How profitable the game is really is the entire point.
Whether the game is profitable is the point, not how profitable. Once you pass the initial threshold of making a profit, the rest is an argument about degrees of success, not success vs. failure.
Ok, you can think that, but no competent investor or successful business in the world will use that as a metric for judging success. You are continuing to demonstrate the ignorance of finance and business that fanboys are plaguing this thread with.
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
Right and subs are down a lot. As I said previously, most estimates I've seen put the variable cost per player at $5 a month which is around $120+ million if their numbers from mid last year are to be believed. Then you have additional development costs for the CM. Much of it isn't going to cost much, but some of the content they put out will have substantial costs. Then you have fixed expenses that are going to add on to that. I think they're profitable. I've said that previously. If you are using a dichotomy of profitable = success and not-profitable = failure, you are doing it wrong. The risks and opportunity costs are too great for a game with total costs in the hundreds of millions of dollars and a 6 year development period to be justified with anything less than a huge rate of return. Standard acceptable rate of return for venture capitalists is 25%. We don't have any solid numbers (EA doesn't share them), but from the numbers we do see, it's probably not close to that.
Originally posted by CazNeerg
Originally posted by marsh9799The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So what? It's a high enough revenue number to make it impossible to argue with any credibility that the game isn't profitable. Exactly how profitable it is really isn't the point.
How profitable the game is really is the entire point.
I stopped reading after "right and subs are down a lot". Please provide a link to back that up or anything else you said here or on this entire thread. The only thing that has failed have been you assumptions. You have no facts just bias assumptions and make believe numbers or sayings like "subs down a lot" yeah cause you said so?
The total was 19% or $43 million it was primary because of Swtor but recouped all that from is f2p sales. Last report was 500k subs even if they dropped 20% of subs they still would have 400k. You tell me which mmo that has less than 400k subs that's a success...of wait if having 400k subs = fail I guess almost every mmo out today is a fail.
Again your are the only thing failing here.
Number of players is irrelevant to determining success. I'm pretty sure Everquest 1 is still a success. It's 15 years in and still profitable from what I understand. Everquest 2 definitely is if its development costs were around the rumored $25 million. It really depends on what the development costs were.
Its based off of people thinking their opinion is the way the truth and life of mmos.
I don't worry about what others think about gaming world tbh if I did I probably wouldn't even play much of anything. Seems to be a community that likes to over hype certain genres or really harsh rating system each person has. Some people care about numbers, some care more about graphics, some about endgame, some about unless supply of content. If any of you know the amount of effort it is to make a video game which, swtor spent millions on to make a star wars game worth the star wars title, knows it took so many hours/years/decades to come put with the design elements. But someone who wants to declare something a failed in less then a second - what a joke.
There is way worse mmos out there in my judgment but I don't go out and say they have failed. All mmos/games with poor performances have ways to improve it. Since launch of swtor they add tons of items/content for the players to do and continue to do it. That brings up f2p or p2p, doesn't matter what subscription model a company chooses to use one isn't greater then the other but, how I feel about f2p is the store is a wonderful idea - brings so much more content then a normal subscription base. Most those items wouldn't even seen the light of day unless a store was even around.
A man who fears nothing is a man who loves nothing; and if you love nothing, what joy is there in your life?
So here is the logic from some on here like marsh...
$139 million in revenue = fail
profitable = fail
2nd or 3rd most popular western mmo = fail
the improvements and content they have added the last two years = fail
the road map for '14 = fail
using their bias assumed numbers without any link to back them up = fail
Pulling assumption out of their ... Like "subs are down a lot" without any links or facts = fail
So did I miss anything here?
Yes, you missed everything.
1.) Revenue taken in isolation is a meaningless number.
2.) Profits taken in isolation are a terrible measurement of a successful investment.
3.) 3rd most popular in all likelihood and irrelevant for determining a successful investment.
4.) Improvements and content additions are irrelevant for determining a successful investment.
5.) See above.
6.) Bias numbers? Where?
7.) I provided a link. It's from the EA 10Q...
1) Bias opinions with no facts taken in the isolation of a basement = failed attempt at bashing
2) bias facts with no links or proof from the isolation of a basement = failed attempt at bashing
3) It's pointless auguring with someone who's facts and logic are so messed up. Yeah the population is totally irrelevant to collecting back it's investment what a ridiculous statement!
