SOURCE: SPYR, Inc.

SPYR, Inc.

May 04, 2016 09:00 ET

SPYR, Inc.'s Anticipated Revenue Projections Could Offer Significant Shareholder Value

NEW YORK, NY--(Marketwired - May 04, 2016) -  SPYR, Inc. (OTCQB: SPYR) signed a deal earlier this year with Spectacle Games to assume the publication and marketing of its free-to-play Massively Multiplayer Online Game (MMO), Pocket Starships (www.pocketstarships.com). At the time, it wasn't completely clear how this news would factor into the company's future, but this week SPYR explained more about the opportunity that Pocket Starships offers the company, and its potential for significant and sustained revenue growth. So, while at first this announcement may have seemed to be just another publishing deal for a small app development and publishing company, a closer look at this week's news shows it may be the very thing that significantly propels SPYR's bottom line well into the future.

In this week's news release, SPYR used the example of the revenue generated by World of Tanks, another successful MMO game that the principals at Spectacle Games worked on and helped bring to market. According to industry sources, World of Tanks has generated more than $1.3 billion over the last three years alone, and SPYR plans to use the same formula for Pocket Starships that was used with World of Tanks and a number of other successful games, with the goal of driving impressive revenue that could reach well into the hundreds of millions of dollars each year.

The relationship between SPYR and Spectacle Games should be exactly what can make this MMO game a success for SPYR and its shareholders. After all, Pocket Starships, being a cross-platform game, already has a significant number of players on the web and on mobile devices. This partnership will allow Spectacle Games (the developer) to focus solely on the crucial content updates and improvements to the game that will help keep current users engaged, while SPYR (the publisher) manages the marketing and the acquisition of new users for Pocket Starships. It is this crucial balance that is necessary for a game to see long-term success.

SPYR's Chief Executive Officer, James R. Thompson, said that the revenue generated by Pocket Starships will be driven by "in-app purchases," so increasing the user base is naturally key to driving more of those in-app purchases. Thompson doesn't discount current users either as he stated that constantly upgrading the game with new content and new features is not only a great way for the game to stay fresh and exciting, but it also creates new opportunities for existing players to spend money in the game.

With Pocket Starships being a cross-platform MMO game, it has an advantage over many other games because users can access the game on any device. Whether it's on an android or iOS mobile phone, an iPad, Kindle, Amazon or android based tablet, a laptop computer or even a desktop, gamers can play Pocket Starships and "in real-time" with thousands of other players from all over the world. This makes it easier for current users to attract their friends to the game, and it's a great marketing feature for SPYR to use when spending marketing dollars to bring new users into the game, and expose them to the game's in-app purchase options.

There should be some real anticipation for SPYR's announced revenue projections in the coming months. The numbers, combined with SPYR's low float share structure, could provide a real glimpse into how lucrative the gaming industry is, and why SPYR chose this new business model in 2015 in the first place. Spectacle Games and its Chief Executive Officer, Lars Koschin, will compile the upcoming projections for sustained revenue growth for Pocket Starships, and given the partnership between the two companies, SPYR's plan moving forward and the knowledge that these games can produce great amounts of revenue, SPYR's investors could see some real anticipation begin to grow ahead of the release of those projections.

Koschin, who is also an advisor to SPYR, has a great deal of experience in the industry running successful MMOs that have made tens and hundreds of millions of dollars worldwide with Gamigo, Frogster, Wargaming (World of Tanks) and other large companies. Koschin clearly knows what it takes for a game to be successful, and he knows projections are crucial to the business of app development and publishing, so his numbers should offer great insight into the future of SPYR and its place in the mobile game and app development & publishing industry.

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