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December 21, 2009 4:00 AM PST

Behind the scenes: NORAD's Santa tracker

by Daniel Terdiman
  • 40 comments

Update, 1:15 p.m. PST, December 24: Santa is currently arriving at Pinsk, Belarus.

Last Christmas Eve, Jeff Martin found himself forced to explain to a Canadian general why, when Santa Claus passed through Toronto that night, Google Maps had placed the city in the United States.

Martin, then a senior marketing manager in Google's Geo group, was part of a huge team of people involved in the joint U.S.-Canada North American Aerospace Defense Command's annual NORAD Santa tracker program, a long-running effort to provide children the world over a live view of Santa's progress as he and his reindeer deliver Christmas presents.

In 2007, Google signed onto the project as a technology partner, and since then, has been incorporating NORAD's data on Santa's whereabouts into special 2D Google Maps and 3D Google Earth representations.

And that's where the trouble began.

NORAD is now actively tracking Santa, and will do so until 3 a.m. on Christmas Day.

(Credit: Daniel Terdiman/CNET)

Inexplicably, as Santa made his way through Toronto that night last year, the mapping software began identifying the city as being in the United States. Instantly, NORAD Santa's dedicated Gmail account "just lit up" with messages from irate Canadians, Martin said, and quickly, the Google team fixed the problem.

But not before Martin's run-in with Canadian Lt. Gen. Marcel Duval. "He said, 'I understand that you have a new American city,'" Martin recalled. "It was a slightly tense moment for me, standing in front of a three-star general explaining to him why one of his cities had been designated as a United States city."

Is this Santa Claus?
All joking aside, NORAD has been taking its Santa tracking project seriously for decades. But it actually began in 1955 with a wrong number.

One morning that December, U.S. Air Force Col. Harry Shoup, the director of operations at CONAD, the Continental Air Defense Command--NORAD's predecessor--got a phone call at his Colorado Springs, Colo., office (see video below). This was no laughing matter. The call had come in on one of the top secret lines inside CONAD that only rang in the case of a crisis.

The ad that started it all.

(Credit: NORAD)

Grabbing the phone, Shoup must have expected the worst. Instead, a tiny voice asked, "Is this Santa Claus?"

"Dad's pretty annoyed," said Terri Van Keuren, Shoup's daughter, recalling the legend of that day in 1955. "He barks into the phone," demanding to know who's calling.

"The little voice is now crying," Van Keuren continued. "'Is this one of Santa's elves, then?'"

The Santa questions were only beginning. That day, the local newspaper had run a Sears Roebuck ad with a big picture of St. Nick and text that urged, "Hey, Kiddies! Call me direct...Call me on my private phone and I will talk to you personally any time day or night."

But the phone number in the ad was off by a digit. Instead of connecting with Santa, callers were dialing in on the line that would ring if the Russians were attacking.

Before long, the phone was ringing off the hook, and softening up, Shoup grabbed a nearby airman and told him to answer the calls and, Van Keuren said, "'just pretend you're Santa.'"

Indeed, rather than having the newspaper pull the Sears ad, Shoup decided to offer the countless kids calling in something useful: information about Santa's progress from the North Pole. To quote the official NORAD Santa site, "a tradition was born."

From that point on, first CONAD and then, in 1958, when NORAD was formed, Shoup's organization offered annual Santa tracking as a service to the global community. A phone number was publicized and anyone was invited to call up, especially on December 24, and find out where Santa was. Manning those phones over the years have been countless numbers of Army, Navy, Air Force and Marine Corps personnel and their families, and for many people, turning to NORAD to find out where Santa is became something to look forward to each year.

Phones and e-mail
These days, of course, a single red phone isn't enough to handle the demand for the information. In fact, said Joyce Frankovis, the public affairs specialist who runs the Santa tracking program for NORAD these days, there were fully 1,275 people involved in the project in 2008, and there would have been more had there been more room for them.

Frankovis explained that most of those people are volunteers who come in to NORAD's Colorado Springs headquarters on Christmas Eve to answer phone calls and emails. And it's a good thing there's so many, she said, because "Literally, when a volunteer puts the phone down after they get done with a call, it's ringing again."

All told, she said that each volunteer handles about 39 calls per hour and that in 2008, the team used 100 phones and 25 computers to handle 69,845 calls and 6,086 e-mails from more than 200 countries. Most of those contacts happened during the 25 hours from 2 a.m. on December 24 through 3 a.m. on Christmas that the operations center (see video below) is up and running.

Most people, Frankovis said, just want to know where Santa is. And so the volunteer answering the question will look up at the big screen on the wall at the operations center and see where, on the map that is integrating geographical information from NORAD with Google's mapping service, Santa is at that moment.

"NORAD uses four high-tech systems to track Santa--radar, satellites, Santa Cams and fighter jets," reads the NORAD Santa Web site. "Tracking Santa starts with the NORAD radar system called the North Warning System. This powerful radar system consists of 47 installations strung across the northern border of North America. On Christmas Eve, NORAD monitors the radar systems continuously for indications that Santa Claus has left the North Pole.

