He also could see some things comming that aren't to pretty...so jumping befor it hits the fan...and stick to him.

Originally posted by Majinash

Originally posted by smh_alot

 

 and currently have more players/subs than any other MMO besides WoW.

 

Korean grinders say "Hello, we have tons of subs cause there are tons more gamers over here"

Originally posted by altair4

Well, might not be Swtor related, but it also might be. Not the best of signs, but maybe just a change for other reasons.

http://biz.yahoo.com/e/120208/ea8-k.html

No NO dude its DEFINETLY Stars Wars related, I mean its obvious to me anyways,  there can be no question about this.

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

First, it costs money to operate digitial distribution. Payroll, infrastructer...ect. So nothing is 100% profit. I doubt its even at 50%

But  do the math, 2 million units means gross cash was 120 million, less distributors cuts. Reports are now the game has an operation budget of 200 million production. So all the cash has gone right into the pockets of those who hold the IOU's on producing the game (Lucas was the majority they owed money to fyi). So even with 1 million subs actually paying post free month, and that is a number only the most optimistic person could reasonably assume at this point, would still need that number for at least 4-6 months to break even. Which is why EA is cash short for next quaterly earnings.

You forget they pitched raising more money to fund the game after maxing out their 80 million budget last January, on the promise of selling 3-4 million units and maintaining 1.7 million subs. Way short which is why the investors are demanding someone's head on a platter.

Originally posted by Bunks

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

First, it costs money to operate digitial distribution. Payroll, infrastructer...ect. So nothing is 100% profit. I doubt its even at 50%

 

But  do the math, 2 million units means gross cash was 120 million, less distributors cuts. Reports are now the game has an operation budget of 200 million production. So all the cash has gone right into the pockets of those who hold the IOU's on producing the game (Lucas was the majority they owed money to fyi). So even with 1 million subs actually paying post free month, and that is a number only the most optimistic person could reasonably assume at this point, would still need that number for at least 4-6 months to break even. Which is why EA is cash short for next quaterly earnings.

 

You forget they pitched raising more money to fund the game after maxing out their 80 million budget last January, on the promise of selling 3-4 million units and maintaining 1.7 million subs. Way short which is why the investors are demanding someone's head on a platter.

Originally posted by smh_alot

Originally posted by Bunks

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

First, it costs money to operate digitial distribution. Payroll, infrastructer...ect. So nothing is 100% profit. I doubt its even at 50%

 

But  do the math, 2 million units means gross cash was 120 million, less distributors cuts. Reports are now the game has an operation budget of 200 million production. So all the cash has gone right into the pockets of those who hold the IOU's on producing the game (Lucas was the majority they owed money to fyi). So even with 1 million subs actually paying post free month, and that is a number only the most optimistic person could reasonably assume at this point, would still need that number for at least 4-6 months to break even. Which is why EA is cash short for next quaterly earnings.

 

You forget they pitched raising more money to fund the game after maxing out their 80 million budget last January, on the promise of selling 3-4 million units and maintaining 1.7 million subs. Way short which is why the investors are demanding someone's head on a platter.

 

First, you're presenting rumors as reality, which is stupid imo and detracts from any serious point you're trying to make here. Second, I never said anything about 100% of all their revenues being profit. However, if they're the physical distributors themselves and own the digital distribution network, then the net revenues they gain are a hell of a lot higher than for other companies where this isn't the case. Combine that with a lot higher sales and their net revenues will be significantly higher than for other companies. Simple to follow logic here.

 

And third, there have been a wild and wide range of speculations about the budget costs, from 80 million dollars to 500 million dollars, but no official ones from EA/BW themselves. So what you're presenting there is zilch actual facts and 100% your own speculations with false 'facts' and more akin to wishful thinking. Nice try though. Considering that the AAA MMO budgets have all been around 40-60 million dollars, I have my own thoughts about what's realistic and what's sheer nonsense, but at least I'm not confusing rumors and wild speculations for actual facts.

 

As for the rest of your arguments and figures, sorry, but these sound more like fairy tales and wishful thinking to me, with little objectivity or real sources and data behind it. Maybe an EA/BW/TOR critic's wet dream, but as with all dreams, not that much hard connection with actual reality.

sorry but reporters nailed them down already on the $200 million, because they were refuting the $300 million.

http://massively.joystiq.com/2012/01/20/the-force-is-with-swtor-ea-stock-bounces-back-budget-revealed/

As for the specualtions, this is well documented and was at the Feb 2011 meeting call. You can easily go to my posts a month ago on that and get all the links you need. If anyone is living in a wet dream here, its apparently nott me, since investors have been discussing the cost overuns now for a year. You obviously have some fantasy world going on thinking that this game somehow stayed at $80 million since last January.

since  I try to only read and discuss with rational people , I'll just block you and make us both the better for it.

Originally posted by DLangley

Cleaned up the thread again, please stay on topic.

Shouldn't that be 'stay on target' ?

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

The whole "besides WoW" part of your post is kinda key. See, Bioware spent 200 million dollars (lol) to make this "mmo" and they didn't do it just so they could come in 2nd place. Obviously they would never say publicly they intended to beat WoW, but clearly that's what they thought would happen. Instead they released a mediocre game no one seems particularly excited about and that has zero chance of overtaking WoW in subs.

Originally posted by Bunks

I said a month ago, after all the investor talk that heads would roll after the 2/1/12 report. Next stop Riccitiello. Sharks are not happy about the so called "cash cow" that was promised.

