Epic Store losing money like crazy - over $400 million dollars lost so far

[Brian9824]

https://www.pcgamer.com/epic-games-store-exclusives-apple-lawsuit/

They have lost over 450 million dollars so far, with the trend showing no signs of stopping and have already forecasted losses of at least 139 million dollars for this year.

That is what happens when you have to bribe people to use your store and have nothing that actually draws people to it.

**Edit**
They have actually lost FAR more then $400 million, the numbers being reported for sales are not actually revenue

third-party game sales only accounted for $265 million of that spending.

Money spent on the store is not what epic gets to keep, they only keep at MOST 12% of that, and less with coupons so at most they got $32 million in revenue from that in 2020 which is nothing compared to money spend

[Electric Cupcake]

Karma for cancelling Jazz Jackrabbit 3 has been a long time in coming.

Maybe next, a largish meteorite will hit Randy Pitchford.

[Wraith99]

Publicado originalmente por secuda:

Oh pocket money.

This. They probably make twice that amount every year from Fortnite alone. It's like people forget that their real money maker is the Unreal Engine, which is basically used by everyone and their mother. They're not going out of business anytime soon.

[Mad Scientist]

Publicado originalmente por tariqari:

Really Steam? Deleting any comments about CCP to cover their genocidal tendencies? My people being slaughter since 2015 by them and people still wanna hide it.

They prefer no politics in general, but yes, almost anything mentioning that will be outright deleted or get you into trouble.

Anyway, "an estimated $600 million that the Epic Games Store will need to recoup before it'll be profitable on the whole. " Yeah, clearly they're not doing very well

[Brian9824]

Publicado originalmente por Wraith99:

Publicado originalmente por secuda:

Oh pocket money.

This. They probably make twice that amount every year from Fortnite alone. It's like people forget that their real money maker is the Unreal Engine, which is basically used by everyone and their mother. They're not going out of business anytime soon.

Even if they make twice that on Fortnite its still not good when your losing hundreds of millions of dollars a year with no real way to change that.

I mean that is why Steam stopped dealing with videos. No reason to keep losing money on them despite them making far more then they were losing elsewhere.

[Tiberius]

They're still making tons of money tho

[Vault Hunter 101]

Im sure that they pay more than that for the "free" games they offer, so if they cut the plug they will start earning money.


I know 99% of steam users here want Epic to fail cuz "Epic bad" but don't count them apples or whatever the saying was

[Brian9824]

Publicado originalmente por Tiberius:

They're still making tons of money tho

and? Even if they made 5 billion a year, losing hundreds of millions of dollars a year is bad. Especially when they are facing losing billions of dollars over their feud with apple.

[Brian9824]

Publicado originalmente por Vault Hunter 101:

Im sure that they pay more than that for the "free" games they offer, so if they cut the plug they will start earning money.


I know 99% of steam users here want Epic to fail cuz "Epic bad" but don't count them apples or whatever the saying was

If they cut the plug on the free games no one will use them as they have nothing to offer that Steam and others don't already have. That is WHY they have the free games to try to get people invested in their store so that when they do eventually cut the free games people won't leave.

[HotDogWater]

Good, ♥♥♥♥ Epic games

[Tiberius]

Publicado originalmente por brian9824:

Publicado originalmente por Tiberius:

They're still making tons of money tho

and? Even if they made 5 billion a year, losing hundreds of millions of dollars a year is bad. Especially when they are facing losing billions of dollars over their feud with apple.

Yea like how sony has been selling their consoles at a loss. That surely ruined the company.. or not

[Mr Jt (Gog is king)]

It always takes a few years until your company gets profitable.They are playing the long run game

[Vault Hunter 101]

Publicado originalmente por brian9824:

Publicado originalmente por Vault Hunter 101:

Im sure that they pay more than that for the "free" games they offer, so if they cut the plug they will start earning money.


