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TechElectronic Arts

EA is making most of its money from downloadable content

By
Benjamin Snyder
Benjamin Snyder
Managing Editor
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By
Benjamin Snyder
Benjamin Snyder
Managing Editor
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July 31, 2015, 5:28 PM ET
E3 Electronic Entertainment Expo
LOS ANGELES, CA - JUNE 18: A general view of the Electronic Arts booth during E3 Electronic Entertainment Expo at Los Angeles Convention Center on June 18, 2015 in Los Angeles, California. (Photo by Daniel Boczarski/WireImage)Photograph by Daniel Boczarski — WireImage/Getty Images

Electronic Arts is now making most of its money from game downloads, according to its most recent quarterly earnings.

The creator of the popular Sims franchise reported that downloadable game add-ons made up 77% of all revenue during its fiscal first quarter. As the Wall Street Journal notes, that means big savings for EA on costs associated with shipping and packaging items for delivery.

All told, EA saw digital net revenue rise 10% to $532 million, while overall adjusted revenue was down 11% to $693 million.

“Q1 was a great start to fiscal year 2016 for Electronic Arts as we continue our journey to put our players first and deliver amazing entertainment experiences,” said CEO Andrew Wilson in a statement. “We have players engaging for longer periods in our live services, ongoing strength across our digital business and growing anticipation for our upcoming titles.”

About the Author
By Benjamin SnyderManaging Editor
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Benjamin Snyder is Fortune's managing editor, leading operations for the newsroom.

Prior to rejoining Fortune, he was a managing editor at Business Insider and has worked as an editor for Bloomberg, LinkedIn and CNBC, covering leadership stories, sports business, careers and business news. He started his career as a breaking news reporter at Fortune in 2014.

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