WereKitten on 27 March 2009
@nightsurge
They are specifying that the IP is still yours because they're asking for exclusivity on PSN. So they're saying: we're paying you for the publishing exclusivity, not buying your IP.
And for small projects the development costs might not be much when compared with the total royalty revenue if the game sells well, but having a guaranteed amount to cover development makes it less risky for the author.
Note that by what I understand it's only a guaranteed royalty income, not a money-in-your hand gift... once a successful game covers its development costs with profit for the author then the deal is irrelevant. It's basically so that authors are not scared by the risks of development+bandwidth.
