Epic spent $444 million to secure exclusive games for their store in 2020 – Rock Paper Shotgun

“Epic devoted $444 million in minimum assurances for 2020 alone,” Apple say. Those minimum guarantees would have been advance payments made to publishers and designers, the quantity Epic dedicated to paying regardless of whether or not the games being paid for really wound up recouping the exact same amount in sales. Of course exclusives won’t always end up recouping what Epic invested to sign them. “Epic forecasted to lose around $273 million on EGS in 2020,” Apple states, including that the projection for 2021 is a $139 million loss. As Apple state, Epic had actually expected to lose money on these offers in their effort to get and maintain users on the Epic Games Store.

, and have actually been using totally free games as a reward to consumers, which they’ve yet to stop doing either.

Of course exclusives won’t constantly end up recouping what Epic spent to sign them. “Epic projected to lose around $273 million on EGS in 2020,” Apple says, adding that the projection for 2021 is a $139 million loss.

As Epic stated previously this year, “We have more exclusives can be found in the next 2 years than we have released to date.” That indicates their $444 million invested in minimum assurances is likely to increase this year.

Apple’s interest in the matter, in part, is to prove that their legal dispute with Epic was driven by Epic’s desire “to restore and revitalize its service.” Whether that’s the case will be for the legal folks to sort out.

Ta, Eurogamer.

As Apple say, Epic had anticipated to lose cash on these handle their effort to gain and keep users on the Epic Games Store. Running all or part of a business at a loss isn’t an unique principle. They sure are huge numbers though, and they add context to other numbers we’ve seen from Epic just recently.

On PC, gamers “spent over $700 million of which 3rd celebration video games represented 37% at $265 million,” they stated.

“Epic devoted $444 million in minimum warranties for 2020 alone,” Apple say. Those minimum warranties would have been advance payments made to publishers and designers, the quantity Epic dedicated to paying regardless of whether or not the games being paid for in fact wound up recovering the very same quantity in sales.

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