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Rinkles
Oct 24, 2010

What I'm getting at is...
Do you feel the same way?
yeah jeez no wonder these guys felt they could take on apple

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Ugly In The Morning
Jul 1, 2010
Pillbug
That email from epic has strong “just did a line of coke” energy.

Oxxidation
Jul 22, 2007

buglord posted:

I’ll bite. What’s bad about the third game?

https://www.youtube.com/watch?v=f7SVY9CyBBc

Anno
May 10, 2017

I'm going to drown! For no reason at all!

Sony and Epic have since gotten pretty buddy/buddy, so I guess they worked it all out.

MarcusSA
Sep 23, 2007

Anno posted:

The Epic vs. Apple trial began today, giving the public a rare glance into some of the the dealings and internal metrics of some big players in the industry.



This is a breakdown of EGS customer conversion rates/ARPUs through mid-2019, and here's some information on how much they paid to secure some of their weekly free games, how many people redeemed them, UA costs etc.



This part is pretty interesting because it shows they give the devs a fixed dollar amount and don’t give anything for each unique download.

Fez for example got $75k for like 2.5 million downloads lol

Also someone in the other thread said that each customer costs Epic $240 but the paying ones cost $3400 lol.

ErrEff
Feb 13, 2012

Shenmue 3 was/is kinda cursed. Fan expectations were so high but it had a tiny budget compared to the previous games. Sega didn't want to touch it because they'd been burned twice in the past by losing enormous amounts of money on the franchise.

Suzuki continued on with a small team and they had to reinvent a bunch of stuff from scratch with modern dev tools and practices. And what got made was... technically a sequel, technically. As in "Ryo Hazuki continues his mundane adventures without much stuff happening", which appears to be the stuff Yu Suzuki is most interested in: Life simulations and sense of place. He cares less for the overall story, even though it is supposedly mostly fleshed out by this point.

It is remarkable it got made at all, but I don't think a Shenmue 4 is gonna happen for a number of reasons. At least not in the form that fans would want.

Det_no
Oct 24, 2003
I wonder if Epic told devs how much money other devs were makng. I doubt it so I fully expect some "wait they got paid HOW MUCH?" shenanigans on twitter.

repiv
Aug 13, 2009

Anno posted:

Sony and Epic have since gotten pretty buddy/buddy, so I guess they worked it all out.

Fortnite was the very first game to ship PS4 crossplay wasn't it? I wonder what agreement they came to in the end

Rinkles
Oct 24, 2010

What I'm getting at is...
Do you feel the same way?
and i wonder if gio corsi bailed from sony in part cause he wasn't cut out for that kind of corporate gangster talk.

Count Uvula
Dec 20, 2011

---

MarcusSA posted:

Also someone in the other thread said that each customer costs Epic $240 but the paying ones cost $3400 lol.

I don't know how you're reading these docs but each 'customer' costs Epic $2.37, of which 7% will go on to pay for something. They're definitely still losing money as a company doing the free games but from the free game contracts they're making about 40 cents per user acquisition.


Det_no posted:

I wonder if Epic told devs how much money other devs were makng. I doubt it so I fully expect some "wait they got paid HOW MUCH?" shenanigans on twitter.

I doubt you'll see the actual devs being surprised, I'd wager Epic made the math that they based their rate on available during contract negotiation (average cost per UA, a guess on how many users they expect to acquire from your game)

Count Uvula fucked around with this message at 02:33 on May 4, 2021

ErrEff
Feb 13, 2012

Those free game user acquisition numbers are real crazy.

There appears to be some link between the final payout and the number of new EGS accounts created. Maybe some upfront initial cost based on how many new users Epic expects the free game to attract and then there's milestones beyond that?

Subnautica got super lucky by being the first free game, as it meant that they helped Epic get 800K new accounts and had 4.6 million claims. Meanwhile, Super Meat Boy is the second free game released and it only generated a little under 100K accounts with 1.7 million claims (and the payout to Team Meat was 3.58% of what Unknown Worlds got, :lol:)

The numbers seem to vary a lot.

