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TigerLord

join:2002-06-09
Canada

TigerLord

EVE Developer Closes San Francisco Office, Two Key Execs Leave

In the wake of the cancellation of the World of Darkness MMO and year-over-year financial struggles, developer CCP Games has closed its San Francisco office and parted ways with two senior executives. The Icelandic company announced the news this week in an earnings statement [PDF], which was translated by Gamasutra.

For the six-month period ended June 30, CCP Games reported sales of $36.5 million, down marginally compared to last year's $36.7 million. However, the company reported a $22.8 million loss for the period, compared to a profit of $319,000 last year.

The downturn was due in part to the cancellation of the World of Darkness MMO in April, which CCP Games said negatively impacted profitability substantially due to "significant severance" expenses, among other things. As part of the game's cancellation, 56 employees were immediately let go.

»www.gamespot.com/article ··· 6421968/

TL:DR CCP's revenue is slightly down compared to last year (translation: less people are subscribing). CCP tried to build a new game, lost $44 Mil in the past 18 months. EVE only makes $6.2 Mil per year, so they effectively lost more than 7 YEARS OF PROFIT in 18 months.

I didn't even know they were making another MMO. After they made their PS3 exclusive Dust 514 game, I kinda knew they had lost it a little, but 44M loss takes the case.

So long, CCP.

Krisnatharok
PC Builder, Gamer
Premium Member
join:2009-02-11
Earth Orbit

Krisnatharok

Premium Member

I was REALLY looking forward to World of Darkness. Sadface.

Nightfall
My Goal Is To Deny Yours
MVM
join:2001-08-03
Grand Rapids, MI

Nightfall to TigerLord

MVM

to TigerLord
The thing is that EVE online is a pretty successful MMORPG. They had 500,000 subs as of last year. That means they are making $6 million a month. Is their overhead enough that it costs them $5.5 million a month? I really don't know.

Still, its not like EVE Online wasn't working. CCP made a play for a better MMORPG and lost a ton of money. As a result, EVE is in danger of going under. Sad to be honest.

shinjuru

join:2000-10-29
West Coast

shinjuru to TigerLord

to TigerLord
World of Darkness was canned back in April. Although, I wonder how many people were actually working out of their San Francisco office.

»World of Darkness MMO Canned