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Forums - Gaming Discussion - How much do you think MS paid for Gear of War?

 

How much do you think MS paid for Gear of War?

$100m 27 33.33%
 
$200m 12 14.81%
 
$300m 10 12.35%
 
$400m 2 2.47%
 
$500m 5 6.17%
 
$600m 2 2.47%
 
$720m 0 0%
 
$1 Billion 6 7.41%
 
On a contract - Epic get ... 6 7.41%
 
Other (post) 11 13.58%
 
Total:81
fps_d0minat0r on 28 January 2014

Sooner or later, rumours will be flying around....and one day it might even be revealed.

Until then, predict how much you think MS bought it for.

 

"The Gears franchise includes four games and has been an Xbox exclusive since it’s debut in 2006. Spencer said 22 million units of the first-person shooters have been sold, earning Epic over a billion dollars in revenue to this point."

http://www.theglobeandmail.com/technology/gaming/microsoft-buys-gears-of-war-franchise-vancouver-studio-made-lead-developer/article16498932/

 

A billion in revenue only on xbox and the first one on PC. If this went multiplatform imagine how much Epic would have made.

The development costs were not that high either for Epic, so they would have profited a lot from this.

http://arstechnica.com/gaming/2006/10/5516/

 

I think they must have paid atleast $500m for it and even if they dont profit from this, they still need it as a selling point for the XB1.

 

Edit:

According to Pachter, its $100m or less. Does he think Epic are stupid?

http://www.gamepur.com/news/13474-microsoft-bought-gears-war-ip-epic-games-100-million-or-less-no-more-pachte.html



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BeElite on 28 January 2014

no clue at all, neither will anyone know unless thrs a leak



fps_d0minat0r on 28 January 2014
kowenicki said:
Less than all of those numbers would be my guess.


Less than that is what they would have made even if they kept it.



fps_d0minat0r on 28 January 2014
kowenicki said:
fps_d0minat0r said:

Sooner or later, rumours will be flying around....and one day it might even be revealed.

Until then, predict how much you think MS bought it for.

 

"The Gears franchise includes four games and has been an Xbox exclusive since it’s debut in 2006. Spencer said 22 million units of the first-person shooters have been sold, earning Epic over a billion dollars in revenue to this point."

http://www.theglobeandmail.com/technology/gaming/microsoft-buys-gears-of-war-franchise-vancouver-studio-made-lead-developer/article16498932/

 

A billion in revenue only on xbox and the first one on PC. If this went multiplatform imagine how much Epic would have made.

The development costs were not that high either for Epic, so they would have profited a lot from this.

http://arstechnica.com/gaming/2006/10/5516/

 

I think they must have paid atleast $500m for it and even if they dont profit from this, they still need it as a selling point for the XB1.

 

Edit:

According to Pachter, its $100m or less. Does he think Epic are stupid?

http://www.gamepur.com/news/13474-microsoft-bought-gears-war-ip-epic-games-100-million-or-less-no-more-pachte.html

I said less than $100m before I read all of your post.  I would agree with pachter.

Revenue does not equal profit, far from it in this case and they seemed unlikely to develop any more Gears games anyway. 

Your guess of half a billion dollars is insane.


I know revenue is not profit, thats why I added in development costs which are low compared to other games.

Even if you say each gears of war game took $100m to make (even though its no-where near that amount), they still made over half a billion in profit from it so far.



kirby007 on 28 January 2014

in pure cash? not that much, in contractual agreements, alot!
think off : licencing unreal engine, developing bonuses on upcoming games, free cloud useage



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jlmurph2 on 28 January 2014

Epic didn't even want Gears anymore. As you could see from Judgement. So I don't think MS had to spend that much for the rights.



Pjams on 28 January 2014

One Million Dollars



 

fps_d0minat0r on 28 January 2014
kowenicki said:
fps_d0minat0r said:
kowenicki said:
fps_d0minat0r said:

Sooner or later, rumours will be flying around....and one day it might even be revealed.

Until then, predict how much you think MS bought it for.

 

"The Gears franchise includes four games and has been an Xbox exclusive since it’s debut in 2006. Spencer said 22 million units of the first-person shooters have been sold, earning Epic over a billion dollars in revenue to this point."

http://www.theglobeandmail.com/technology/gaming/microsoft-buys-gears-of-war-franchise-vancouver-studio-made-lead-developer/article16498932/

 

A billion in revenue only on xbox and the first one on PC. If this went multiplatform imagine how much Epic would have made.

The development costs were not that high either for Epic, so they would have profited a lot from this.

http://arstechnica.com/gaming/2006/10/5516/

 

I think they must have paid atleast $500m for it and even if they dont profit from this, they still need it as a selling point for the XB1.

 

Edit:

According to Pachter, its $100m or less. Does he think Epic are stupid?

http://www.gamepur.com/news/13474-microsoft-bought-gears-war-ip-epic-games-100-million-or-less-no-more-pachte.html

I said less than $100m before I read all of your post.  I would agree with pachter.

Revenue does not equal profit, far from it in this case and they seemed unlikely to develop any more Gears games anyway. 

Your guess of half a billion dollars is insane.


I know revenue is not profit, thats why I added in development costs which are low compared to other games.

Even if you say each gears of war game took $100m to make (even though its no-where near that amount), they still made over half a billion in profit from it so far.

Nonsense.  Half a billion profit!?  Nowhere near.

My understanding is that the publisher was Microsoft, the platform was microsoft. The vast majority of the money went to Microsoft.

Epic were just the developers and may have been paid a fee to do it, or perhaps were paid a percentage of the revenue.  But 50% of the revenue as profit for the developer is an absolutely ridiculous statement.

 


Sorry, I assumed it was revenue for epic.

But still...even if that chart is correct, Epic's share would be ~$500m and take away the reported development costs, they still would have have made hundreds of millions from this.

Furthermore, thats just games revenue, you also have to factor in either the money MS were paying them for exclusivity, or the money they would have gained by going multiplatform. Those two options would have made them more than $100m easily.



OdinHades on 28 January 2014

I can get Gears of War just around the Corner for 10 bucks! Who would pay Millions for such an old game?!

:P



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TurboElder on 28 January 2014
kowenicki said:
Less than all of those numbers would be my guess.


Yes, it's more like 10.000.000. This franchise is old and doesn't have many fans anymore.