Outspark Launch Adds Weight to Micro-Transactions Trend

from GigaOM by Jane Pinckard

Outspark, a San Francisco-based casual games publisher with offices in Seoul, South Korea, launched its North American games portal yesterday. Like Nexon's South Korean-developed MapleStory, Outspark games will be free to play — in addition to advertising built into the games and the portal, the company will rely on micro-transactions of virtual goods sales to generate revenue.

Their first game, Fiesta, published by OnsOn Soft in Asia, is an MMO currently in open beta. Outspark, which secured $4 million in funding earlier this spring from Altos Ventures and Doll Capital Management, plans to work with other developers to publish community-oriented multiplayer casual games as well.

I put a few questions to CEO Susan Choe and Chief Studio Officer Nick Foster yesterday to get a better sense of the company's plans.

The micro-transaction model has been shown to be very successful in South Korea, where Outspark also has experience, but has been slow to take off in North America. Why do you think that is and why do you think it's time to launch this revenue model here?

SUSAN: The micro-transaction model was slow to gain traction in North America due to a lack of payment solutions like those readily available in Asia. The response of North American gamers, however, to this type of game and item sales model has been tremendous and forms the basis of Outspark's initial releases. Our expertise in running global portals like Yahoo (YHOO) and leading game product management at companies including EA (ERTS), Nexon, Blizzard and NHN will help us continue to deliver great results.

What demographic do you see as your primary target and how will you reach it?

NICK: Outspark's initial target demographic is the youth market, specifically those between the ages of 13 and 24. Friendly, socially driven games appeal to all ages, however, and we're attracting a diverse community of people looking for a different style of play than can be found in conventional console or hardcore games.

Your competition, in my view, is not necessarily World of Warcraft but socially rich Web 2.0 apps like Facebook and YouTube (GOOG). How will your products compete — or integrate — in that space?

SUSAN: Outspark's goal is to provide a socially active virtual playground for online gamers. By providing games that players genuinely want to spend time in and building a community around that shared experience, Outspark can be a good partner for socially rich Web 2.0 companies by providing their communities with additional engaging activities.

You talked [in the release] about Outspark as a "platform." Can you tell us more about that?

NICK: Outspark understands online gaming and the human drivers that make game communities successful. We're combining our expertise in global entertainment with an understanding of virtual item sales and good game design. Outspark's goal is to find media partners and work with them to apply this holistic "platform" approach to help build additional channels for their IP, around which online communities can grow.

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Epson Joins Sprint: They Suck And Their New Website Is Stupid

from TechCrunch by Michael Arrington

I'm pretty sure there are some consultants out there who are telling big, clueless companies that the way to engage with their audience is to engage with them on an interactive, emotional level. I imagine them saying "let's bolt a few social features onto the product and engage with the MySpace generation." Those consultants convinced Sprint to launch possibly the dumbest website I've seen all year: users fill out a survey and are told which cell phone fits their lifestyle the best.

And now those consultants have conned Epson into doing the same thing on a new site called Epsonality. They ask questions like "You come across a bear in the woods, what do you do?" and "you find $199.99 lying on the ground, what do you do?" and use your answers to somehow determine the right printer for you. All in a sick, highly personalized Flash interface.

My perfect emotional printer partner is, apparently, the Epson C120:

You're an intense, type A-plus with lower-than-average printer patience and a "go, go, go, come one, come on, come on" attitude toward everything from your Internet connection to your microwave oven. You value one thing above all else and the C120 delivers it: blazing speed.

Wow Epson. You nailed me, and I'm a customer for life. Except that I'm not, and never will be. You win the lamest website of the week award and join Sprint as a brand that I will never purchase. The reason? The last time I bought one of your printers the software screwed it up so badly I had to reformat the hard drive just to get it to work again. Since then, I've stuck with HP's.

Fire the consultants, stop trying to be a conversational marketer and just get back to the basics.

Or build a Facebook application. Now that would be cool.

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Do The Right Thing: Save An Alien (and this startup)

from TechCrunch by Michael Arrington

If a Facebook application supporting Stephen Colbert can get 1 million members in nine days, then perhaps Save An Alien, an Israeli Facebook-only startup, can reach their goal of 10 million users in six months.

I sure hope they do, anyway. Otherwise a bunch of cute little aliens are going to die.

The plot line is straightforward: a meteor is going to strike an alien planet in six months and kill the entire population (10 million aliens, each uniquely generated by an algorithm). We're asked to adopt these aliens. When you've selected the one you like, you adopt it and the alien is transported to safety in Antarctica. You can then do a few other things - download images of it, use a tool to add images of your alien into your own photos, etc.

And if you really like your alien you can buy a tshirt with it on it. I imagine other revenue generating merchandising opportunities may be thought up later, too.

Good idea. We'll see if people's altruistic tendencies extend to fictional aliens. If they do, this company could make a few dollars along the way. 14,000 aliens have been saved so far, so go do your part (or perhaps donate your time and money to a real charity instead)

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DIY balloon sent up 30km

from Boing Boing by Mark Frauenfelder

Alexei Karpenko put together a system consisting of GPS, camera, sensors and communications, sent it to an altitude of 30km, and retrieved it on the ground after a parachute landing. The photos and videos he took are stunning.

High altitude ballooning is an emerging hobby, since price of GPS and communications equipment has gotten quite low. It is an excellent hobby for people fascinated by space flight and telerobotics and has many learning aspects — from systems design to electronics design to software engineering. There is also an exciting risk factor, namely, that you could lose your precious electronics if something malfunctions. In this project, many of my interest and knowledge areas came together. Also, I have verified that the Earth is indeed round and that space is black.

Bre Pettis of MAKE also built and launched a near-space balloon, but never found it. See his videos (part 1 and 2).

Link

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Fuzzy Math That Seems To Work? TrialPay Says They Can Make Money From Free

from TechCrunch by Nick Gonzalez

Maybe you want to try Skype-out, but don't want to be saddled with paying for unused minutes if the "VOIP revolution in telephony" isn't your thing. Well, Mountain View-based TrialPay will let you get a 3 month trial of free minutes by buying something on eBay or participating in any of 129 other partner offers.

The Skype deal is just one example of TrialPlay's ongoing promotions to help services make some money, while hooking new users and advertisers gain customers from trying something new, while paying for something familiar. The company is working with over 1,500 businesses to let users "pay" for their products by participating in an advertisers program, which range from buying the Economist, to trying out anti-wrinkle cream.

While TrialPay CEO Alex Rampell can't say how much Skype is making off their offers, he did say that "for most of our merchants, we are yielding between 10-100% in incremental revenue. A company like Skype might make $80 on a consumer not willing to buy their $8.85 calling plan". He went on to say "Skype now yields significant revenue for Staples.com, because people shop at Staples.com in order to get Skype credits for free". Conceivably, users not willing to buy Skype may be willing to buy enough from Staples to actually generate more revenue than Skype's purchase price. He made no qualifications about how commonly the over-achieving offers occur, though.

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