Is the E3 trade show facing the axe?

— 2:33 AM on July 31, 2006

Ronald already linked this story in the 'bread, but it could use a little extra attention. Several reports claim the fate of E3 is uncertain, and the yearly trade show may even be cancelled altogether. The Electronic Entertainment Expo has played host to the unveiling and showcasing of many new game titles since its debut in 1995, but an article on MVC suggests the show has just gotten too expensive:

"Costs have been getting out of hand. We're talking double digit millions for some of us," said one senior industry insider. "But that's not just floorspace, of course - it's build, parties, hotels, flights. Security, particularly, has become a massive cost."
Industry sources have told Next-Gen.Biz that Entertainment Software Association President Doug Lowenstein is likely to announce a decision regarding E3's fate "within the next 48 hours," perhaps as early as Monday. The event will be either scrapped altogether or reorganized into a smaller venue, as Ars Technica reckons. Ars' sources say "big changes are planned," and that the show will be reshaped into a smaller, more closed-door event.
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