Mobile Developers Complain Of Low Profits

A report in the Wall Street Journal has claimed that many developers of games for mobile phones are struggling to cover their development and distribution costs. The problem is being exacerbated by many service providers taking an unfairly large commission for the games they sell to consumers. The providers cut of the sales price varies between 10% and 70%, which combined with the low cost of many titles, typically around $5, is making it difficult for developers to make end meets. Despite this the global market for mobile phone games is predicted to rise to as much as $7 billion by 2008.