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Outriders' People Can Fly Hasn't Received Royalties from Square Enix Due to Lack of Profits | MMORPG

SystemSystem Member UncommonPosts: 12,599
edited August 2021 in News & Features Discussion

imageOutriders' People Can Fly Hasn't Received Royalties from Square Enix Due to Lack of Profits | MMORPG.com

The folks at People Can Fly, the developers behind Outriders, claimed through an investor note they haven't been paid royalties from publisher Square Enix, pointing to lack of profitability.

Read the full story here


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Comments

  • G3NexisG3Nexis Member UncommonPosts: 85
    Soooo they agreed to only collect royalties if the game was profitable. They believe it "should" be profitable, but the assumption is in Square Enix's mind it has not been profitable? So they signed a shitty contract and as a result are sad now they aren't getting paid?

    I did not even know this game was released. I saw it being played during its limited beta and the overall consensus was the game was kind of not great. I was super excited for Anthem and then that was a complete let down. This game gave me, and I assume alot of others Anthem vibes. That combined with the general bad opinions about the game during its beta, I would not be surprised if the game was not being considered profitable currently.
  • AeanderAeander Member LegendaryPosts: 8,060
    Yeah, those launch numbers sounded impressive, until you realize that a majority of that was probably Gamepass.
    Lark3m
  • TillerTiller Member LegendaryPosts: 11,485

    Aeander said:

    Yeah, those launch numbers sounded impressive, until you realize that a majority of that was probably Gamepass.



    Also they gave the game away free as an Nvidia promotion (buying gpu or pc with nvidia). That is how I obtained it.
    SWG Bloodfin vet
    Elder Jedi/Elder Bounty Hunter
     
  • VrikaVrika Member LegendaryPosts: 7,989
    How did the manage to make an agreement where publisher (Square Enix) does not give them sales figures?
    Scot
     
  • ScotScot Member LegendaryPosts: 24,423
    Vrika said:
    How did the manage to make an agreement where publisher (Square Enix) does not give them sales figures?
    Indeed, PCF talk about their estimates of the sales figures, they don't seem to have anything from the company telling how many units were sold or how much money was made. At the least the contract lawyers who concocted this need talking to, sounds like it is time for some journalistic investigation rather than the never ending reportage we get across the media.
  • NanfoodleNanfoodle Member LegendaryPosts: 10,900
    edited August 2021

    Aeander said:

    Yeah, those launch numbers sounded impressive, until you realize that a majority of that was probably Gamepass.



    Gamepass pays the developer for time played, downloads etc. What ever agreement they made with Xbox, they got payed. So Square E should pay up. EDIT: After reading the article. This is about millions of copies of an expansion. Gamepass does not cover playing expansions for the sub fee. Anyone playing the expansion on Gamepass, would have paid for it. Again SE needs to pay up if they did sell 2-3 million DLCs.
    Post edited by Nanfoodle on
    maskedweaselRoin
  • maskedweaselmaskedweasel Member LegendaryPosts: 12,195
    It would have actually been a great game if it didn't have so many issues. Like that whole inventory wipe bug. And then the whole thing where armor wasn't mitigating damage at all. Lol. I played all characters to max for the fun of it, but the game had issues. 

    They do deserve to get paid though. Unless SE is just that bad at making deals on gamepass. A lot of devs choose to go that way for a reason. Many times the devs are even profitable out of the gate due to gamepass deals.  



  • AeanderAeander Member LegendaryPosts: 8,060
    You think maybe Square is trying to take out their Marvel's Avengers woes on their other studios?
    maskedweasel
  • SandmanjwSandmanjw Member RarePosts: 531
    The whole thing sounds crazy. 

    Guarantee that somewhere behind Square, that their is a tax agency that demands good record keeping to get their take for taxes. So they for sure have the records of all types of deals, sales or whatever.

    Looks like the original dev's do not even know who to call at the publishers to get info. Something that sounds impossible to me. 

    More like a deal that they are now regretting, and looking to make a stink in public to get a mob interested and put pressure on the publishers.

    Whatever the issue, I find it hard to believe that in these times that there are not many lawyers involved, and that the info presented is not really what is going on. 

