Just because Fortnite is a free video game, that doesn’t mean it can’t make millions of dollars.
In fact, it’s the exact opposite and rival publishers need to catch up, according to Timothy O’Shea, tech research analyst and SVP at Jefferies.
“More free games are inevitable,” O’Shea told First Move anchor Julia Chatterley. “The thing about free is that it expands the market.”
He mentions that Fortnite has more than 200 million players and Electronics Arts’ (EA) free game, Apex Legends, has quickly amassed 29 million players.
“The paradox of gaming is that the biggest and most profitable games are entirely free to play,” he said. For example, Fortnite sells virtual currency that players buy with real money so they can purchase add-ons like weapons.
Because of Fortnite’s success, O’Shea said his firm’s “number one prediction of 2019” is that Activision Blizzard (ATVI) will release a free game.