4) your right those improvements and content DONT KEEP people playing and keep people paying it's totally irrelevant to collecting back it's investment another ridiculous statement.
5) see above
6) every number you have ever posted
7) still would be around 400k subs again by your logic almost every mmo out today would be a failure.
1.) This is an absolute fact. Revenue is an irrelevant number in isolation across the board in every business. Period.
2.) This is an absolute fact. Profit is an irrelevant number in isolation across the board in every business. Period.
3.) It is a FTP game. It doesn't matter how many people are playing. It matters how much they it costs for them to play and how much they are spending.
4/5.) Yes, I agree that it's very important to keep people playing and to continue the existence of the game. The fact that they are adding content is irrelevant.
6.) Examples.
7.) Where did I use the number of subscriptions as an indicator of failure? I used it for falling revenue.
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
Right and subs are down a lot. As I said previously, most estimates I've seen put the variable cost per player at $5 a month which is around $120+ million if their numbers from mid last year are to be believed. Then you have additional development costs for the CM. Much of it isn't going to cost much, but some of the content they put out will have substantial costs. Then you have fixed expenses that are going to add on to that. I think they're profitable. I've said that previously. If you are using a dichotomy of profitable = success and not-profitable = failure, you are doing it wrong. The risks and opportunity costs are too great for a game with total costs in the hundreds of millions of dollars and a 6 year development period to be justified with anything less than a huge rate of return. Standard acceptable rate of return for venture capitalists is 25%. We don't have any solid numbers (EA doesn't share them), but from the numbers we do see, it's probably not close to that.
Originally posted by CazNeerg
Originally posted by marsh9799The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So what? It's a high enough revenue number to make it impossible to argue with any credibility that the game isn't profitable. Exactly how profitable it is really isn't the point.
How profitable the game is really is the entire point.
I stopped reading after "right and subs are down a lot". Please provide a link to back that up or anything else you said here or on this entire thread. The only thing that has failed have been you assumptions. You have no facts just bias assumptions and make believe numbers or sayings like "subs down a lot" yeah cause you said so?
The total was 19% or $43 million it was primary because of Swtor but recouped all that from is f2p sales. Last report was 500k subs even if they dropped 20% of subs they still would have 400k. You tell me which mmo that has less than 400k subs that's a success...of wait if having 400k subs = fail I guess almost every mmo out today is a fail.
Again your are the only thing failing here.
Number of players is irrelevant to determining success. I'm pretty sure Everquest 1 is still a success. It's 15 years in and still profitable from what I understand. Everquest 2 definitely is if its development costs were around the rumored $25 million. It really depends on what the development costs were.
What's the difference of a company with development cost of $25 million that's making a profit and a company with development cost of $200 million making a profit? It has nothing to do with development cost if they can recoup that cost and start making. Profit like Swtor is.
You can keep twisting words and facts but your logic is flawed at best.
SWTOR was headed down the path of failure in the beginning. They adjusted and rectified the situation to make the game profitable. So in that aspect no it is not a failure.
Their original business model can be considered a failure, but the game as a whole I believe can not.
Now it is a whole other ballgame as to how the investors at EA actually perceive the game. One thing you have to consider in investors eyes is Rate of Return, I personally do not know the actual amount EA/Bioware spent on the game. What ever it is we can agree it was a LARGE sum based off of what has been floated around. Investors will look at that rate of return and if is not substantial enough for the money invested it could be perceived in their eyes as a failure. Especially if they could have invested the money elsewhere and garnered a higher ROR.
At this point the game seems to be turning a profit and EA will milk it for all it's worth and good for them.. they laid out a lot of capital on this game.
I always want to see games to well, and harbor no ill will towards any game or game company. The better they do the better for the industry were I get most of my entertainment.
Their original business model can be considered a failure, but the game as a whole I believe can not.
It's going to be interesting seeing how ESO and Wildstar do, it's entirely possible that the market has changed to the point where the sub only model itself is simply not sustainable in the long term for any new game, regardless of quality.
Peace is a lie, there is only passion. Through passion, I gain strength. Through strength, I gain power. Through power, I gain victory. Through victory, my chains are broken. The Force shall free me.