"The moment that radar indicates Santa has lifted off, we use our second detection system. Satellites positioned in geo-synchronous orbit at 22,300 miles from the Earth's surface are equipped with infrared sensors, which enable them to detect heat. Amazingly, Rudolph's bright red nose gives off an infrared signature, which allow our satellites to detect Rudolph and Santa.

"The third tracking system is the Santa Cam network. We began using it in 1998, which is the year we put our Santa Tracking program on the Internet. Santa Cams are ultra-cool, high-tech, high-speed digital cameras that are pre-positioned at many locations around the world. NORAD only uses these cameras once a year on Christmas Eve. The cameras capture images and videos of Santa and his reindeer as they make their journey around the world.

"The fourth system is made up of fighter jets. Canadian NORAD fighter pilots flying the CF-18 intercept and welcome Santa to North America. In the United States, American NORAD fighter pilots in either the F-15 or the F-16 get the thrill of flying alongside Santa and his famous reindeer: Dasher, Dancer, Prancer, Vixen, Comet, Cupid, Donner, Blitzen and, of course, Rudolph."

Still, despite all that, "Santa is hard to track," said Frankovis. "We actually never know which route Santa's going to take. So it's just a matter of using that high-tech equipment to track him."

Technology is also playing an increasing role in how NORAD publicizes the program. Frankovis said that after taking over the project earlier this year when her predecessor retired, she decided to begin using a much wider collection of social and online media for promotion. As a result, the NORAD Santa tracker now has presences on Facebook, Twitter, Flickr, YouTube and TroopTube.

Google's Martin said that his company--which, like all the corporate partners in the program, offers its assistance at no cost to taxpayers--has dozens of people working on helping to track Santa. Those people provide technical consulting and server provisioning for the NORAD Santa Web site, as well as helping put together YouTube videos, information for Google Maps and Google Earth and, soon, a new service that will allow people to use their mobile phones to track Santa on Christmas Eve.

All told, Martin said, the Web site had 8 million unique users in 2008, who visited the site 15 million times, accumulating tens of millions of page views and more than 10 million map views. Those numbers were up about 45 percent from 2007, he added.

Martin also said Google helps out by providing and monitoring a Gmail account for the program. And it was there that one of the best messages he can remember came in just a few days ago.

"I have been good," a girl named Stephanie wrote to Santa. "But my brother Christopher is mean to me. Take him and leave the presents, please!"

Martin said that, clearly, many of the kids who send emails think they're reaching out directly to Santa. "We'll write back and say we've forwarded their message to Santa at the North Pole, who's preparing for Christmas Eve."

Of course, not everyone believes in Santa. Frankovis said that some callers--especially towards the later part of Christmas Eve when maybe a little bit too much egg nog or a Canadian grog called Moose Milk has been drunk--dial in to have a little bit of fun.

But for those who question whether there really is a Santa at all, Frankovis said the volunteers answering the phone have a simple answer: "'We believe, based on historical data and 51 years of NORAD tracking information, that Santa Claus is alive and well in the hearts of people throughout the world."

Col. Shoup and the e-mails
Last March, Shoup died, said Van Keuren. But in the years before his death, she and her family would take the retired colonel back to Colorado Springs each year for the Santa tracker training. "They would introduce him and he would say a few words," Van Keuren said. "So that was a big thrill for him."

In his later years, Shoup "was not as sharp as he used to be," she said. But his days overseeing the Santa tracker program were still near and dear to his heart. She said the NORAD folks had printed out a sheaf of emails kids had written in and gave them to Shoup as a reminder of what he'd started back in 1955.

"For the last weeks of his life, he carried them around in his briefcase like they were top secret papers," Van Keuren said. "Those were just precious to him. I'd read them to him over and over."

December 19, 2009 6:00 AM PST

ILM steps in to help finish 'Avatar' visual effects

by Daniel Terdiman
  • 45 comments

ILM was called in late in the 'Avatar' development process to help finish a series of the movie's shots.

(Credit: Industrial Light & Magic)

Update (11:49 a.m.): Weta Digital has been contacted for comment, and this story will be updated when and if the company responds.

SAN FRANCISCO--About a year ago, with James Cameron's science-fiction epic "Avatar" well under way, it became clear that Weta Digital, the visual effects studio doing much of the computer generated imagery, or CGI, on the project, was a bit in over its head.

At that point, the movie, which opened Friday, was about 40 minutes longer than it ended up being, and what was needed to finish the project was another company that could come in and lend a helping hand--and do so at the same, very high level, that Weta was working at.

And that's where Industrial Light & Magic came in, recalled John Knoll, the Oscar-winning visual effects supervisor tasked with parachuting in to help finish what was, more than on most films, the crucial job of crafting the "Avatar" CGI work.

What followed was months of coordination between ILM, Weta, and Cameron's production company, Lightstorm Entertainment, with a primary goal of ensuring that the two visual effects teams, one in San Francisco and the other in New Zealand, avoided any unnecessary duplication of effort, even as both sometimes found themselves working on effects for the same movie sequences.

For ILM, this wasn't the first time it had been called in to help aid another effects house, but it may well have been the first time it did so for one as big and as accomplished as Weta. To be sure, ILM's overall contribution to the finished film was minor compared to Weta's, but nonetheless critical in helping get the film to its final, finished state, Knoll suggested.

