Technology

Outriders did not make a profit in 2021

People Can Fly confirmed that it has not yet made money from Outriders, as Square Enix has not yet recovered the investment money to start paying the commissions established in the agreement between the two companies.

After reports that Square Enix lost more than $200 million with Marvel’s Avengers and Guardians of the Galaxy, information now arrives that the Japanese company also lost money with Outriders.

A new financial report from Polish People Can Fly confirms that as of December 31, 2021, Outriders (released in April 2021) was still not turning a profit, meaning that Square Enix has yet to recoup the money it spent helping with development, marketing and distribution.

We will likely have to wait until May 13 to get an official statement from Square Enix when it submits the new financial report, but the information is stated in People Can Fly documents. Despite Square Enix praising digital sales and active users, Outriders does not appear to have complied with the agreements.

“Since the game was completed and placed on the market (which happened on April 1, 2021), the company is entitled to commissions payable if specific money (as defined in the agreement) from its sales ensures that the publisher has recovered a certain level of costs incurred in connection with the development, marketing and distribution of the game. The level of commissions depends on the specific amount of money from sales of the game,” People Can Fly told investors.

“The group did not receive any royalties from the publisher until December 31, 2021, which means that on the aforementioned date, the money obtained from the sale of Outriders was insufficient to recover the costs and expenses that the publisher incurred in development, distribution and marketing. .”

People Can Fly even says that it has no guarantee that Outriders will make a profit and since Square Enix owns the ownership and distribution rights of the Outriders brand, the game’s creator may be left without any money from this project.

Now, People Can Fly puts on the table the possibility of refusing to work on new content, expansions or even sequels for Outriders, which could force Square Enix to put the project in the hands of another studio.

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