After the bi weekly maintenance today i entered the game and everything was fine for an hour, then started the heavy latency. so 1st i closed game, reset my connection, changed dns and then flush dns. now enter the game and the lag was still there. now i did tracert and i found out as soon as i reach this address below my latency went sky high :
EA-INC.edge3.Washington1.Level3.net
Guess whose server is it?
Do a maintenance and create lag, do a patch and break class story mission or some unrelated mission that was not meant to be effected by patch or turn an entire quest zone into exhaustion zone or make priority terminals on fleet/daily areas broken and add more bug that did not even exist before the patch. is there any other mmorpg in market that achieve this feat?
now you tell me why this game is considered a failure. why did i go ahead, bought and applied three 60 day time cards i wonder!! performance graph is going downhill day by day.
Boobs are LIFE, Boobs are LOVE, Boobs are JUSTICE, Boobs are mankind's HOPES and DREAMS. People who complain about boobs have lost their humanity.
Their original business model can be considered a failure, but the game as a whole I believe can not.
It's going to be interesting seeing how ESO and Wildstar do, it's entirely possible that the market has changed to the point where the sub only model itself is simply not sustainable in the long term for any new game, regardless of quality.
I agree it will be interesting.
I hope they both have tremendous success, as I am a big believer in the sub model. However my time in MMO's maybe over, because I can handle one or both models what I can't stand and refuse to play is a sub/f2p model that has content (any type) gated behind the cash shop for the subs.
Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...
When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...
Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.
Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble.
But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...
You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game.
The game is a failure primarily because of the cost, development time, and expectation.
The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So in other words you have no information to actually show anything about the game's financials other than the revenue numbers, just like everyone else. You want to cast doubt on whether or not the game is profitable, but you have nothing to do it with. You've also missed out on the revenue from subscriptions. The $139M was just the cash shop.
Very few successful people would make business decisions with so little information. They certainly wouldn't make judgements on a product's profitability based on only the revenue.
Luckily we have EA telling investors the game is profitable so there's that.
I can not remember winning or losing a single debate on the internet.
Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...
When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...
Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.
Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble.
But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...
You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game.
The game is a failure primarily because of the cost, development time, and expectation.
The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So in other words you have no information to actually show anything about the game's financials other than the revenue numbers, just like everyone else. You want to cast doubt on whether or not the game is profitable, but you have nothing to do it with. You've also missed out on the revenue from subscriptions. The $139M was just the cash shop.
Very few successful people would make business decisions with so little information. They certainly wouldn't make judgements on a product's profitability based on only the revenue.
Luckily we have EA telling investors the game is profitable so there's that.
Inb4 EA is lying to shareholders and is secretly running the game at a loss just to.... i have no idea what the hater's point is anymore.
SWTOR Referral Bonus! Referral link 7 day subscriber level access Returning players get 1 free server transfer
I hope they both have tremendous success, as I am a big believer in the sub model. However my time in MMO's maybe over, because I can handle one or both models what I can't stand and refuse to play is a sub/f2p model that has content (any type) gated behind the cash shop for the subs.
I've been fortunate in that no game I've played has that problem. I can't consider TOR to be in that situation, since everything available from the cash shop can be sold in the GTN, and there is basically nothing in the game that credits are useful for other than buying things that originated on the cash shop. (Add to that that all that is in the TOR cash shop for subscribers is frivolous cosmetic fluff.)
Peace is a lie, there is only passion. Through passion, I gain strength. Through strength, I gain power. Through power, I gain victory. Through victory, my chains are broken. The Force shall free me.
Their original business model can be considered a failure, but the game as a whole I believe can not.
It's going to be interesting seeing how ESO and Wildstar do, it's entirely possible that the market has changed to the point where the sub only model itself is simply not sustainable in the long term for any new game, regardless of quality.
if you've played ESO then you can see how that is going to go. Its too big of an IP so its hyped up. People are expecting Skyrim with multiplayer and it is not that..... well its got skyrims bugs but thats it.
Wildstar might be able to sneak in under the radar and pull a EVE.
But the bottom line to any MMOs success is how fast new content and bug fixes can get out.
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So in other words you have no information to actually show anything about the game's financials other than the revenue numbers, just like everyone else. You want to cast doubt on whether or not the game is profitable, but you have nothing to do it with. You've also missed out on the revenue from subscriptions. The $139M was just the cash shop.Very few successful people would make business decisions with so little information. They certainly wouldn't make judgements on a product's profitability based on only the revenue. Luckily we have EA telling investors the game is profitable so there's that.