- World of Goo: 155K new accounts, 2D Boy only got paid $50K
- Enter the Gungeon: 112K new accounts, Devolver was paid $700K
- The End Is Nigh: 27K new accounts, Edmund McMillen got paid $200K
- Batman: Arkham Collection: 613K (!) new accounts, WB Games got paid $1.5 million

ErrEff fucked around with this message at 02:47 on May 4, 2021

repiv
Aug 13, 2009

ErrEff posted:

- World of Goo got 155K new accounts, 2D Boy only got paid $50K
- Enter the Gungeon got 112K new accounts, Devolver was paid $700K
- The End Is Nigh got 27K new accounts, Edmund McMillen got paid $200K

There's some correlation with how old the games are there, World of Goo is so deep into the long-tail at 13 years old that $50k may still have been a decent win for them

Ghostlight
Sep 25, 2009

maybe for one second you can pause; try to step into another person's perspective, and understand that a watermelon is cursing me



So far this is my favourite document

quote:

A $10 console redeemed card looks like this:

$1.75 to console platform 17.5% of face value (on average across the 3)
$1.20 to Incomm + retailer (it's a blend, usually 2% and 10%)
$0.35 to Gearbox at 5% of net (effectively 3.5% of face)
COGS:
$0.27 to manufacture to SVS (on average)
$0.08 to freight / ingest / peg card (on average)
EPIC:
$6.35 to Epic
This is just a regular breakdown of what the costs are behind their Fortnite cards, but here comes the internal discussion of the breakdown:

Epic Vice Principal of Business Development posted:

I will push to have Gearbox cover "freight / ingest / peg card"

Epic Publishing Strategy Director posted:

Gearbox should eat ingestion, they are doing the work

That's it. That's all the discussion. How can we make Gearbox lose 8 cents on each of these cards instead of paying it ourselves.

Hub Cat
Aug 3, 2011

Trunk Lover

Super Meat Boy had been in 4-5 humble bundles at that point and was 6-7 years old, similar story for World of Goo.

The prices are clearly related to popularity and expected value. Subnautica had only been in one 30$ bundle and it was around the full release/leaving early access date when it was an Epic free game.

Rinkles
Oct 24, 2010

What I'm getting at is...
Do you feel the same way?
what's a "console redeemed card"?

Anno
May 10, 2017

I'm going to drown! For no reason at all!

Rinkles posted:

what's a "console redeemed card"?

I assume a $10 v-bucks pre-paid card you can redeem for Fortnite.

Owl Inspector
Sep 14, 2011

Anno posted:

Also here are two emails of Sony and Epic execs having a pissing contest.

Dear Mr. Sony:

Let's work out a good deal! You don't want to be responsible for losing thousands of PSN subscribers, and I don't want to be responsible for destroying Playstation's stock price - And I will. I've already given you a little sample with respect to our PS+ titles.

I have worked hard to solve some of your problems. Don't let the world down. You can make a great deal. General Microsoft is willing to negotiate with you, and he is willing to make concessions that that they would never have made in the past. I am confidentially enclosing a copy of his letter to me, just received.

History will look upon you favorably if you get this done the right and humane way. It will look upon you forever as the devil if good things don't happen. Don't be a tough guy. Don't be a fool!

I will call you later.

repiv
Aug 13, 2009

Anno posted:

I assume a $10 v-bucks pre-paid card you can redeem for Fortnite.

Specifically one redeemed on the PS/Xbox/Switch version of Fortnite so Sony/MS/Nintendo gets a slice of the value

Epic will get a bigger cut when the cards are redeemed on the PC version since there's no platform middleman

Rinkles
Oct 24, 2010

What I'm getting at is...
Do you feel the same way?

repiv posted:

Specifically one redeemed on the PS/Xbox/Switch version of Fortnite so Sony/MS/Nintendo gets a slice of the value

Epic will get a bigger cut when the cards are redeemed on the PC version since there's no platform middleman

but how does gearbox fit into that?

repiv
Aug 13, 2009

I have no idea :shrug:

Epic doesn't own Gearbox so it's not like they're being forced, Gearbox must be getting something out of this arrangement

MarcusSA
Sep 23, 2007

Count Uvula posted:

I don't know how you're reading these docs but each 'customer' costs Epic $2.37, of which 7% will go on to pay for something. They're definitely still losing money as a company doing the free games but from the free game contracts they're making about 40 cents per user acquisition.



