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I am willing to be KSP2 was a net loss.
you have the cost of the IP itself, then you have structuring a dev company, restructing dev company and then the cost of actually writing code which they never got to for years.
In fact, I bet they spent more time messing around with corporate management structures of various companies involved than it took to create the original KSP
Published 04/16/2024
STANDBY FOR MONEY DROP
"...analysts predict that the company will be profitable this year, which may provide some reassurance to investors concerned about the recent insider sales."
Methinks we be effed
I found some info about it.
$21m gross revenue
538k units sold
And we should hold that against dev costs.
Example 70 people x 5 years x 100.000usd pr year in salery ( a crazy guess )
= 35.000.000usd
+ marketing costs and other expenses and the game still have 3-4 years of development left until we get the full roadmap. + DLC's
And they can maybe port it to other gaming devices later on to get more sales
One major issue is the fact its in early access and many features like colonys, multiplayer and so on aint there yet, so i understand why many people did not change from ksp1 to ksp2 yet, since you can do more in ksp1 and if people use mods they basicly can do the same as in ksp2 especially right now due to lack of content.
will ksp2 be great YES someday and then i think sales will increase.
I think ksp2 is beautifull, planets are great ect.. but we there is a long way to go and that is very sad.
there is more
1. cost of purchasing the title of the game
2. cost of legal and business regarding two child companies to the parent.
3. hard to measure BUT...communication cost. meaning, meetings between 3 companies, communication loss in that archtiecture. I have seen that eat up a lot of resources and slow things down a great deal.
Also add another 20% or so to the cost of the "salary" number to cover things like payroll tax, benefits such as insurance and 401k, the cost of the equipment being used by the devs to produce the game, and then add a bit more on for the cost of leasing the space where they were working out of. Also, the 100k salary could very well be a low number, as a quick google search for the average game dev salary in Seattle is closer to 120k. I'm not sure if steam's distribution fee is already factored in to the gross revenue(shouldn't be, as gross should be ALL sales revenue before any expenses). If that isn't, factor in that steam is going to take a 30% cut from every copy.
If all the numbers listed before are true, it isn't really any surprise they are closing down the studio and likely going to be letting the game die. All those numbers point to this game being a financial money pit, and a business isn't going to keep funding it forever if they don't see any potential of a return on the investment. It sucks, but such is business.