We have reasonable estimates of the cost of the game. We have the games development timeframe. I did not miss out on revenue from subscriptions.
Please point out where I said that SWTOR was not profitable.
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by lizardbones
Originally posted by marsh9799
Originally posted by Azaron_Nightblade
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show. Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles. That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
Right and subs are down a lot. As I said previously, most estimates I've seen put the variable cost per player at $5 a month which is around $120+ million if their numbers from mid last year are to be believed. Then you have additional development costs for the CM. Much of it isn't going to cost much, but some of the content they put out will have substantial costs. Then you have fixed expenses that are going to add on to that. I think they're profitable. I've said that previously. If you are using a dichotomy of profitable = success and not-profitable = failure, you are doing it wrong. The risks and opportunity costs are too great for a game with total costs in the hundreds of millions of dollars and a 6 year development period to be justified with anything less than a huge rate of return. Standard acceptable rate of return for venture capitalists is 25%. We don't have any solid numbers (EA doesn't share them), but from the numbers we do see, it's probably not close to that.Originally posted by CazNeergOriginally posted by marsh9799The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So what? It's a high enough revenue number to make it impossible to argue with any credibility that the game isn't profitable. Exactly how profitable it is really isn't the point.
How profitable the game is really is the entire point.
I stopped reading after "right and subs are down a lot". Please provide a link to back that up or anything else you said here or on this entire thread. The only thing that has failed have been you assumptions. You have no facts just bias assumptions and make believe numbers or sayings like "subs down a lot" yeah cause you said so?
The total was 19% or $43 million it was primary because of Swtor but recouped all that from is f2p sales. Last report was 500k subs even if they dropped 20% of subs they still would have 400k. You tell me which mmo that has less than 400k subs that's a success...of wait if having 400k subs = fail I guess almost every mmo out today is a fail. Again your are the only thing failing here.
Number of players is irrelevant to determining success. I'm pretty sure Everquest 1 is still a success. It's 15 years in and still profitable from what I understand. Everquest 2 definitely is if its development costs were around the rumored $25 million. It really depends on what the development costs were.
What's the difference of a company with development cost of $25 million that's making a profit and a company with development cost of $200 million making a profit? It has nothing to do with development cost if they can recoup that cost and start making. Profit like Swtor is. You can keep twisting words and facts but your logic is flawed at best.
...Do you know what RoI and opporunity costs are?
Sure do but it's clear you did not do very good in your business 101 class. Hey if you feel it's a failure because of your awkward grudge against it that's fine you are entitled to your opinion. But to say as a business model for EA/bio is a failure is ridiculous . Go back a take some business beginner class. A quick tip the number one goal for most business is to make money that means Profit. So a business that makes a make ( profit) is a success in every term of the word.
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show.
Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles.
That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So in other words you have no information to actually show anything about the game's financials other than the revenue numbers, just like everyone else. You want to cast doubt on whether or not the game is profitable, but you have nothing to do it with. You've also missed out on the revenue from subscriptions. The $139M was just the cash shop.Very few successful people would make business decisions with so little information. They certainly wouldn't make judgements on a product's profitability based on only the revenue. Luckily we have EA telling investors the game is profitable so there's that.
We have reasonable estimates of the cost of the game. We have the games development timeframe. I did not miss out on revenue from subscriptions.
Please point out where I said that SWTOR was not profitable.
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by wildscore12
Originally posted by marsh9799
Originally posted by lizardbones
Originally posted by marsh9799
Originally posted by Azaron_Nightblade
Originally posted by wildscore12Well it didn't take TOR 5 years to turn a profit nor is it a low rate of return...so its a success. Sorry to break it to you buddy your going to have to accept it and move on with your life. Good luck with that, don't worry I wont resort to your tactics of personal attacks because I don't agree with you...When the haters start getting desperate their true colors start to show. Considering how they're still hiring writers and voice actors, and keep producing new content at a steady pace...Yeah, they must be doing really badly, that's surely the sign of a company that's about to go out of bussiness.Oh yeah, and there was that 139 million profit just from microtransactions alone last year; they are definitely in trouble. But some people are just fond of that nice Egyptian river, so best to just leave them there with the crocodiles. That wasn't $139 million profit...You, like virtually everyone else talking about the game as a success, don't understand the difference between profit and revenue. Additionally, the royalty they're paying to Lucas or maybe Disney now is a massive blow to the economics of the game. The game is a failure primarily because of the cost, development time, and expectation.The game had some mind boggling stupid issues early on- like how they designed Illum to be a world PvP zone and initially there was absolutely no PvP there, then breaking it with a "wtf did you actually do that" 1.1 patch. That said, they have done a whole lot for the game and I had fun playing it for 1.5 to 2 years. But, they didn't turn the game into a success. They mitigated the failure.