For Knoll, the challenge of working alongside Weta was about identifying a body of work that limited the number of assets the ILM team had to develop and which would allow them to be the most helpful. Ultimately, they were handed the keys to creating the visual effects for many of the specialized vehicles in the film, including the Valkyrie, a large shuttle used to move people and equipment, and several different types of helicopters, as well as the landscapes those vehicles lived in.

ILM was mostly given responsibility for doing the visual effects on the film's aircraft, notably its helicopters and the Valkyrie, a large-scale shuttle.

(Credit: Industrial Light & Magic)

ILM also did the effects work on the film's final battle scene, taking responsibility for the shots of all the vehicles taking off, as well as the sequence's cockpit interior shots.

Working together on a scene
For the most part, the teams at ILM and Weta worked on different scenes, but Knoll said there were some in which the two companies handles different parts of the same sequence. An example, he said, was a scene in the film where a group of helicopters attack the giant "home tree," where the Navi, the humanoid alien race in the film, live. Knoll said that the effects in the scene were mainly put together by Weta, but ILM handled all the shots in which the camera looks back toward the choppers.

In the scenes where the two effects houses both were charged with creating shots, the challenge was figuring out how to "checkerboard" the shots, Knoll said, especially because in some cases, ILM didn't know what Weta's work looked like.

"You keep cutting back between ILM shots and Weta shots," Knoll said. "They're really intermixed. I was worried, because we had to get going and go pretty far down the line before we had any Weta shots to refer to. We were both doing development in parallel."

This might have been a serious problem on many film projects, but with "Avatar," both ILM and Weta were working from extremely detailed templates given to them by Cameron. Knoll said that the templates gave his team very specific direction on how they should construct their shots, down to rough indications of the lighting in the scenes.

"It did help that the templates were so specific," Knoll said. "They were very detailed and Jim [Cameron] was very insistent: 'I've put a lot of time into making sure these are exactly what I want them to be, so you need to do a good job of matching that.'"

Still, with both houses working in parallel, there was certainly a bit of a race to finish a shot, Knoll said, because the team that was fastest would be able to more or less set the tone for the whole scene. "Whoever gets there first is who drives it," he said.

ILM visual effects supervisor John Knoll hopes that audiences won't be able to tell the difference between shots created by Industrial Light & Magic and those created by the film's original visual effects house, Weta Digital.

(Credit: Weta)

"For example, in the home tree sequence, we have to fire a bunch of missiles," Knoll recalled. "[There wasn't] anything established for what the missile trails look like. We did our own version of the what [they] would look like and Jim liked it, so that's what Weta had to match."

Of course, in other cases, Weta would finish first, and ILM would have to match what the New Zealanders came up with. And in some cases, it was a bit of "splitting the difference," Knoll said. Ultimately, he added, he hopes that audience members won't be able to tell that two separate visual effects teams shared the work.

All-CGI explosions
One benefit for the entire film industry of having ILM step in to help out on "Avatar" may be that in working on the project, Knoll and his team came up with a new way to completely computer-generate large-scale, close-up explosions.

Until now, big fiery explosions in CGI-heavy films have been shot with live camera and then had visual effects added to them. But Knoll said that because of some of the limitation of matching Cameron's templates for "Avatar," there was no practical way to meet the movie's explosive needs with live-action.

"We've done CG explosions in the past," Knoll said, "but never with this level of realism, and never this close up."

Fortunately, ILM had pioneered the rendering of the visual movement of fluids in films like "Poseidon" and "Pirates of the Caribbean," and Knoll knew that the shape and movement dynamics of an explosion were similar to that of water.

"The same underlying engine is being used on this," Knoll said. "The motion of the underlying gas is similar to the motion of fluids. The medium is relatively uncompressable. So when there's movement of the medium, it can't change volume real dramatically. So if you push on one side, something has to push on the other side."

That meant that ILM could take the graphics engine it had created for fluid shots in the previous films and apply the same basic technology for the explosions in "Avatar." Though there are clearly some major differences between fluid and big fire--notably that as fuel burns, fire expands, and then retracts when the fuel goes away, the technique was similar enough that the technology could be adapted to the needs of "Avatar."

"I think this is going to be an important technique (for the industry) in the future," Knoll said, "to tailor-make an explosion that looks good close up."

The fifth paragraph in this story was updated on December 22 to better reflect Knoll's statements of how and when ILM came to be involved in "Avatar" and what the company's impact on it was.

December 18, 2009 7:00 AM PST

NORAD posts rare video of its command center

by Daniel Terdiman
  • 20 comments

The entrance to Cheyenne Mountain, the former home of NORAD. Today, NORAD is based at Peterson Air Force Base, like Cheyenne Mountain, in Colorado Springs, Colo.

(Credit: Daniel Terdiman/CNET)

This is not your "War Games" fan's NORAD.

If the picture in your head of the North American Aerospace Defense Command's operations center is straight out of that 1983 Matthew Broderick movie, you may need to replace it.

That real-life command center, where personnel from the militaries of the United States and Canada keep a watchful eye out for threats from the sky, is no longer buried deep under Cheyenne Mountain. It is, however, still in Colorado Springs, Colo. Today, it is housed at Peterson Air Force Base, and it is a joint venture with the U.S. Northern Command known as the NORAD Integrated Command Center.

