A new report reveals that despite a strong start, Outriders failed to make a profit in 2021.
The report comes from the developer People Can Fly (via Tweak Tower). Here, the company revealed that the game will still generate revenue for its publisher (Square Enix). This was something that was suspected in August last year, when the developer said that Square Enix would still pay him a copyright fee.
But even a few months after that initial statement, no copyright fee came in the way of People Can Fly in 2021.
Since the game was completed and launched (which took place on April 1, 2021), the Company is entitled to royalties due if specific revenue (as defined in the agreement) from its sales ensures that the publisher reimburses in advance a certain level of costs incurred in connection with the development, promotion and dissemination of the game. The level of royalties depends on the amount of specific revenue from sales of the game, “the developer wrote in his report.
“The group has not received royalties from the publisher for the period up to 31 December 2021, which means that at the reporting date the net proceeds from the sale of Outriders are insufficient to reimburse the costs and expenses incurred by the publisher to develop, distribute and promote the title.
“This was confirmed by the copyright declaration for the fourth quarter of 2021, received by the Publisher Group.”
In May last year, Square Enix said Outriders was “ready to be the company’s next big franchise” after 3.5 million unique players flocked to the experience in its first month (something attributed in part to the game’s arrival in first day in Xbox Games Pass).
However, unfortunately for humans to be able to fly, it seems that the initial spark has already faded. However, Outriders is one of the few IP addresses that Square Enix has not decided to part with.
Surprisingly, the publisher announced on Monday that it had struck a deal with the Embracer Group to sell its Western studios and more than 50 intellectual properties for just $ 300 million.
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