You might want to brush up on your business acumen. Maybe take a class or something. Take a look at EA's quarterly reports, that kind of thing.
The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
Right and subs are down a lot. As I said previously, most estimates I've seen put the variable cost per player at $5 a month which is around $120+ million if their numbers from mid last year are to be believed. Then you have additional development costs for the CM. Much of it isn't going to cost much, but some of the content they put out will have substantial costs. Then you have fixed expenses that are going to add on to that. I think they're profitable. I've said that previously. If you are using a dichotomy of profitable = success and not-profitable = failure, you are doing it wrong. The risks and opportunity costs are too great for a game with total costs in the hundreds of millions of dollars and a 6 year development period to be justified with anything less than a huge rate of return. Standard acceptable rate of return for venture capitalists is 25%. We don't have any solid numbers (EA doesn't share them), but from the numbers we do see, it's probably not close to that.Originally posted by CazNeergOriginally posted by marsh9799The $139 million is not a profit number. Their 10Qs do not show specifics for games. Thanks for playing.
So what? It's a high enough revenue number to make it impossible to argue with any credibility that the game isn't profitable. Exactly how profitable it is really isn't the point.
How profitable the game is really is the entire point.
I stopped reading after "right and subs are down a lot". Please provide a link to back that up or anything else you said here or on this entire thread. The only thing that has failed have been you assumptions. You have no facts just bias assumptions and make believe numbers or sayings like "subs down a lot" yeah cause you said so?
The total was 19% or $43 million it was primary because of Swtor but recouped all that from is f2p sales. Last report was 500k subs even if they dropped 20% of subs they still would have 400k. You tell me which mmo that has less than 400k subs that's a success...of wait if having 400k subs = fail I guess almost every mmo out today is a fail. Again your are the only thing failing here.
Number of players is irrelevant to determining success. I'm pretty sure Everquest 1 is still a success. It's 15 years in and still profitable from what I understand. Everquest 2 definitely is if its development costs were around the rumored $25 million. It really depends on what the development costs were.
What's the difference of a company with development cost of $25 million that's making a profit and a company with development cost of $200 million making a profit? It has nothing to do with development cost if they can recoup that cost and start making. Profit like Swtor is. You can keep twisting words and facts but your logic is flawed at best.
...Do you know what RoI and opporunity costs are?
Sure do but it's clear you did not do very good in your business 101 class. Hey if you feel it's a failure because of your awkward grudge against it that's fine you are entitled to your opinion. But to say as a business model for EA/bio is a failure is ridiculous . Go back a take some business beginner class. A quick tip the number one goal for most business is to make money that means Profit. So a business that makes a make ( profit) is a success in every term of the word.
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
I have no grudge against SWTOR.
Well... now you are just plain wrong.
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I hope they both have tremendous success, as I am a big believer in the sub model. However my time in MMO's maybe over, because I can handle one or both models what I can't stand and refuse to play is a sub/f2p model that has content (any type) gated behind the cash shop for the subs.
I've been fortunate in that no game I've played has that problem. I can't consider TOR to be in that situation, since everything available from the cash shop can be sold in the GTN, and there is basically nothing in the game that credits are useful for other than buying things that originated on the cash shop. (Add to that that all that is in the TOR cash shop for subscribers is frivolous cosmetic fluff.)
I'm very curious to see how they do. The ESO budget is up there with SWTOR's budget. I haven't seen anything on Wildstar.
Never underestimate what people will pay for frivolous cosmetic fluff. I think that the hybrid model that SWTOR and many other games have employed is what we're going to see more and more of going forward. You've got to have a cash shop. Some players will just put down way too much money in them. I've seen forum posts with people talking about spending upwards of $2000 on them. That's more than what it would have cost to subscribe to WoW since its release and purchase every single expansion.
