• meatand2veg@lemmynsfw.com
    link
    fedilink
    English
    arrow-up
    0
    ·
    1 year ago

    What’re you even talking about??? Epic takes a revenue share of every game made with unreal engine, plus Fortnite runs exclusively on mommy’s credit card and is still insanely huge. Even if the epic games store doesn’t take as big a cut of every sale, they’re held by daddy Tencent who’ll probably kick em some lunch money if they’re actually desperate.

      • enkers@sh.itjust.works
        link
        fedilink
        English
        arrow-up
        0
        ·
        edit-2
        1 year ago

        This. They’ve been burning money trying to give games away for free to entice people to their platform. It’s quite possible they have a cash flow problem. That they just layed off 900 people definitely supports this idea.

        • sugar_in_your_tea@sh.itjust.works
          link
          fedilink
          English
          arrow-up
          0
          ·
          1 year ago

          I doubt it. Fortnite alone probably covers all of those free games and then some, it’s an insane cash cow. Add to that Unreal Engine revenue and they’re not hurting at all for money.

          Layoffs just means they probably finished the bulk of UE5 dev and are seeing softening revenues with the COVID spike being over, so they don’t have as much demand to get that and related projects done sooner. Amazon and other big tech firms have done similar layoffs, and it’s not because they’re losing money, but because they’re seeing an end to the crazy growth in the gaming industry due to COVID-19 demand changes.

          So no, I really don’t think Epic is hurting for money, they’re just cutting costs to improve margins now that revenue is likely falling.

          • Aux@lemmy.world
            link
            fedilink
            English
            arrow-up
            0
            arrow-down
            1
            ·
            1 year ago

            Epic Games is a privately owned company, thus we don’t know their financial state. We don’t know which debts they have and what ventures they have undertaken over the last few years. They might have huge debts and Fortnite might not be enough.