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Forums - Microsoft Discussion - Microsoft Might Be Forced To Purchase Epic Games!

jacks81x on 20 February 2010
mrstickball said:
Chairman-Mao said:
Epic games is another company (also Valve) that I think is a tad bit over-rated but if MS purchases Epic that would be a huge hit to Sony's 3rd party and a boost to MS' 1st party.

Honestly, I think its the other way around. Epic is one of the most under-rated. Not because of their games, which are good but not great in terms of frequency. However, their Unreal Engine is what makes Epic a must-have for Microsoft.

Imagine a world where Microsoft gives out Unreal Engine as part of a SDK for free to developers. Could you imagine MS aquiring new developers by giving it in turn for exclusivity or a greater cut of royalties? MS would do insane business by that, and could screw Sony over in the process.

I actually think MS will lose developers.  The reason why the Unreal Engine is so popular (other than that it's a great engine), is because Epic puts no restrictions on the developers in how they use the engine and because they only ask for 25% royalty in return, which is ridiculously generous to the devs.  Can you imagine MS asking for anything less than 75% in return?  MS has never been known for their willingness to share their proprietary tools to begin with.  And if they're going to share it, you'll know they'll charge an arm and a leg and they'll probably prohibit the devs from making multi-plat games.  A lot of the major devs will just say no thanks to that.  They'll rather look elsewhere or develop their own in-house engine if MS is going to force them to only make games for them and up the royalty cost on top of that.  



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Kenoid on 20 February 2010

Get activision



                                  

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iWarMachine on 20 February 2010

i think that they'll be bought by EA or Activision before MS takes them.



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yinkadare on 20 February 2010
jacks81x said:
mrstickball said:
Chairman-Mao said:
Epic games is another company (also Valve) that I think is a tad bit over-rated but if MS purchases Epic that would be a huge hit to Sony's 3rd party and a boost to MS' 1st party.

Honestly, I think its the other way around. Epic is one of the most under-rated. Not because of their games, which are good but not great in terms of frequency. However, their Unreal Engine is what makes Epic a must-have for Microsoft.

Imagine a world where Microsoft gives out Unreal Engine as part of a SDK for free to developers. Could you imagine MS aquiring new developers by giving it in turn for exclusivity or a greater cut of royalties? MS would do insane business by that, and could screw Sony over in the process.

I actually think MS will lose developers.  The reason why the Unreal Engine is so popular (other than that it's a great engine), is because Epic puts no restrictions on the developers in how they use the engine and because they only ask for 25% royalty in return, which is ridiculously generous to the devs.  Can you imagine MS asking for anything less than 75% in return?  MS has never been known for their willingness to share their proprietary tools to begin with.  And if they're going to share it, you'll know they'll charge an arm and a leg and they'll probably prohibit the devs from making multi-plat games.  A lot of the major devs will just say no thanks to that.  They'll rather look elsewhere or develop their own in-house engine if MS is going to force them to only make games for them and up the royalty cost on top of that.  

I can see it now.

MS: We own the Unreal Engine now.  If you want to use it, get in line and show us the $$$.  And BTW, any game you make has to be exclusive to the XBox.  Otherwise GTFO. 



mrstickball on 20 February 2010
jacks81x said:
mrstickball said:
Chairman-Mao said:
Epic games is another company (also Valve) that I think is a tad bit over-rated but if MS purchases Epic that would be a huge hit to Sony's 3rd party and a boost to MS' 1st party.

Honestly, I think its the other way around. Epic is one of the most under-rated. Not because of their games, which are good but not great in terms of frequency. However, their Unreal Engine is what makes Epic a must-have for Microsoft.

Imagine a world where Microsoft gives out Unreal Engine as part of a SDK for free to developers. Could you imagine MS aquiring new developers by giving it in turn for exclusivity or a greater cut of royalties? MS would do insane business by that, and could screw Sony over in the process.

I actually think MS will lose developers.  The reason why the Unreal Engine is so popular (other than that it's a great engine), is because Epic puts no restrictions on the developers in how they use the engine and because they only ask for 25% royalty in return, which is ridiculously generous to the devs.  Can you imagine MS asking for anything less than 75% in return?  MS has never been known for their willingness to share their proprietary tools to begin with.  And if they're going to share it, you'll know they'll charge an arm and a leg and they'll probably prohibit the devs from making multi-plat games.  A lot of the major devs will just say no thanks to that.  They'll rather look elsewhere or develop their own in-house engine if MS is going to force them to only make games for them and up the royalty cost on top of that.  

That is an odd comment, given that most devs say that the Xbox 360 SDK is one of the best ever made. Microsoft also put forth the model for digital royalty rights that were far more lucrative to developers than anyone else at the time (70/30). Since then, everyone has followed that model.

And Microsoft asks for 10% now, which is the lowest console licensing fee in the business. I couldn't imagine how happy Microsoft would be if they could get an additional 25% from developers.

Microsoft would most likely say 'If you want to use our engine, we will license it to you for a 10% royalty' and simply make UE3 360/PC compatible. That way, they ensure the game will most likely be exclusive, get some royalty out of it, and ensure the devs get a fantastic engine to work with.

I think you really underestimate Microsoft in terms of how much they are willing to work with devs.



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restored_lost on 20 February 2010

it would be in microsofts best interest, their 1st party is dwindling away and are already relying on 3rd party's to carry them. it would help heal the wound when bungie goes multiplat next year.



"even a dead god still dreams"

 

halogamer1989 on 20 February 2010

I am mixed on this. It could go the way of Bungie....



dsister44 on 20 February 2010
restored_lost said:
it would be in microsofts best interest, their 1st party is dwindling away and are already relying on 3rd party's to carry them. it would help heal the wound when bungie goes multiplat next year.

Actually they seem to be building up their first party now. Creating a couple of studios(343 Interactive, Spawnpoint) buying a few(Big Park Studios, 3DV interactive), and hiring a lot of skilled talent for their studios. Most notably the recent hirings of ex Pandemic staff. 



demitri55 on 21 February 2010

why is there a big deal about this? epic hasnt done anything ps3 related recently so if MS buys it there wont be any difference. Ms has like what, 4 first party companies, Sony has like over 15? i think sony can do without epic in fact MS buying epic will only hurt epic not sony. but it wont even come to this epic will not go first party to anyone they will always remain independent



dsister44 on 21 February 2010
demitri55 said:
why is there a big deal about this? epic hasnt done anything ps3 related recently so if MS buys it there wont be any difference. Ms has like what, 4 first party companies, Sony has like over 15? i think sony can do without epic in fact MS buying epic will only hurt epic not sony. but it wont even come to this epic will not go first party to anyone they will always remain independent

Actually Microsoft has a lot more then four internal studios.

  • Rare Ltd.
  • Lionhead Interactive 
  • Spawnpoint Interactive
  • Turn 10 Studios 
  • Bigpark studios 
  • 3DV interactive 
  • FireBird Studio
  • 343 Interactive
  • MGS internal team