Someone did the math. Maybe wrong but it was funny either way

BARONS CYBER SKULL posted:

doing the maths on their losses for the last few years from the store + the amount of accounts gained

they paid ~$240 per account

or

~$3400 per account that actually used the store at least once

Wiggly Wayne DDS
Sep 11, 2010



gearbox handle the physical distribution side for epic elsewhere, it's a long-term agreement and in the court exhibits

ErrEff
Feb 13, 2012

repiv posted:

There's some correlation with how old the games are there, World of Goo is so deep into the long-tail at 13 years old that $50k may still have been a decent win for them

That's true, but Epic's UA cost was way lower for those "cheap" games compared to some of the ones where more money was being spent. So Epic got a much better deal, cost-wise, from the devs that they paid very little to, like 2D Boy, Team Meat and Polytron.

RPATDO_LAMD
Mar 22, 2013

🐘🪠🍆

MarcusSA posted:

This part is pretty interesting because it shows they give the devs a fixed dollar amount and don’t give anything for each unique download.

Fez for example got $75k for like 2.5 million downloads lol

Also someone in the other thread said that each customer costs Epic $240 but the paying ones cost $3400 lol.


That free games chart linked above shows their "user acquisition" cost as varying from $0.32 to $12 depending on the game, averaging out at $2.37.
For example they paid $1.5mil for Batman Arkham Collection and got 613,912 new (free) users.


The other link shows that 7.13% of people who join for free games eventually buy something. With $2.37 cost per user that means it costs Epic $33.24 to get a paying user through the weekly-free-games program.
The chart also shows that those converted-from-free-games users spend an average of $40.00, meaning Epic's free game program is actually somehow a net profit?

Although these numbers might be totally wrong because "users acquired first via free game" probably includes Fortnite as well.

RPATDO_LAMD fucked around with this message at 03:13 on May 4, 2021

Count Uvula
Dec 20, 2011

---

Here's a color coded list of games of ones where Epic Games, in theory, profited. Cyan for profit, red for loss, green they didn't pay anything for. Bandwidth and customer support ain't free so dunno where the actual cut off would be.

Best investment for EGS goes to World of Goo where they paid out $50,000 and made back around $434,000
Worst investment goes to Celeste where they paid out 750,000 and made back 175,00 lmao


ErrEff posted:

Subnautica got super lucky by being the first free game, as it meant that they helped Epic get 800K new accounts and had 4.6 million claims. Meanwhile, Super Meat Boy is the second free game released and it only generated a little under 100K accounts with 1.7 million claims (and the payout to Team Meat was 3.58% of what Unknown Worlds got, :lol:)

The buyouts aren't rounded for the chart, there's no per unit price or anything. Definitely just based on Epic's projections, probably based largely on each games's steam metrics which might explain why World of Goo got such a low payout (Projections underestimating it because it's been out for like 15 years)

MarcusSA posted:

Someone did the math. Maybe wrong but it was funny either way

If they're using the losses the EGS posted as a whole they're counting all of the poo poo Epic Games has been paying for and not just the free games. Exclusivity for Control apparently cost Epic Games 10,500,000 which is just under what the entire chart of free games cost them :v:

RPATDO_LAMD posted:

Although these numbers might be totally wrong because "users acquired first via free game" probably includes Fortnite as well.

The UA chart's new user number is much lower than the ARPPU diagram so the ARPPU diagram was either made significantly later or includes ~14 million fortnite players

Count Uvula fucked around with this message at 03:34 on May 4, 2021

repiv
Aug 13, 2009

RPATDO_LAMD posted:

Although these numbers might be totally wrong because "users acquired first via free game" probably includes Fortnite as well.

Going by the rough stats available I don't think they're counting Fortnite players, 350 million Fortnite accounts * 22% on PC = ~77 million PC accounts vs 18.5 million "acquired by EGS free game"

Hub Cat
Aug 3, 2011

Trunk Lover

I hope we get to see the minimum sales guarantee numbers, I bet there is some real spicy stuff in there.

PlushCow
Oct 19, 2005

The cow eats the grass

Gay Rat Wedding posted:

Dear Mr. Sony:

Let's work out a good deal! You don't want to be responsible for losing thousands of PSN subscribers, and I don't want to be responsible for destroying Playstation's stock price - And I will. I've already given you a little sample with respect to our PS+ titles.

