If you've missed it by some chance web 2.0 applications are taking over the world. Not only are over a billion people online more or less constantly but more and more people are using web 2.0 apps to do work and day to day tasks.
This is a market that is a lot bigger then the games industry and since it is rapidly becoming the default state of entertainment (190 million users visit youtube each week) more game developers should be aware. Raph Koster is aware of this and is receiving flak and praise from around the internet, his latest discussion that we are loosing ground against flash games can be found here: Koster: "The web is kicking the console industry's ass"
This might seem extreme to a lot of gamers and game developers but it is really where games were going all along. Games spearheaded the invasion of application for the PC back in the late 80ies early 90ies. Now the same people who saw the benefits of digital offices are moving these applications online. Why shouldn't games be online as well?
And NO, a 6GB download for an MMO is NOT an online game.
Before flash releases support for 3D acceleration we're stuck using plug-ins that most people wont download or 2D games that just aren't as impressive today as in the golden age of NES.
I'll post about games that are already taking the plunge later today.