And befitting the sensitive nature of that facility, the public does not often get a look inside.

But earlier this week, NORAD changed that equation when it posted a video (see below) showing nearly three minutes of B-roll shot inside the Integrated Command Center. It's not the most exciting three minutes that ever happened in there, to be sure, but then again, it is NORAD.

NORAD, of course, is gearing up for its annual Christmas Eve Santa Claus tracking marathon. Starting Dec. 1, the NORAD Santa tracking Web site has been live, and has been offering up a series of games for kids, as well as some historical information about that program. Come back to this blog on Monday for a look behind the scenes of the NORAD Santa tracker.

December 10, 2009 4:23 PM PST

Video games sales drop, but still strong

by Daniel Terdiman
  • 57 comments

The video game industry just keeps on seeing its sales numbers decline, in spite of a huge month for Activision's Call of Duty: Modern Warfare 2, and the crucial holiday month of November was no different than the last nine months of 2009. For the month, according to industry analyst The NPD Group, sales across the entire video game business were $2.7 billion, down 7.6 percent from $2.92 billion a year earlier.

Yet, NPD added, industry-wide sales were so high in 2008 that even despite this November's significant drop, the month was still the second-best November on record. "I think we all have to realize the incredible year that was 2008," wrote NPD analyst Anita Frazier, in a research report.

Winning the month, yet again, at least in console sales, was Nintendo's Wii, with 1.26 million units sold. That's significantly more than the 1.1 million units that Wedbush Morgan analyst Michael Pachter predicted late last month, in the wake of Black Friday, that Nintendo would sell. Microsoft saw its Xbox 360 take a solid second place with 819,500 units sold, and Sony's PlayStation 3 brought up the rear with 710,400 consoles moved.

Despite a big year-over-year jump in PS3 sales, those numbers had to be disappointing for Sony. The PS3 had finished ahead of the Xbox in October and September, mainly as a result of the pent-up demand for the machine in the wake of its mid-August price cut to $299.

For the Wii, first place is nothing new, and it's clear that consumers had a bigger hunger for that console than its competitors' offerings. But while 1.26 million units sold is impressive, it's quite a bit lower than the 2.04 million Wiis that sold last November, even given the fact that Nintendo lowered the price of the Wii from $249 to $199 in September.

"Nintendo products top Amazon.com's most wished for and most gifted lists for video games, and Wii remains at or near the top of the most-searched for video game terms on Yahoo," Nintendo said in a statement. "As families and friends gather for the holidays, Nintendo games offer the best shared experiences."

Microsoft saw sales of the Xbox drop 2 percent, from 836,000 last year to 819,500 this year. But Xbox spokesperson David Dennis said overall, last month was the best November in the Xbox 360's history, in terms of dollars spent across the board.

Though it did finish in third place, the PS3's sales were through the roof compared to last year, almost certainly due to the price cut. Sony's sales of 710,400 PS3s was up 87.9 percent from last November's poor showing of just 378,000 units.

Indeed, Sony touted that big jump, though without mentioning the recent price decrease of the PS3. "In November, PS3 was the only hardware console to see any growth when compared to last November," the company wrote in a press release, "experiencing an (87.9) percent lift and a 122 percent increase from the previous month."

On the software side, it was pretty clear that the Xbox--with four of the top 10 best-selling games on that platform, compared to two for the PS3 and four for the Wii--was November's big winner. That was no more clear than in sales of the biggest game title of the year, Call of Duty: Modern Warfare 2, which broke the single-day record for sales for any entertainment product when it launched November 10, and was expected to make up a fifth of all games sales in November. The Xbox dominated sales of the game, with 4.2 million units sold, while just 1.87 million were sold for the PS3.

Dennis said the reason for that was clear: "It's Xbox Live," Dennis said. "People's friends are on Xbox Live, and you buy the version of the game where your friends are."

December 1, 2009 11:57 AM PST

Video game ratings board releases iPhone app

by Daniel Terdiman
  • 4 comments

I love tools that are all about providing people with information they want, and on Tuesday, the video game industry's official ratings board got my attention with something awfully useful.

The Entertainment Software Ratings Board (ESRB) announced on Tuesday its new iPhone app, which is designed to put the board's full written summaries of more than 2,500 video games right at parents' fingertips.

A new iPhone app from the Entertainment Software Ratings Board allows parents to see the full ratings summaries of more than 1,500 video games.

(Credit: Daniel Terdiman/CNET)

The idea is that with the app--officially called ESRB Rating, and available now, for free, in Apple's App Store--parents can punch in the name of any game rated by the board after July 1, 2008, and see not just the official rating--such as "M" for those 17 and up, or "E" for everyone--but the ESRB's full written summary of the title. The ESRB began writing the full summaries on July 1, 2008. Users of the app can also search for information about titles from before that date, but they will see only the basic letter rating and a brief content description.

Just over a year ago, the ESRB began making those summaries available to the public through its Web site, and through a mobile site (m.esrb.org). But the Web site isn't convenient to a parent who is actually out shopping for junior, and the mobile site is not something that many people who have standard cell phones will use, especially if they have to pay extra for data. An iPhone app is just so much easier.