    Can not be a game company or publishers that could produce anything that sells "millions" of anything and be that lacking in business competency.  
  • KratierKratier Member RarePosts: 626
    everyone here trying to defend these fraud developers, game was a huge scam and failed basic functions at launch, deleted your saves and erased your inventory. Even marvel's avengers wasn't that bad and it was pretty awful.
    "royalties" aren't guaranteed if the product bombs.
  • GatsuZerkGatsuZerk Member UncommonPosts: 137
    The bug that deleted peoples gear doomed this game.

    Damn shame because it was fun.
  • niceguy3978niceguy3978 Member UncommonPosts: 2,051
    That is an interesting situation to be in. How could they not be in the loop on how many sales there have been?
  • IselinIselin Member LegendaryPosts: 18,719
    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?
    SovrathScot
    "Social media gives legions of idiots the right to speak when they once only spoke at a bar after a glass of wine, without harming the community ... but now they have the same right to speak as a Nobel Prize winner. It's the invasion of the idiots”

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    “Microtransactions? In a single player role-playing game? Are you nuts?” 
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  • SamhaelSamhael Member RarePosts: 1,534

    G3Nexis said:

    Soooo they agreed to only collect royalties if the game was profitable. They believe it "should" be profitable, but the assumption is in Square Enix's mind it has not been profitable? So they signed a shitty contract and as a result are sad now they aren't getting paid?



    Yeah, it really sounds like it was a shitty contract. Sure, they got enough funding to stay in business to make it but if this is the type of deal they sign, then it's doubtful we'll see much more out of them. I figured they would have had solid amounts mentioned in the contracts and a clause giving them access to the overall sales details of the game.
  • SamhaelSamhael Member RarePosts: 1,534

    Iselin said:

    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?



    My guess is that if PCF requests an audit, they've burned their bridges with Square. (not necessarily a bad thing but maybe not the first choice of action)
  • adam_noxadam_nox Member UncommonPosts: 2,148
    The reason they are so cagey on figures is because they are intentionally trying to downplay how bad the game did to investors. They could or maybe even have solid figures from square. Their language leaves them wiggle room if called out on it. All very intentional and par for the course on these investor calls.
  • IllindurIllindur Member UncommonPosts: 7

    Samhael said:



    Iselin said:


    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?






    My guess is that if PCF requests an audit, they've burned their bridges with Square. (not necessarily a bad thing but maybe not the first choice of action)



    That is correct. They are not whining or signed a shitty contract. Journalists are asking them numbers and they are just being honest. They don't have the numbers yet. And this is Polish company, so they are just trying to be respectful - something they have been learning from the very first days on this planet. Yes, not all ppl are the same, but I actually met some of them and they indeed are good peapole. Just give them time, dont assume, dont speculate, dont blame anyone until you know the whole thruth.
    Thank you.
  • ScotScot Member LegendaryPosts: 24,423
    edited August 2021
    Iselin said:
    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?
    Well what if it didn't? You may well be right, in fact that seems likely, but we are all doing what we normally do, extrapolating without sufficient data. But there does seem enough here for gaming journalists to actually be asking some questions rather than the never ending he said/she said reportage we get everywhere now.
  • KyleranKyleran Member LegendaryPosts: 44,056
    Scot said:
    Iselin said:
    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?
     but we are all doing what we normally do, extrapolating without sufficient data. 
    You speak as if this is a bad thing. Weird.

    It's just what people do when missing information, fill in the blanks with possible explanations until more is known.

    More of a survival mechanism I think, learned from our earliest days.

    Scene from 10K years ago.

    "Yo Ugh, what you suppose that bright glow on horizon is?"

    "Me not know Grog, maybe it's is big fire like last year?

    "Naw, don't speculate Ugh, is probably just sun coming up early, wait till we know more."

    Grog looks at Ugh and shakes head, "good luck with that" and quietly slips out for the next county later that evening while everyone else becomes a barbaque

    :)





    ScotTacticalZombeh

    "True friends stab you in the front." | Oscar Wilde 

    "I need to finish" - Christian Wolff: The Accountant

    Just trying to live long enough to play a new, released MMORPG, playing New Worlds atm

    Fools find no pleasure in understanding but delight in airing their own opinions. Pvbs 18:2, NIV

    Don't just play games, inhabit virtual worlds™

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  • ThaneThane Member EpicPosts: 3,534
    edited August 2021
    the real question is: how high was that investment? bc obviously they have been payed.

    and the obvious hint to the devs here: real betas, not payed early access bullshit (and yes, that includes stress tests, durr). then you might be able to actually release a game in a playable state some day

    "I'll never grow up, never grow up, never grow up! Not me!"

