[Gamasutra]

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3. 3DS’ Rapid Price Drop

Months before launch, Nintendo appeared supremely confident that its next handheld gaming machine, the 3DS, would be a hit. There was little indication that it wouldn’t be, as the device had generally received positive reviews from the press, and the glasses-free stereoscopic 3D effect wowed others who got a pre-release hands-on with the DS successor.

The March launch price of the machine reflected Nintendo’s confidence: $250, or the same price as the Wii when it launched in 2006.

Nintendo’s new handheld wouldn’t hold that price for long. Sales were dropping rapidly and the company had to make the drastic decision to cut the price of the device. Four months after the U.S. 3DS launch, and five months after Japan’s, Nintendo announced it would reduce the price of the handheld to $169.99 in the U.S., with similar price cuts worldwide. 

If the 3DS’ price cut is not the fastest and heftiest post-launch sales drop in video game history, it certainly is a top contender.

Nintendo eased the rage of early buyers by deeming them “Ambassadors,” and giving them 20 free downloadable games playable on 3DS. The price drop took effect in August, and gave the handheld much-need traction. Now, with some strong holiday software titles, Nintendo says the 3DS is on track tobeat first-year sales of the smash-hit DS, another Nintendo handheld that had a slow start.

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1. Video Games Are Protected Speech

Easily the biggest news for the video game industry was the validation by the highest court in the land that video games are protected speech.

The long-awaited, landmark ruling in June this year set a precedent for the government’s role in the regulation of the video game industry, and helped place the video game industry on equal ground with other forms of media in terms of government regulation.

Games could continue to be self-regulated by the industry, and not treated by the government as pornography or some kind of addictive substance that’s harmful to youth. Rather, the people who make games could enjoy the same creative freedoms as authors, playwrights and film directors.

The ruling tells politicians to think twice about penning unconstitutional laws, and using taxpayer money to initiate more moral crusades against the video game industry. Now we know that, according to Supreme Court of the United States of America, “Video games qualify for First Amendment protection.”

Read the full story here: http://www.gamasutra.com/view/news/39067/Gamasutras_Best_Of_2011_Top_5_Major_Industry_Events.php