eSport & Gaming News: Long Ubisoft - Short Activision?
The Division 2 is coming to Epic’s game store instead of Steam (The Verge)
· Ubisoft has announced that it has decided not to put The Division 2 on the Steam platform when the game is released in March.
· Instead, the company is supporting the arrival of a new distribution platform from Epic Games (Fortnite developer) and said that they will “also partner on additional select titles to be announced during the coming year.”
· For years, Valve’s Steam has had a monopolistic position within the digital PC game distribution space.
Comments
· As outlined when Epic first announced the launch of its store, I think this is one of the most significant attempts to challenge Steam’s dominant position (mainly due to the fact that Epic’s game launcher is already on countless computers due to its success with Fortnite rather than the more favourable fee structure).
· I noted that in order to convince players to further fragment their game libraries, Epic would need to create a compelling enough offer – adding games from a major developer such as Ubisoft is a big step in the right direction and may lead to other large publishers following suit.
· Epic’s store is offering an appealing 88/12 revenue split rather than Steam’s historic 70/30 (or very recent 80/20 for games above certain benchmarks) and should thus result in higher revenues and margin for Ubisoft.
· Assuming sales are not largely impacted from the move, it would demonstrate that the balance of power is shifting in favour of the content creators.
Activision Blizzard Splits With ‘Destiny’ Studio (CNBC)
· Yesterday Activision announced that it plans to give Bungie full publishing rights and responsibilities for the Destiny franchise.
· Going forward, Bungie will own and develop the franchise. As a result, the company does not expect to recognise material revenue, operating income or operating loss from the Destiny franchise in 2019.
Comments
· With ATVI management recently stating that sales of the latest update or Destiny 2 (Forsaken) have been disappointing, I expect that there have been some disagreements with Bungie as to how to take the game forward from here.
· In essence, ATVI has decided not to throw more money at the franchise. Clearly this is disappointing as Destiny is one of Activision Publishing’s biggest franchises, even if Destiny 2 has been disappointing (high single digit million units) versus the stellar release of Destiny 1.
· It now increases the reliance even more so on Call of Duty. It will be up to management to show they have a better use of this cash going forward, either by creating a new franchise or otherwise.
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This is great news for the gaming industry. Steam commission of 30% (less for games that have big sales) is bad for the industry.
On the other hand, having just one game store is better for users, because it makes easier to organize them. However, I think the most important thing is that game developers receive a big share of the sales.
Furthermore, if Steam loses more and more marketshare, Valve may be forced to release games again.
I know they have recently launched a card game and a Portal mini-game, but I am talking about the third part of those AAA games by Valve that everyone is waiting for.
I think Bungie would be much better on their own way without pressures from Activision, and Blizzard may split up from Activison as well in case Activision keeps forcing Blizzard to reduce costs.
Hello @ropaga, thank you for this good comment.
I could not agree more on many points you raised. Steam is more convenient for the player but for game makers, it is important to have competition to cut intermediaries.
Activism on is indeed pressuring Bungie too much which led to this « breakup ». Nevertheless I also felt that Bungie did not deliver as expected.
It would be a drama if Blizzard splitter from Activision as it is their jewel.
Take care and talk to you soon I hope 😉
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I had some high hopes when I saw the 88/12 split few days ago and today I actually posted about the free game every 14 days thing which I think is huge. They are actually picking some really good critically claimed titles and it was the main selling point for me as a customer. I've also messed around with Unreal Engine 4 and my impression is that Epic Games knows how to reach the customers well. I mean the ability to program games without writing a single line of code in UE4 is just epic and I still remember the early Fortnite releases that looked like a cheap indie game. Epic played the long game better than PUBG ad the results did show up.
I think Epic Store will do well because I know how they took Fortnite to its current heights from humble beginnings. I'm also very interested in Unreal Tournament even though they halted development last month. That's a game that could become the next Counter Strike.
Happy Gaming!
Hello @vimukthi,
I did not know about the free game and I will check it out now. Thank you for pointing it out to me.
Epic Games have been « unreal » reaching to customers. What they did with Fortnite was « epic » (I stop there with the cheap play in words).
I did not try the Unreal Engine 4 but maybe I should as you claim I do not need to know how to code 😃.
Take care and Game-on !
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They are trying to focus on where the attention is right now, it is a smart move on the short term, and considering how much the gaming industry is exploding, it will turn out to be the right decision anyway.
Hi 👋 @diegosantos,
So you think the attention is not in such games but on other types ? Or that Ubisoft wants to go in the Fortnite platform to gather more attention for its game?
Thank you for your comment.
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Hey! (it´s "diogo" with an "o", not an "e") :D
I meant to say that, their decision to choose the same platform as Fortnite is to be where the current action is. But at the end of the day, it doesn't really matter because the gaming industry is exploding, and as long as the game is decent it will make great results.
Sorry mate, I feel bad now ...
Okay then I completely agree with what you are saying. In addition it creates a competitor to Steam which is good for Ubisoft !
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No problem, it's fine! (it's a legitimate mistake)
Exactly, and it is competitors that we need, to see the gaming industry growing even more.
That's bad news, I had hoped I could buy The Division 2 on Steam.... :(
Maybe it is very easy to create a Fortnite account ?
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Thank you for these news. I enjoyed reading and consider also to go long on Ubisoft.
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Thank you for this kind comment.
I think you should
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Gaming is fun
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Simple comment but accurate
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