Howdy, Stranger!
It looks like you're new here. If you want to get involved, click one of these buttons!
Quick Links
EVE Online: CCP Posts $21M in Losses for Fiscal 2013
SBFord
Former Associate EditorMember LegendaryPosts: 33,129
CCP Games is reporting over $21M in losses for fiscal 2013 according to a report at GamesIndustry.biz. While overall revenue increased significantly, huge corporate investment in research and development contributed to the decline.
A note in CCP's full financial presentation seems to support the theory that a large factor in this $40 million increase in R&D costs was the removal of asset value previously attributed to World of Darkness.
"During the year the company assessed its capitalized development assets and determined that a portion of those assets would likely not have future economic benefits," a statement accompanying the report explains. "IAS 38 requires that such assets should be derecognized and removed from the balance sheet. The expense related to the derecognized assets are presented as part of research and development expense in the statement of comprehensive income."
Read more at the link above.
Comments
Here is the link to the actual balance sheet.
It's been out for a month now.
You make me like charity
It has nothing to do with eve, but when you produce a massive flop and then dump a bunch of money into a game you scrap....you tend to lose money.
The title of this thread is a bit misleading. EvE the game I'm sure is making them a fair bit of money and this loss will go away when they stop wasting money....or put it into better projects that actually produce.
Another one bites the
'DUST'...
get it?
meh...i didnt loose a dollar over it..
<.<
in all fairness, i like CCP, but someone there is navigating this comp eyes closed on the industry- imo.
I disagree in that I think they had good vision for where they needed to go as a company. It's the implementation of those ideas, the achievement planning, that has lead to some sense of failure.
I don't get why it costs so much to make these games - especially since most of them are developed on an engine that is already created, e.g., unreal engine etc.
Curt Schilling... all those millions invested in a game that wasn't even close to being completed.
It's out of control.
There are countless programmers and artists that are yearning to work or be part of a promising project.
Programming developers, they cost money to hire.
was my first thought as well^^
No fate but what we make, so make me a ham sandwich please.
xcly.
eve was my first mmo ever-never forget! (4.5yrs) unfortunately i had to step outta that ship..and land, not on a ps4.
I cancelled my two accounts this year and I've played Eve Online since 2007.
I view Elite: Dangerous as Eve Online's successor. Elite: Dangerous will do everything that CCP should have aimed to do - and stuck to.
Eve Online has partly been a victim of a rabid fan base who don't seem to be able to think straight.
Yeah, bur with WoD shutting down you thought wrong. If you read though the balance sheet you will see that the R&D write off was a product that was neither EvE nor DUST.
I'll let the young people with the twitch abilities of my own youth have fun with Elite and SC. I dont assume to have the twitch abilities I had 25 years ago, thus those kids while whipe thier behinds with old farts my age that should be stupid enough to enter those games.
Fortunately for CCP many of thier players are old farts like me...
i bet it was because Dust , that fps for console only..
Not that I disagree with that, but it's hard to be sure if it might or might not have been a good fit, since we never actually saw anything come from the White Wolf purchase. As in.. absolutely nothing over several years.
Which is why I said what I said. Its purchase bore absolutely no fruit, and with staffing and overhead, I would suggest it was a drag on the business.
This has everything to do with EVE. Oh, not in the sense that the game is not healthy, but as virtually CCP's only income. It puts more pressure on the business to make sure EVE Online IS healthy!
Well, apparently you have no idea what kind of work is involved, if you just assume that licensing a game engine means all the hard stuff is done for you.
Anyway, if you really think about it, something like a 40M budget for a video game that's developed over, say, 3 years, isn't too bad. That's about 100-150 employees working for 60-80k a year each (some more some less), plus licensing costs (the engine and other things aren't free), plus datacenters, plus expensive service agreements with the local ISP(s) to make sure bandwidth is covered, and of course marketing costs.
Yes, when you start getting into games with overblown budgets like SWtOR, it becomes an issue of poor planning and poor efficiency more of than not.
You make me like charity
Unlikely, considering a small RPG publishing company is pretty small beans compared to even an indie video game studio.
I think the real issue is that CCP screwed up with the dev resources for EVE around the time of the Incarna expansion. If you remember, this same Atlanta-based studio was hit with tons of layoffs at the time, as CCP refocused efforts on fixing EVE's direction, and developing Dust. The Atlanta studio was never really the same after that, and I doubt the WoD team has the proper leadership and vision in place to make use of whatever resources did happen to come their way.
You make me like charity