donniebaseball23 writes "There can be no denying that the rise of smartphones and tablets has had a major impact on the gaming business. The prevalence of free and 99-cent apps has changed consumers' perception of value. Mike Capps, president of Gears of War developer Epic Games, said, 'If there's anything that's killing us [in the traditional games business] it's dollar apps. How do you sell someone a $60 game that's really worth it? They're used to 99 cents. As I said, it's an uncertain time in the industry. But it's an exciting time for whoever picks the right path and wins.'"