Yep. Financial folks don't leave because there is light; they leave because there is dark.  There is no cash-cow here, despite the false and misleading reviews of advertising sites.  Real consumers prove to be more intelligent than these kids.

Wow..someone resigned from a position at EA? Clearly that company is going down the tube. Companies who dont have 100% staff retention generally dont do too well. I give them six months to survive without this guy.

Originally posted by Chievous

Originally posted by Bunks

I said a month ago, after all the investor talk that heads would roll after the 2/1/12 report. Next stop Riccitiello. Sharks are not happy about the so called "cash cow" that was promised.

Yep. Financial folks don't leave because there is light; they leave because there is dark.  There is no cash-cow here, despite the false and misleading reviews of advertising sites.  Real consumers prove to be more intelligent than these kids.

Actually financial guys move all the time. I work in the gambling industry here in Australia and we have higher level staff coming and going at a rate that would unnerve some people. Our company and the industry are among the most stable with increasing profits every year as well. Because pretty much any company or corporation will have a financial sector, those staff may move on to banks, insurance companies, or just something more suited to their own personal lifestyle and preferences.

I just felt the need to comment because your post is so grossy uninformed I didnt want you to be mocked by someone more knowledgabe, its better if I just outright correct you to save any future embarassment.

Originally posted by Bunks

sorry but reporters nailed them down already on the $200 million, because they were refuting the $300 million.

http://massively.joystiq.com/2012/01/20/the-force-is-with-swtor-ea-stock-bounces-back-budget-revealed/

As for the specualtions, this is well documented and was at the Feb 2011 meeting call. You can easily go to my posts a month ago on that and get all the links you need. If anyone is living in a wet dream here, its apparently nott me, since investors have been discussing the cost overuns now for a year. You obviously have some fantasy world going on thinking that this game somehow stayed at $80 million since last January.

since  I try to only read and discuss with rational people , I'll just block you and make us both the better for it.

Originally posted by Fratman

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

The whole "besides WoW" part of your post is kinda key. See, Bioware spent 200 million dollars (lol) to make this "mmo" and they didn't do it just so they could come in 2nd place. Obviously they would never say publicly they intended to beat WoW, but clearly that's what they thought would happen. Instead they released a mediocre game no one seems particularly excited about and that has zero chance of overtaking WoW in subs.

 

They probably made the game to make a certain amount of money, not beat anyone. See thats a matter of competitive pride to beat someone, not profit. If a company makes the money they expect from a product and everyone gets richer, they can probably sleep at night as #2. Now they were, and are, trying to take away subs from WoW, but profit is their goal.

Originally posted by Fratman

Originally posted by smh_alot

Originally posted by Bunks

EA has a liquidity problem right now. Now anyone who thinks SWTOR is a major factor is sniffing glue, but they did expect it to be a cash cow for them. If memory serves, Pratcher estimated $80 million a year in profits from SWTOR alone. Right now, I doubt its breaking even after lucas takes his cut.

 

[Mod Edit]

 

They sold more than 2 million copies, 40% of it over their own digital distribution network and currently have more players/subs than any other MMO besides WoW. Who knows how things'll be after 3-6 months, but seems to me they're pretty golden so far -_-

 

The whole "besides WoW" part of your post is kinda key. See, Bioware spent 200 million dollars (lol) to make this "mmo" and they didn't do it just so they could come in 2nd place. Obviously they would never say publicly they intended to beat WoW, but clearly that's what they thought would happen. Instead they released a mediocre game no one seems particularly excited about and that has zero chance of overtaking WoW in subs.

 

Originally posted by Kenze
someone making that much money a year is obscene.

Not really. Unlike government, there is little coercion involved.  But 3.5 million is really not all that much. Some of the Big Boys make ten times that or more.  C level personnel tend to play musical chairs with various groups within an industry. Its even more of a revolving door, when dealing with government, and the various sectors they are *supposed* to be "regulating". 

BF3?  Record breaking success!  SWTOR?  Record breaking success!  Kingdoms of Amalur?  Epic fail!  Getting 4/10 (or 2/5) reviews on some sites, including G4TV.

But yeah, he left because of SWTOR, if you ask some of the members of this thread.  Let's keep in mind that Subscription MMOs are designed to be sustained cash over time, not massive bursts in cash that CFO-types love.  The game is not the type of game that would impact his job at all. SMH.

How much do think it costs running the game and continued development cost?

At the start... it has to be at least $3 or 4 million/month.

They may cut back enormously in the next couple of months as it becomes clear that subs just won't sustain a profit at that level - and trust me... they want a profit... they have a LOT of costs to catch up on.

Anyway... stock continues to dive.  TOR might not be the whole issue... but it's clear investors don't think it is the solution.

Originally posted by Souldrainer

BF3?  Record breaking success!  SWTOR?  Record breaking success!  Kingdoms of Amalur?  Epic fail!  Getting 4/10 (or 2/5) reviews on some sites, including G4TV.

But yeah, he left because of SWTOR, if you ask some of the members of this thread.  Let's keep in mind that Subscription MMOs are designed to be sustained cash over time, not massive bursts in cash that CFO-types love.  The game is not the type of game that would impact his job at all. SMH.

Kingdoms of Amalur is a great game, so much fun.  If you like action RPGs then this is a must have.

It blows SWTOR out of the water without even trying.

Its a mix of Fable and Skyrim. 

Who cares what reviews say, they gave great reviews for so many crappy games that they have lost any and all credibility a long time ago.