I know 99% of steam users here want Epic to fail cuz "Epic bad" but don't count them apples or whatever the saying was

If they cut the plug on the free games no one will use them as they have nothing to offer that Steam and others don't already have. That is WHY they have the free games to try to get people invested in their store so that when they do eventually cut the free games people won't leave.

People already got some free games, Batman series, GTA V, ARK etc etc

Epic's goal is to normalise people starting and using Epic's Launcher, then they will try to get consumers by providing better prices/making exclusivity deals.

In the long run they will profit and hopefully they will be a competition to Steam

[Mad Scientist]

Publicado originalmente por Vault Hunter 101:

Publicado originalmente por brian9824:

If they cut the plug on the free games no one will use them as they have nothing to offer that Steam and others don't already have. That is WHY they have the free games to try to get people invested in their store so that when they do eventually cut the free games people won't leave.

People already got some free games, Batman series, GTA V, ARK etc etc

Epic's goal is to normalise people starting and using Epic's Launcher, then they will try to get consumers by providing better prices/making exclusivity deals.

In the long run they will profit and hopefully they will be a competition to Steam

If you just bring people to grab a free game and not purchase anything that doesn't bring money in, that's a pure loss. It wont normalize the use of the launcher either, which is easily bypassed.

I grabbed Jurassic World Evolution from them, but I already own it on Steam. Tell me how that'll be profitable for Epic in the long run since that's why most people even go to epic; for a free copy.

[Vault Hunter 101]

Publicado originalmente por Mr. Gentlebot:

Publicado originalmente por Vault Hunter 101:

People already got some free games, Batman series, GTA V, ARK etc etc

Epic's goal is to normalise people starting and using Epic's Launcher, then they will try to get consumers by providing better prices/making exclusivity deals.

In the long run they will profit and hopefully they will be a competition to Steam

If you just bring people to grab a free game and not purchase anything that doesn't bring money in, that's a pure loss. It wont normalize the use of the launcher either, which is easily bypassed.

I grabbed Jurassic World Evolution from them, but I already own it on Steam. Tell me how that'll be profitable for Epic in the long run since that's why most people even go to epic; for a free copy. :JurassicWorldEvolution:

Plenty of people got games from Epic and use Epic's Launcher to play them, that normalizes use of the launcher and having Epic's store installed.

As for long run there are people that buy games on Epic, just because you don't doesn't mean nobody does.

[Brian9824]

Publicado originalmente por Tiberius:

Publicado originalmente por brian9824:

and? Even if they made 5 billion a year, losing hundreds of millions of dollars a year is bad. Especially when they are facing losing billions of dollars over their feud with apple.

Yea like how sony has been selling their consoles at a loss. That surely ruined the company.. or not

That is completely different, they sell their consoles at a loss so they can profit off the game sales because if they buy the console then they HAVE to buy the games, accessories, etc from them. That's completely different from Epic in that buying a game from Epic doesn't tie you to their platform for future purchases like buying a console does.

Publicado originalmente por Vault Hunter 101:

Publicado originalmente por brian9824:

If they cut the plug on the free games no one will use them as they have nothing to offer that Steam and others don't already have. That is WHY they have the free games to try to get people invested in their store so that when they do eventually cut the free games people won't leave.

People already got some free games, Batman series, GTA V, ARK etc etc

Epic's goal is to normalise people starting and using Epic's Launcher, then they will try to get consumers by providing better prices/making exclusivity deals.

In the long run they will profit and hopefully they will be a competition to Steam

Except for the fact that Exclusivity deals are BAD for us as gamers, artificially restricting where you can buy games is about as anti consumer as you can get and is one of the primary reasons they are operating at a loss. So if they keep doing those exclusivity deals they will keep losing money.

Also Epic has claimed for years that their lower cut will lead to developers lowering their prices. It hasn't happened. All those coupon's epic offers, exclusive deals, etc is the REASON they are losing money.

Their market strategy makes sense, but they have several flaws with it, you can't operate as a loss leader indefinitely and there isn't any real incentive to use Epic's platform over anyone elses.