creative visions can be supported by viable business strategies, leading to successful products that resonate with consumers.

What is the main focus of the GameCraft podcast?

GameCraft aims to chronicle the history of the gaming industry from a business perspective, offering topical episodes that retell the stories behind major developments. Mitch's goal is to elevate the understanding of how business practices have shaped the creative landscape in gaming, making it accessible and engaging for listeners who want to learn about the intersection of creativity and commerce in this field.