We have reasonable estimates of the cost of the game. We have the games development timeframe. I did not miss out on revenue from subscriptions.
Please point out where I said that SWTOR was not profitable.
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
I have no grudge against SWTOR.
Well... now you are just plain wrong.
No, you're wrong. /eyeroll
Making money is absolutely not the same as making a profit and you can go into bankruptcy while making a profit. Do you not understand what these words mean?
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
I have no grudge against SWTOR.
Well... now you are just plain wrong.
No, you're wrong. /eyeroll
Making money is absolutely not the same as making a profit and you can go into bankruptcy while making a profit. Do you not understand what these words mean?
prof·it
?präfit/
noun
noun: profit; plural noun: profits
1
a financial gain, esp. the difference between the amount earned and the amount spent in buying, operating, or producing something.
Something tells me that EA is not going to go bankrupt while making a financial gain. EA kinda knows what they are doing. Moreso than you.
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Irony is strong with this one.
Number of players is irrelevant to determining success. I'm pretty sure Everquest 1 is still a success. It's 15 years in and still profitable from what I understand. Everquest 2 definitely is if its development costs were around the rumored $25 million. It really depends on what the development costs were.
Its based off of people thinking their opinion is the way the truth and life of mmos.
I don't worry about what others think about gaming world tbh if I did I probably wouldn't even play much of anything. Seems to be a community that likes to over hype certain genres or really harsh rating system each person has. Some people care about numbers, some care more about graphics, some about endgame, some about unless supply of content. If any of you know the amount of effort it is to make a video game which, swtor spent millions on to make a star wars game worth the star wars title, knows it took so many hours/years/decades to come put with the design elements. But someone who wants to declare something a failed in less then a second - what a joke.
There is way worse mmos out there in my judgment but I don't go out and say they have failed. All mmos/games with poor performances have ways to improve it. Since launch of swtor they add tons of items/content for the players to do and continue to do it. That brings up f2p or p2p, doesn't matter what subscription model a company chooses to use one isn't greater then the other but, how I feel about f2p is the store is a wonderful idea - brings so much more content then a normal subscription base. Most those items wouldn't even seen the light of day unless a store was even around.
A man who fears nothing is a man who loves nothing; and if you love nothing, what joy is there in your life?
1.) This is an absolute fact. Revenue is an irrelevant number in isolation across the board in every business. Period.
2.) This is an absolute fact. Profit is an irrelevant number in isolation across the board in every business. Period.
3.) It is a FTP game. It doesn't matter how many people are playing. It matters how much they it costs for them to play and how much they are spending.
4/5.) Yes, I agree that it's very important to keep people playing and to continue the existence of the game. The fact that they are adding content is irrelevant.
6.) Examples.
7.) Where did I use the number of subscriptions as an indicator of failure? I used it for falling revenue.
...
Do you know what RoI and opporunity costs are?
SWTOR was headed down the path of failure in the beginning. They adjusted and rectified the situation to make the game profitable. So in that aspect no it is not a failure.
Their original business model can be considered a failure, but the game as a whole I believe can not.
Now it is a whole other ballgame as to how the investors at EA actually perceive the game. One thing you have to consider in investors eyes is Rate of Return, I personally do not know the actual amount EA/Bioware spent on the game. What ever it is we can agree it was a LARGE sum based off of what has been floated around. Investors will look at that rate of return and if is not substantial enough for the money invested it could be perceived in their eyes as a failure. Especially if they could have invested the money elsewhere and garnered a higher ROR.
At this point the game seems to be turning a profit and EA will milk it for all it's worth and good for them.. they laid out a lot of capital on this game.
I always want to see games to well, and harbor no ill will towards any game or game company. The better they do the better for the industry were I get most of my entertainment.
Based off the comments in here .. that seem to not understand these concepts.
It's going to be interesting seeing how ESO and Wildstar do, it's entirely possible that the market has changed to the point where the sub only model itself is simply not sustainable in the long term for any new game, regardless of quality.
Peace is a lie, there is only passion.
Through passion, I gain strength.
Through strength, I gain power.
Through power, I gain victory.
Through victory, my chains are broken.
The Force shall free me.