Brilliant on-the-fly tools

Add this app, then, to the growing list of tools available for the iPhone and other smartphones that give consumers the ability to arm themselves with the most information about products and pricing while they actually have boots in the Best Buy, so to speak. Others include the brilliant SnapTell, which delivers comparative pricing information about books, DVDs, video games, and other items from sites like Amazon, Barnes & Noble, Gamespot, and others based solely on a photograph, and RedLaser, which scans items' bar codes and delivers similar pricing information.

But what makes the ESRB app so terrific, it seems to me, is that it provides parents with exactly the kind of nuanced information they need to properly choose the kinds of games they want to buy for their kids. Sure, the basic letter rating gives some context--if you're concerned about violence or racy content, you probably want to stay away from "M"-rated games--but within a single rating category, there is still a wide spectrum of content.

For example, the hottest game in the world right now is Activision's Call of Duty: Modern Warfare 2. The game has an "M" rating, but that just doesn't say all that much. Reading the summary, though, a parent can see much more: "Realistic gunfire, explosions, and cries of pain are heard during the frequent and fast-paced combat. The most intense depiction of violence occurs during a 'No Russian' mission where players take on the role of an undercover Ranger: Several civilians are gunned down at an airport as players are given a choice to participate in the killings (e.g., players can shoot a wounded civilian that is crawling on the ground), or walk by and observe without opening fire."

The app arms parents with the information to make informed buying decisions.

(Credit: Daniel Terdiman/CNET)

That's a little more informative than "M," isn't it.

To be sure, kids are going to be able to get the games they want regardless of what their parents buy them. But given that games can cost $60 apiece--at least for the AAA console games--it may be that they don't quite have the means to sneak off with each and every first-person shooter they desire. They may still be dependent on Santa Claus, aka their parents, to get them the bulk of their games.

And, of course, those buyers who don't have an iPhone still will have to struggle to access these summaries, and it's unlikely that retailers will be providing them in any useful form.

But all in all, I find this precisely the kind of thing that puts the power over decisions about which video games to buy right back where it belongs: in parents' hands. We are in an age where so many pundits, politicians, and others are moaning and whining about the breakdown of society, and parents are complaining about the corruption of their children.

Well, complain no more: If you've got an iPhone--and I certainly hope the ESRB puts this app out for Android and other smartphones soon--you can do the research yourself. And then if you're still unhappy about the content in the games you buy your kids, you have no one to blame but yourself.

Corrected at 12:50 p.m. PST: This story incorrectly reported how many games rated by the ESRB would have summaries available through the iPhone app. It is more than 1,500.

November 30, 2009 5:00 PM PST

Nintendo primed for holiday console dominance

by Daniel Terdiman
  • 17 comments

Nintendo seems ready to resume its dominance over its video game console competitors, Microsoft and Sony, and to shake off several tepid months of sales, an analyst suggested Monday.

Those comments came after Nintendo put out a press release boasting that it had sold 550,000 Wiis in the U.S. during Thanksgiving week, leading Wedbush Morgan analyst Michael Pachter to estimate that the company may have sold about 1.1 million of the consoles for all of November.

Analyst Michael Pachter thinks the Wii is ready to resume its dominance over its rivals.

(Credit: Nintendo)

Last November, Nintendo moved 2.04 million Wiis, so if Pachter is correct about this month's data--his estimate was based on a formula in which November sales numbers are equal to roughly double the Thanksgiving week sales figures--the company sold only a little more than half the units it did a year ago. Still, Pachter estimated that Microsoft and Sony will have sold about 700,000 Xbox 360s and PlayStations, respectively, during November.

A Microsoft representative said that, while the company doesn't provide internal sales numbers, Black Friday week Xbox sales were the best of the year and at least two times the previous week. A Sony representative said that the PS3 had a banner Thanksgiving week, and that 440,000 of the consoles were sold during the week. Nintendo did not respond to a request for sales numbers for Thanksgiving week a year ago.

Using Pachter's formula, the PS3 sales numbers would mean that about 880,000 of the consoles were sold for all of November.

Since the true beginning of the so-called next-generation console wars in November 2006--when both the PS3 and the Wii were released, joining the Xbox 360, which hit store shelves a year before that--the Wii has been the dominant player, routinely outselling its competitors.

Now the prices for all three consoles are within $100--the Wii and the lowest-priced Xbox are $199, while the PS3 is $299. That has led to an increase in sales for Nintendo's peers, especially for the PS3, which in September won its first month ever for U.S. sales, according to industry analyst the NPD Group.

Indeed, even Nintendo has acknowledged it had lost some of its steam. Last month, the company's president, Satoru Iwata, said, "The Wii has stalled."

But Pachter suggested that the Thanksgiving week numbers show that Nintendo has simply been a victim of its own success, and that the sales of the Wii--and its handheld game machines, the DS and DSi--are still very impressive.

"You can't really criticize Nintendo for" past success, Pachter said. "They're definitely going to be very solid and dominant this holiday season, but last year, they were so large and dramatic, (those numbers) are going to be hard to compare to."

For the Thanksgiving week, Nintendo said it sold more than 1.5 million devices, meaning that it sold almost 1 million of the DS and DSi. And to Pachter, that might be the most impressive data point of all.

