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The cost is proportionate to the number of people on the server. You don't pay 400k for a server/servers that has only 10k players. Player count will drop a ton over the next year or so and so will the cost of running the servers.
If you're referencing though how there's so many official servers, and you think that they'll shut down all the ones that some people play on to match the population, still no. Although there is a little bit of a cost for just hosting the server, the main source of cost comes from players playing on it. As in, it would be cheaper to fit 100 players on 10 servers instead of 100 players on 50 servers, but not by a tragic amount.
Streaming is indeed expensive, but so are game servers.
Sure, Youtube is MASSIVE, but:
1) Youtube is owned by Google, one of the biggest players in town => they have their own hardware that is highly cost optimized. Despite this it costs 1-2 billions to run Youtube.
2) Right now Palworld is at it's absolute peak in regards to player activity, 2+ million players online at once is something even giant MMOs like WoW rarely see happening, all of this on hastily rented server capacity.
Youtube may be massive, but in terms of activity i can absolutely see Palworld eating up around 0.1 - 0.5%% of what a streaming giant like Youtube needs.
Obviously the costs for Palworld servers will go down over time (because the average player will play way less than now), while more sales come in every single second for the foreseeable future.
Pocketpair was indeed in danger of going bancrupt, WAS... because hundreds of millions in revenue tend to solve issues like that real fast.
I said "even if"
I know, just confused why some seem to think it's unsustainable when that cost won't last long. I was just adding onto your point. Not only do they have to money to run it for a long time, plus the cost will drop anyway. This is a non issue.
What if game is mass refunded soon for whatever reason, they arnt going to get as much money then, then what?
That's easy as well:
Lets say they are expecting 200 million $ of revenue in a couple of weeks, but ♥♥♥♥ happens and they only get half, so what?
Is any bank going to decline a credit for a couple of millions based on "only" making 100 million? Of course not.
Besides:
Those servers come at a ~0.5 million $ cost per month, but nobody said anything about said costs being paid in advance. For all we know those can be paid later.
But it doesn't even matter, right now investors are charging at Pocketpair like moths to a flame. Everyone wants a share of the cake, hence the last problem they have right now is money.
Besides:
Microsoft owes them money for those gamepass downloads as well, and Microsoft has a vested interest in Palworlds success => Microsoft can pay any random server bill with absolute ease.