After the bi weekly maintenance today i entered the game and everything was fine for an hour, then started the heavy latency. so 1st i closed game, reset my connection, changed dns and then flush dns. now enter the game and the lag was still there. now i did tracert and i found out as soon as i reach this address below my latency went sky high :
EA-INC.edge3.Washington1.Level3.net
Guess whose server is it?
Do a maintenance and create lag, do a patch and break class story mission or some unrelated mission that was not meant to be effected by patch or turn an entire quest zone into exhaustion zone or make priority terminals on fleet/daily areas broken and add more bug that did not even exist before the patch. is there any other mmorpg in market that achieve this feat?
now you tell me why this game is considered a failure. why did i go ahead, bought and applied three 60 day time cards i wonder!! performance graph is going downhill day by day.
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I agree it will be interesting.
I hope they both have tremendous success, as I am a big believer in the sub model. However my time in MMO's maybe over, because I can handle one or both models what I can't stand and refuse to play is a sub/f2p model that has content (any type) gated behind the cash shop for the subs.
So in other words you have no information to actually show anything about the game's financials other than the revenue numbers, just like everyone else. You want to cast doubt on whether or not the game is profitable, but you have nothing to do it with. You've also missed out on the revenue from subscriptions. The $139M was just the cash shop.
Very few successful people would make business decisions with so little information. They certainly wouldn't make judgements on a product's profitability based on only the revenue.
Luckily we have EA telling investors the game is profitable so there's that.
I can not remember winning or losing a single debate on the internet.
Inb4 EA is lying to shareholders and is secretly running the game at a loss just to.... i have no idea what the hater's point is anymore.
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I've been fortunate in that no game I've played has that problem. I can't consider TOR to be in that situation, since everything available from the cash shop can be sold in the GTN, and there is basically nothing in the game that credits are useful for other than buying things that originated on the cash shop. (Add to that that all that is in the TOR cash shop for subscribers is frivolous cosmetic fluff.)
Peace is a lie, there is only passion.
Through passion, I gain strength.
Through strength, I gain power.
Through power, I gain victory.
Through victory, my chains are broken.
The Force shall free me.
It is only considered a failure by those who wish it were a failure or who believe that the only successful mmo was WoW.
People like to talk crap.
As I have said many times before. I only hope to fail this hard at making a game someday.
All die, so die well.
if you've played ESO then you can see how that is going to go. Its too big of an IP so its hyped up. People are expecting Skyrim with multiplayer and it is not that..... well its got skyrims bugs but thats it.
Wildstar might be able to sneak in under the radar and pull a EVE.
But the bottom line to any MMOs success is how fast new content and bug fixes can get out.
We have reasonable estimates of the cost of the game. We have the games development timeframe. I did not miss out on revenue from subscriptions.
Please point out where I said that SWTOR was not profitable.
I actually did very well in my MBA program which was at a top tier school, so another error on your part. No, the number one goal of a business is not to make a profit. Making money is not the same as making a profit. You can make a profit and go into bankruptcy. After tax cash flow is a much better to use here.
I have no grudge against SWTOR.
Well... now you are just plain wrong.
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Let's just get straight to the point, shall we - the gameplay sucks. It's a WoW-ish button masher with enemy AI that's noticeably worse than WoW.
The AI is so bad that the NPCs don't move much - not even when their 'friend' is getting shot at a few meters away.
The gameplay is linear and practically on rails - I don't think there are any true decisions to make throughout the entire game.
Forget world PvP - the empire and the rebels are divided by walls caused by deliberate placement of scenery.
Keep the hell away - don't part with either your time or your money.
I'm very curious to see how they do. The ESO budget is up there with SWTOR's budget. I haven't seen anything on Wildstar.
Never underestimate what people will pay for frivolous cosmetic fluff. I think that the hybrid model that SWTOR and many other games have employed is what we're going to see more and more of going forward. You've got to have a cash shop. Some players will just put down way too much money in them. I've seen forum posts with people talking about spending upwards of $2000 on them. That's more than what it would have cost to subscribe to WoW since its release and purchase every single expansion.
The quotes in your post hurt my eyeballs.
All die, so die well.
Ok, you don't like the game. Other's do. Opinions are not what is being discussed here.
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No, you're wrong. /eyeroll
Making money is absolutely not the same as making a profit and you can go into bankruptcy while making a profit. Do you not understand what these words mean?
prof·it
noun: profit; plural noun: profits
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It all depends if you are talking about Gross Profit or Net Profit.