After all, he said, the DS first came out in 2004. "When is this thing going to get old?" he said. "It never dies. It's amazing to me, but people just keep buying them."

Still, Nintendo's biggest advantage--over the PS3, at least--is that the Wii costs $100 less. And if Sony ever drops the PS3's sticker under $200, that could mean big trouble for the Wii, Pachter said. Such a move would force Nintendo to do something dramatic to keep up.

While he didn't say that Nintendo would need an entirely new console at that point, he did say that a sub-$200 PS3 would force Nintendo to do something like add a processor and graphics card similar to what is available on the PS3 and the Xbox. And that, among other things, means high-definition.

"I think consumers need that," Pachter said.

Updated at 5:10 p.m. with comment from Microsoft, and at 7:55 p.m. with comment from Sony.

November 23, 2009 5:02 PM PST

Millions using social media on Xbox Live

by Daniel Terdiman
  • 29 comments

Microsoft on Monday said that millions of Xbox Live members have used the new social-media features that the company pushed live a week ago.

In June, Microsoft announced it would begin offering Xbox Live users access to Facebook, Twitter, and Last.fm. And while the manifestation of each of those services is scaled down on Xbox Live, the rollout has been one of the company's big pushes this fall for its hugely popular online system.

According to Microsoft spokesman David Dennis, the first-week figures show that at least 2 million Xbox Live users have logged into Facebook, and that half a million Last.fm accounts were created in the first 24 hours of availability. Dennis didn't address how many Xbox Live users have used the service's Twitter feature, except to say that there have been "tweets from nearly every market where we have Xbox Live."

So, based on the data Dennis provided, the Facebook integration with Xbox Live has had the most adoption. And while 2 million people logging into Facebook is far short of the 20 million total Xbox Live users, it is notable that fully one tenth of the service's users have tried the Facebook feature in just the first week.

Still, there's no way to know if the numbers of members using the social-media features will climb higher. There are those who feel that the Facebook and Twitter implementations lack some of the richness that has led to those services' phenomenal growth, and one has to wonder how many Xbox Live users will choose to spend time with Facebook or Twitter instead of doing things like watching movies or playing games.

As for Last.fm, Dennis said that in the first week, Xbox Live users had streamed 120 million minutes of music. Last.fm is a part of CBS Interactive, which also publishes CNET.

Lastly, Dennis said that 1.7 million Xbox Live users had gone to the new Zune marketplace--formerly known as the Xbox Live marketplace--and watched video.

November 23, 2009 4:00 AM PST

Alternate-reality games flourish at the grassroots

by Daniel Terdiman
  • 6 comments

A photo of a meeting between a participant in Must Love Robots, a small-scale alternate-reality game put on recently by the New York duo, Awkward Hug, and the game's signature robot.

(Credit: Flickr user Tim Scribbles)

For Kiaya Steele, the men in suits and dark glasses who appeared suddenly through the raindrops of a New Hampshire morning were the first sign that something very unusual was going on.

One of the men stood under an umbrella next to the car Steele and her friend Kellin had been riding in moments earlier and delivered a message. As Kelli's sister Jenna was brought out of a second car that had pulled up mysteriously behind them, Steele was told that if she couldn't quickly prove that she was "the real Kiaya," the bomb planted inside Jenna would explode.

And this was just the tip of the iceberg of a day spent driving all around the countryside, complete with vans, staple guns, cameramen in trees, threats, red phone booths, and a series of hidden clues.

But this wasn't a situation for the FBI. Rather, it was a very small-scale--and low-tech--version of what is known as an alternate-reality game, an entertainment genre that has grown in popularity in recent years, especially because its traditional use of mixed-media--the Web, cell phones, social media, and others--can allow large numbers of people to play together collaboratively.

Over the years, the games have become a favorite marketing tool of large companies like Microsoft, which has commissioned huge ARGs, as they're known, for the launches of things like the video game Halo 2 and Windows Vista. Indeed, the first widely known ARG was called The Beast, and was used as a promotion for the release of the Steven Spielberg film "AI: Artificial Intelligence."

Those versions of ARGs have seven-figure budgets and allow thousands of people to participate. Yet while they get most of the ink written about ARGs, there has long been a steady stream of games built for very small audiences or, as in the case of Steele and the friend with a "bomb" insider her, an audience of one. It turned out that the intrigue was all part of a day-long mystery concocted by Steele's boyfriend, and involving several of their friends, as part of an elaborate marriage proposal.

"It's such a cool format, and the people who can make it through a whole one of these get an experience that no other media can provide."
--Jim Babb, founder of the AGR Awkward Hug

"We use a lot of fictional analogies in our lives--gangsters in an alley (and) later in the quest there was a Soviet scientist, all themes that had played out in our courtship," Steele recalled. "We would write stories of sorts to one another before we dated. We'd take an image and run with it until it was too tired to move anymore. The whole thing was kind of a collaboration of our lives together."

Given that the game Steele's new fiance planned for his proposal had such a small audience, it was, to be sure, at the extreme end of the size and complexity spectrum for ARGs. But at any given moment, there are several ARGs being played that have slightly larger, yet still very small, numbers of participants. And it is these games, usually carried out at minimal expense and with no deep-pocketed sponsor, that may well be the true lifeblood of the increasingly popular world of ARGs.

