The Growing Value of Virtual Goods

ArsTechnica picks up an article by the Wall Street Journal on the surge of commercial activity related to online games and the virtual goods that can be traded in their context. From ArsTechnica:

In response to growing player demand, Sony created Station Exchange (Google), its own system for buying and selling virtual goods on the Internet. Citing a US$200 million global market for in-game goods, and concerns about players getting burned by fraudulent transactions, Sony Online president John Smedley argues that such a service is beneficial to players. Despite Sony’s willingness to legitimize game commerce, the company does not permit the distribution of in-game goods via third party web sites like eBay and will ban players that violate the rule.

What’s interesting to watch is the creation of closed versus open market places for these in-game, virtual goods. While Sony asserts the sole control of such sales through its Station Exchange platform, Microsoft on the other hand does not object to gold farming or independent, peer-to-peer sales. Although Microsoft’s attitude may change once its MMORPG market share rises, its stance on openness may prove far more advantageous for the value of its XBOX platform in the long run.