A few months ago, Activision Blizzard CEO Bobby Kotick said investing $500 million to a billion still wouldn’t be enough to compete with an MMORPG like World of Warcraft. The MMORPG space is a costly investment and you’d need to really burn a lot of money to start competing against the mega-giant, but Mythic VP and Warhammer Online lead designer Mark Jacobs disagrees with that quote.
Jacobs says $100-million dollars would be needed to start competing against the giant subscription generator that is World of Warcraft. Although few developers are sitting on $100-million USD, it’s a bit more realistic an investment for a studio to scrape up compared to a billion bucks! A billion dollars is a scary number when you consider that’s the start of an investment that may, or may not, pay off in the end.
Kotick may not be using complete scare tactics, he may be working off experience when dealing with MMORPG’s. A startup MMO isn’t a cookie cutter system, there is a lot of development efforts, $100-million dollars worth, but MMO developers slip dates many times. When you start slipping your dates you’ll start burning more money and, before you know it, you’re a billion in the hole. Jacobs thinks $100-million will cover development costs and messing up, so a billion is still way over budget.
Perhaps this is a bit of a scare tactic, assuming a developer will fail and slip their dates isn’t really a great way to start quoting prices. However, shooting too low isn’t always the best method of building your development assessments. The end result, scream ONE BILLION and you may scare off any potential startup MMO developers.
Warhammer Online lead designer did mention one big barrier to entry: the need for “at least half a million subscribers to be successful.”
(Thanks, 1up)
If you’re looking to get into a new guild of über casual gamers,
You remember when Wii games were $49.99 and everyone made titles that hit this price point or lower? MTV isn’t going to stick to this standard, regardless of “last gen graphics” because you’ll buy it anyway, right? Rock Band is one of those games that has hit huge strides in the market over the last few years as people buy big plastic instruments to rock their house.
In a world driven by the Internet, global economics and the short attention spanned reader we’ve been bombarded with social networks and 140-character micro-blogging. We’re constantly finding ways to promote ourselves, promote our brands or tell people what we’re eating for dinner. Is this obsession with ourselves and our creativity bridging into video games?
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