And while there are practical limits to the kinds of interactions that are possible between the people running the larger games--the so-called puppetmasters--and the players, these smaller adventures offer everyone involved a much greater chance at direct communication.

"There are quite a few people making [small] ARGs, either without profit in mind or marketing [who are] saying, 'Look at me, I can do this,'" said Michael Andersen, who runs ARGNet, the leading source for news and information about the genre. "The motivations for a lot of these things vary. [One] advantage of doing these grassroots games is working for yourself. [And], it becomes a lot easier to have those one-on-one interactions [and the] feeling that not only can you communicate, but you can change what's going on" for fans.

Robot love
Earlier this year, a New York duo calling themselves Awkward Hug built and pulled off a small-scale ARG called Must Love Robots, which was centered around the idea of helping make love connections between people and robots.

Through a series of Web sites, social media, YouTube videos and more, Awkward Hug founders Jim Babb and Tanner Ringerud turned a $3,000 budget into a 3-month-long game with at least 300 participants.

Babb said that the project, which was entirely self-funded, came out of an original desire to create a Web series about a robot. But when the two realized that they could "make it so much more" by adding the various multimedia elements, they set out to build a bona fide ARG, one that would allow them to communicate directly with almost anyone who wanted to talk with them, even to the point of playing online games of Scrabble. And, of course, there were real-world meetings between prospective "dates" and the game's signature robot (see video below).

Given the huge gap in size between a large-scale ARG and something like Must Love Robots, it might be surprising that many of the ultimate goals are the same. It certainly was to Babb.

"What surprised me the most," Babb said, was that "players want more and they want to do things with you. It becomes a collaboration. The audience becomes characters."

And while it's not always possible for everyone to participate in person--Must Love Robots attracted players from around the world--one of the great things about the ARG genre is how many people who play do participate directly in one way or another. In Babb and Ringerud's game, for example, 20 people created costumes related to the story line and sent in pictures of themselves wearing the outfits, all of which were intended to be folded into the larger story line.

Kids creators
A different kind of small-scale ARG was Find Chesia, a project put on by the Finksburg, Md., library on behalf of its local schoolchildren and their summer reading program.

The story, said organizer Heather Owings, was centered on the story of Chesia, a 14-year-old girl whose parents have gone missing on an archaeological dig and who sets out to find them. The game was designed by five small teams of 11- to 15-year-olds.

Like with many small-scale ARGs, Find Chesia encountered a series of structural problems, most notably, Owings said, the fact that the kids turned out to be resistant--mainly due to regular conditioning about the dangers of online anonymity--to the idea of posting information in character to the game's Web site. In addition, there was the unforeseen problem that almost none of the kids were old enough to drive to the game's real-world locations.

This bracelet is an important element in the ARG, Finding Chesia, which was put on by a Maryland library on behalf of a town's schoolchildren and their summer reading program.

(Credit: Finding Chesia)

Still, the game was successful enough for Owings to want to run the game again next summer, incorporating some of the lessons they learned this year. And despite the problems, Owings said that she came away with an appreciation for what the ARG genre can offer its organizers and participants.

"I like that ARGs use tools that were set up to do something else, and they're used to create something new," Owings said. "It's the taking of something and changing it and using it for something it wasn't intended [for] in a new and creative way."

Plus, she said, Finding Chesia turned out to be a perfect way to get the kids in on the enjoyment of building their own game, even though they lacked many of the skills generally considered necessary for such a task.

"It's a way for teens to create their own game," Owings said, "and we really enjoyed that aspect of it...They don't need to be computer programmer [and] here is a way for them to take ownership for creating a game on a fairly small level. [As well, it] helps them to realize how much the Internet does facilitate networking within the community, as well as outside the community."

These days, said ARGNet's Andersen, there are at least as many small, grassroots ARGs being produced as the larger, corporate-backed games. And those numbers could grow as an increasing number of people become versed in the tools for building them. According to Andersen, teachers at the University of Texas at Dallas and the University of Mary Washington are both teaching classes about ARGs.

But the real upside in the genre's growth will come naturally, as more people in more local communities get exposed to ARGs and discover the joy of playing something truly interactive and truly collaborative.

And while it's true that most small ARGs quickly peter out as players and organizers discover that they don't have the time or energy to follow through, there are those who feel that the ultimate payoff of participating is there for anyone with the stamina or commitment to grab it.

"For an independent ARG, the most successful thing you can do is complete it and have your core audience go all the way through," said Awkward Hug's Babb. "It's such a cool format, and the people who can make it through a whole one of these get an experience that no other media can provide."

November 12, 2009 4:31 PM PST

Video game sales fall off a ledge in October

by Daniel Terdiman
  • 18 comments

U.S. video game industry sales plunged in October, dropping 19 percent from a year earlier, and 16.4 percent from September, according to data released Thursday by the NPD Group.

But with the tremendous, record-breaking, out-of-the-gate performance of Activision's Call of Duty: Modern Warfare 2 and the coming holiday season, NPD is bullish on the industry's fortunes for November.

