| Tober said: Taking it private does not solve structural problems. Biggest one is they conditioned their buying public to expect heavy discounts soon after release. I can't think for a reason to buy a Ubisoft game at launch prize, knowing that it will be half within a year at the latest. Neither any of my gaming buddies. |
These things are related, though. Whenever a game comes out from a publicly traded company there's pressure to recover the capital invested in developing it. To prove to shareholders they can make money on the company instead of diluting their money on the S&P average or some other investment fund. (See: the dynamic between Square Enix and Eidos, especially the Tomb Raider games).
A private company has no such pressure and can walk its own walk. They would be better positioned to take their time before launch and not panic discount their games after launch... in theory.
I'd prefer it was the Guillemots alone looking to take it private since the stock was so undervalued, and I think I even mentioned the possibility of such a scenario, but still.