  • ScotScot Member LegendaryPosts: 24,423
    edited August 2021
    Kyleran said:
    Scot said:
    Iselin said:
    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?
     but we are all doing what we normally do, extrapolating without sufficient data. 
    You speak as if this is a bad thing. Weird.

    It's just what people do when missing information, fill in the blanks with possible explanations until more is known.

    More of a survival mechanism I think, learned from our earliest days.

    Scene from 10K years ago.

    "Yo Ugh, what you suppose that bright glow on horizon is?"

    "Me not know Grog, maybe it's is big fire like last year?

    "Naw, don't speculate Ugh, is probably just sun coming up early, wait till we know more."

    Grog looks at Ugh and shakes head, "good luck with that" and quietly slips out for the next county later that evening while everyone else becomes a barbaque

    :)
    Fair point it is only natural, but it is the certainty with which we speak while knowing how little of the picture we see that gets me. The age old pub conversation has become the raison d'être of 24 hours news, who needs the truth when you have narrative?

    "I am standing now next to the meteoroid impact which fell today and killed a Neanderthal community. I have no one to speak to, no documentation and virtually nothing standing to comment on. But I will now launch into an analysis of how the community leaders got it wrong and who was to blame."
  • koyutakotakoyutakota Member UncommonPosts: 24
    maybe if square would give the devs the numbers we wouldn't be here discussing this in the first place.
    Kyleran
  • KyleranKyleran Member LegendaryPosts: 44,056
    maybe if square would give the devs the numbers we wouldn't be here discussing this in the first place.

    "True friends stab you in the front." | Oscar Wilde 

    "I need to finish" - Christian Wolff: The Accountant

    Just trying to live long enough to play a new, released MMORPG, playing New Worlds atm

    Fools find no pleasure in understanding but delight in airing their own opinions. Pvbs 18:2, NIV

    Don't just play games, inhabit virtual worlds™

    "This is the most intelligent, well qualified and articulate response to a post I have ever seen on these forums. It's a shame most people here won't have the attention span to read past the second line." - Anon






  • niceguy3978niceguy3978 Member UncommonPosts: 2,051

    Kyleran said:


    Scot said:


    Iselin said:

    Most royalty agreements have audit clauses, do they not?

    So what's keeping them from triggering it if they think they haven't been paid the full amount owed them?

     but we are all doing what we normally do, extrapolating without sufficient data. 


    You speak as if this is a bad thing. Weird.

    It's just what people do when missing information, fill in the blanks with possible explanations until more is known.

    More of a survival mechanism I think, learned from our earliest days.

    Scene from 10K years ago.

    "Yo Ugh, what you suppose that bright glow on horizon is?"

    "Me not know Grog, maybe it's is big fire like last year?

    "Naw, don't speculate Ugh, is probably just sun coming up early, wait till we know more."

    Grog looks at Ugh and shakes head, "good luck with that" and quietly slips out for the next county later that evening while everyone else becomes a barbaque

    :)








    I worked at a place for a few years where the upper management saw virtually all information as something that the regular workers just didn't need to know. Then management would get pissed off when people would make inaccurate assumptions about what was going on. I use to tell my bosses a similar version of what you said. "In the absence of information, people will make sh*t up."
    ScotKyleran
  • AeanderAeander Member LegendaryPosts: 8,060
    Nanfoodle said:

    Aeander said:

    Yeah, those launch numbers sounded impressive, until you realize that a majority of that was probably Gamepass.



    Gamepass pays the developer for time played, downloads etc. What ever agreement they made with Xbox, they got payed. So Square E should pay up. EDIT: After reading the article. This is about millions of copies of an expansion. Gamepass does not cover playing expansions for the sub fee. Anyone playing the expansion on Gamepass, would have paid for it. Again SE needs to pay up if they did sell 2-3 million DLCs.
    Yes, yes. I'm aware that there is profit from Gamepass contracts. But a Gamepass user is not equivalent to a full price purchaser.
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