Still, the $1.07 billion in total sales turned in by the industry in October were paltry, compared with $1.32 billion in October 2008 and $1.28 billion in September 2009. NPD analyst Anita Frazier tried to soften the blow a little bit in her monthly report, noting that while sales were down precipitously in October, it was still the third-best October sales report turned in by the video game industry.

"The continued economic turmoil, and in particular the troubling unemployment rate, is undoubtedly impacting industry sales," Frazier wrote in a statement. "Our latest Economy Tracker indicated that although consumers' general opinion about the economy is improving, their outlook on their own personal situation is worsening. If consumers' personal outlook continues to erode, they could very well be much more conservative with their holiday shopping this year."

That last sentence is no doubt one of the most chilling group of words imaginable to the honchos at companies like Microsoft, Sony, Nintendo, Electronic Arts, Activision, and many others involved in putting video game hardware and software in consumers' hands, especially as their most important sales months of the year are now at hand.

As always, regardless of the monthly results, the big console makers each had some things to celebrate in the NPD numbers.

For Nintendo, which has seen sales of its once-high-flying Wii dip and perceptions that the console's days of seeming infallible may be over, the numbers had some hope: in October, the Wii took back first place among the consoles--respectively the Wii, Microsoft's Xbox 360, and Sony's PlayStation 3. In October, Nintendo moved 506,900 Wiis, beating out the PS3 (320,600) and the Xbox (249,700).

Sony was coming off the first month the PS3 won since being launched in the fall of 2006, but while the console was beaten out by the Wii, there must certainly be some measure of gratification in having the PS3 come out ahead of Microsoft's console offering.

"In October, we saw continued momentum [for the] PS3, with nearly 70 percent growth, when compared to last October," Peter Dille, Sony Computer Entertainment of America's senior vice president of marketing, said in a statement. It was "the only console to see any growth year over year."

NPD itself touted Microsoft's chief bragging point for October: "Across all categories, the Xbox 360 platform contributed the greatest portion of total industry sales, representing 27 percent of total industry sales for the month," Frazier wrote.

Yet despite the record-smashing first-day sales posted this week by Call of Duty: Modern Warfare 2, the video game industry as a whole is facing a very painful reality: If sales don't improve quickly, there will be layoffs, slashed budgets, canceled games, and more.

Electronic Arts, for example, announced this week that it is planning to lay off 1,500 people as part of a major restructuring--the company's latest--and as a way to stave off growing losses.

And while the industry may have hoped that console sales--especially with prices for next-generation hardware now at their lowest levels ever--would help it rebound, Frazier did not offer much hope.

"Year to date, the hardware category has experienced the sharpest decline in the industry, with unit sales down 10 percent compared to the same time period last year," Frazier wrote. "Recent price cuts helped spur a one- to two-month increase in unit sales, and this month's Wii sales reflect that boost, but the other platforms have not sustained the sales momentum [after] price reduction."

November 12, 2009 1:00 PM PST

Call of Duty: Modern Warfare 2 said to break sales records

by Daniel Terdiman
  • 38 comments

Call of Duty: Modern Warfare 2 is said to have broken the single-day sales record for an entertainment property. According to Activision, the game earned $310 million in North America and England alone in its first 24 hours.

(Credit: Activision)

So much for the supposedly unbreakable first-day sales record set last year by Grand Theft Auto IV.

On Thursday, Activision said that its brand-new Call of Duty 2: Modern Warfare, which hit store shelves on Tuesday, had "shattered" the previous record for opening-day sales by an entertainment property, earning $310 million in North America and the U.K. alone. That equates to 4.7 million copies of the new game sold in those regions, and, if true, would eclipse the previous first-day sales record of $310 million globally, which GTA IV set in May of 2008.

Given that GTA IV had nearly doubled the previous record of $170 million, set by Halo 3, I wondered at the time whether its new mark was unassailable. Clearly, the new Call of Duty has answered that question, and loudly.

Now, we have to ask once again whether there could be another challenger for the crown. It would be foolish, it seems, to conclude that there won't be, given the dominance of franchises like Guitar Hero, Rock Band, Grand Theft Auto itself, and, of course, Call of Duty.

A bigger question could be: Why do we care? That's especially true given how frequently these mega-records are broken. Still, it's hard not to get worked up about what it means for a single video game title to bring in hundreds of millions of dollars in a single 24-hour period, particularly while we're still mired in a fairly deep recession.

There are all kinds of arguments to be made about why video games do well in tough economic times, and I've trotted a number of them out in this space. But most games don't come anywhere near selling $310 million worth of product in their entire lifetime, let alone on their first day, so Activision--and its Infinity Ward studio, which actually developed the new Call of Duty--seem entitled to a little bit of attention.

But at the rate these records are falling, I'm going to have to start thinking twice every time a new game sends me one of these announcements about breaking records. Sooner or later, it's not going to be all that noteworthy, no matter how much money is earned in a single day. Until then, though, watch this space for word on which game will be next in line for the throne.

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About Geek Gestalt

Daniel Terdiman, uniquely positioned to take you into the middle of another side of technology, chronicles his explorations of the "fun beat," from cultural phenomena such as Burning Man to cutting-edge aircraft to game conventions.

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