The Evolution of Gaming Auctions
The gaming industry has emerged as the preeminent form of entertainment, generating annual revenues that dwarf those of both music and film combined. Recently, auction prices for sealed video games have soared to astonishing heights, reaching up to $2 million, a significant increase from previous records of $1.56 million and even lower amounts in the past. However, the focus on sealed games often overlooks the historical significance of arcade machines, many of which remain undervalued despite their importance in gaming history.
The Similarities Between Gaming and Whiskey Collectibles
Just like collectible whiskey, which is often kept bottled due to its high value, sealed video games are similarly preserved and never opened. The last record-breaking whiskey was a Dalmore 62 Year Old, consumed in 2005 at a staggering cost of $2,500 per shot. Today, the price for a bottle of rare whiskey can exceed $1.8 million, making it a financial construct more than a consumable item.
Collectible Cars and Their Depreciation
While owning a collectible car offers the thrill of driving, the depreciation on such high-end vehicles can be steep, with costs potentially reaching thousands of dollars per mile. The expense of restoring classic cars can also run into millions, leading many to opt for replicas to enjoy while preserving the originals in private collections. This trend transforms many collectibles into mere art pieces, recorded as appreciating investments rather than items to be enjoyed.
Undervalued Arcade Games from Gaming History
Despite the significant cultural impact of arcade games from the 1970s and 1980s, these pieces of gaming history often sell for less than $5,000 at auctions. For instance, Atari’s pioneering arcade games illustrate a fascinating evolution: “Computer Space” (1971), “Pong” (1972), and “Space Race” (1973). These titles are crucial in understanding the development of gaming, yet they remain largely overlooked in the auction market.
Record Sales at Auction for Iconic Arcade Consoles
At a recent auction, three legendary arcade machines fetched record prices: $69,773 for “Computer Space,” $29,854 for “Space Race,” and $12,654 for “Pong.” Although these amounts are historic for arcade games, they fall short of the values typically associated with major technological advancements. The gaming industry, now a leading entertainment medium, has yet to see its contributions recognized similarly to traditional art forms like film and music.
The Unique Status of Gaming Artifacts
As technology continues to evolve, items like the original iPhone have seen their value skyrocket, reflecting their significance in the tech landscape. Similarly, video game artifacts, once considered undervalued, will likely gain recognition for their role in shaping today’s digital culture. With two-thirds of the global population now owning smartphones capable of gaming, these historical gaming items are poised for a reevaluation in worth.
The Current State of Arcade Game Valuation
In gaming enthusiast circles, there is ongoing debate about the rising costs of arcade consoles, with many lamenting the $5,000 prices for once accessible games. This concern echoes across various collectible markets as items that once had low barriers to entry now command significant sums. Notably, the upcoming Remarkable Rarities auction features two iconic arcade games: the Atari Star Wars cockpit console and a functioning “Pong” arcade machine, both expected to attract considerable interest.
The Atari Star Wars Console and Its Rarity
The Atari Star Wars cockpit console is a particularly notable item, with only around 2,450 units ever produced, making it a rare find. The arcade industry faced challenges in the 1980s due to societal shifts, leading to the decline of traditional arcades. Despite the demand for these iconic consoles, many remain hidden in private collections, and their scarcity is compounded by a lack of historical records.
Replicas vs. Originals in the Collectibles Market
As the market for arcade game replicas grows, with prices sometimes exceeding those of the original machines, the value distinction becomes critical. A pristine Atari Star Wars console recently failed to meet its auction estimate, highlighting the gap in perceived value between originals and replicas. Unlike most collectibles, arcade games can be enjoyed without diminishing their value, making them unique in the collectibles landscape.
Future Valuations of Arcade Games
Looking ahead, the potential appreciation of arcade games in the coming decades could be substantial. As the gaming memorabilia market matures, distinguishing between replicas and originals will become increasingly important, much like in the automotive sector. Given their historical significance, the future value of these arcade machines is likely to rise, making them worthy of attention from collectors and investors alike.