I have worked hard to solve some of your problems. Don't let the world down. You can make a great deal. General Microsoft is willing to negotiate with you, and he is willing to make concessions that that they would never have made in the past. I am confidentially enclosing a copy of his letter to me, just received.

History will look upon you favorably if you get this done the right and humane way. It will look upon you forever as the devil if good things don't happen. Don't be a tough guy. Don't be a fool!

I will call you later.

:trumppop:

ErrEff
Feb 13, 2012

It may come up in a document later but I thought I'd put together a list of the EGS PC-exclusive releases from this time period, at least the stuff I can piece together myself:

pre:
RollerCoaster Tycoon Adventures		29/11/18
Hello Neighbor: Hide and Seek		07/12/18
Ashen					07/12/18
Genesis Alpha One			29/01/19
Metro: Exodus				15/02/19
The Division 2 (Uplay)			15/03/19
Satisfactory				19/03/19
Operencia: The Stolen Sun		08/03/19
The Walking Dead: The Final Season	26/03/19
Dangerous Driving			09/04/19
World War Z				16/04/19
Anno 1800				16/04/19
Close to the Sun			02/05/19
Shakedown Hawaii			07/05/19
Dauntless				21/05/19
Observation				21/05/19
Outer Wilds				30/05/19
Journey					06/06/19
Omen of Sorrow				07/06/19
Sinking City				27/06/19
Tetris Effect				23/07/19
Rebel Galaxy Outlaw			13/08/19
Ancestors: The Humankind Odyssey	28/08/19
Control					28/08/19
Falcon Age				06/09/19
Borderlands 3				13/09/19
Cardpocalypse				19/09/19
Untitled Goose Game			20/09/19
What The Golf?				20/09/19
The Outer Worlds			01/10/19
Ghostbusters: The Video Game Remastered	04/10/19
Ghost Recon: Breakpoint			04/10/19
A Knight's Quest			10/10/19
ReadySet Heroes	(Sony-published)	29/10/19
Superliminal				12/11/19
Rune II					12/11/19
Bee Simulator				15/11/19
Paranoia: Happiness is Mandatory	06/12/19
MechWarrior 5: Mercenaries		10/12/19
Didn't include anything beyond 2019.

ErrEff fucked around with this message at 05:21 on May 4, 2021

Zesty
Jan 17, 2012

The Great Twist

ErrEff posted:

Those free game user acquisition numbers are real crazy.

There appears to be some link between the final payout and the number of new EGS accounts created. Maybe some upfront initial cost based on how many new users Epic expects the free game to attract and then there's milestones beyond that?

Subnautica got super lucky by being the first free game, as it meant that they helped Epic get 800K new accounts and had 4.6 million claims. Meanwhile, Super Meat Boy is the second free game released and it only generated a little under 100K accounts with 1.7 million claims (and the payout to Team Meat was 3.58% of what Unknown Worlds got, :lol:)

The numbers seem to vary a lot.

- World of Goo: 155K new accounts, 2D Boy only got paid $50K
- Enter the Gungeon: 112K new accounts, Devolver was paid $700K
- The End Is Nigh: 27K new accounts, Edmund McMillen got paid $200K
- Batman: Arkham Collection: 613K (!) new accounts, WB Games got paid $1.5 million

How much did Unknown Worlds get paid?

edit: oops, nevermind. Found the link.

Zesty fucked around with this message at 04:09 on May 4, 2021

Leal
Oct 2, 2009
This lawsuit is sounding pretty "epic"

Hub Cat
Aug 3, 2011

Trunk Lover

ErrEff posted:

It may come up in a document later but I thought I'd put together a list of the EGS PC-exclusive releases from this time period, at least the stuff I can piece together myself:

Didn't include anything beyond 2019.
You're missing some titles
Satisfactory came out 19 March 2019 19/03/19
Paranoia: Happiness is Mandatory came out December 6, 2019 06/12/19
Sinking City came out June 27, 2019 27/06/19
Shakedown Hawaii came out May 7, 2019 07/05/19
Falcon Age was Sep 6, 2019 06/09/19
A Knight's Quest best date I can get is Oct 6 or 10 2019 (looks like zero people cared about this game) 10/10/19 or 06/10/19
Genesis Alpha One was Jan 29, 2019 29/01/19
Superliminal was November 12, 2019 12/11/19
Rebel Galaxy Outlaw was August 13, 2019 13/08/19

I think there is more but ughh. Also pretty embarrassing Epic doesn't have an easy-to-find list.

Edit: Observation came out May 21, 2019 21/05/19
Ancestors: The Humankind Odyssey was Aug 27, 2019 28/08/19

Hub Cat fucked around with this message at 05:05 on May 4, 2021

ErrEff
Feb 13, 2012

Hub Cat posted:

You're missing some titles
Satisfactory came out 19 March 2019 19/03/19
Paranoia: Happiness is Mandatory came out December 6, 2019 06/12/19
Sinking City came out June 27, 2019 27/06/19
Shakedown Hawaii came out May 7, 2019 07/05/19
Falcon Age was Sep 6, 2019 06/09/19
A Knight's Quest best date I can get is Oct 6 or 10 2019 (looks like zero people cared about this game) 10/10/19 or 06/10/19
Genesis Alpha One was Jan 29, 2019 29/01/19
Superliminal was November 12, 2019 12/11/19
Rebel Galaxy Outlaw was August 13, 2019 13/08/19

I think there is more but ughh. Also pretty embarrassing Epic doesn't have an easy-to-find list.

Edit: Observation came out May 21, 2019 21/05/19
Ancestors: The Humankind Odyssey was Aug 27, 2019 28/08/19

Yeah, the fact that this info is kinda hard to come by and strewn across multiple sources (an old megathread on r/fuckepic, egsexclusives.com, some EGS achievements spreadsheet, various listicles and press releases) is annoying. Thanks, I'll edit my list with your additions.

ErrEff
Feb 13, 2012

DX-3712 outlines a 5 year outlook for EGS (2019-2024) and include two models that deviate in 2021 and beyond, "Aggressive" and "Winding Down".

The "Aggressive" model where they keep spending a lot of cash on minimum guarantee deals throughout the 5-year period, averaging half a billion dollars each year. This model predicts 50% of PC revenue if Steam does not react in this time period, and around 35% if Steam does react.

The "Winding Down" model has Epic cutting down on the minimum guarantee deals in the middle of 2021, focusing more on the big games, and then basically stopping doing deals entirely with indies and only focusing on a few heavy hitter titles each year. Half of the money in 2021 and 2022 spent on deals compared to the aggressive model, and only a sixth of that money spent in 2023 and 2024. A total of 20% of PC revenue could be captured according to this model.

Jamfrost
Jul 20, 2013

I'm too busy thinkin' about my baby. Oh I ain't got time for nothin' else.
Slime TrainerS
I lack the much needed popcorn while reading about this trial.

Sudbina
Mar 17, 2009
I really enjoy reading all the information that is coming out of the trial.

pentyne
Nov 7, 2012

ErrEff posted:

DX-3712 outlines a 5 year outlook for EGS (2019-2024) and include two models that deviate in 2021 and beyond, "Aggressive" and "Winding Down".

The "Aggressive" model where they keep spending a lot of cash on minimum guarantee deals throughout the 5-year period, averaging half a billion dollars each year. This model predicts 50% of PC revenue if Steam does not react in this time period, and around 35% if Steam does react.

The "Winding Down" model has Epic cutting down on the minimum guarantee deals in the middle of 2021, focusing more on the big games, and then basically stopping doing deals entirely with indies and only focusing on a few heavy hitter titles each year. Half of the money in 2021 and 2022 spent on deals compared to the aggressive model, and only a sixth of that money spent in 2023 and 2024. A total of 20% of PC revenue could be captured according to this model.

What part of their projections include adding a cart to their store front?

Hub Cat
Aug 3, 2011

Trunk Lover

:lol:


edit:eww twitter mutilated that with compression


Edit part 2: Assuming I'm reading this right it looks like they only sold a little over 100k copies of the Division 2 March to April

Hub Cat fucked around with this message at 07:05 on May 4, 2021

Serephina
Nov 8, 2005

恐竜戦隊
ジュウレンジャー

Doesn't that basically mean the end purchasers are SOL? It's a pain for the devs and they're losing money from all the chargebacks etc, but they're not really losing sales. Buying accounts is dodgy as heck, those fools knew what they where doing.

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Owl Inspector
Sep 14, 2011

remember how they finally implemented preloading in time for borderlands 3, but only because gearbox had to make it for them

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