[Before I get into the specifics of what I’m talking about, I’d like to preface all this by saying that I am not a business analyst, nor an economist. I don’t know the realities of how feasible this is, as I have not run any numbers to check that feasibility. More than anything, I am putting this out there as an idea, in the hopes that someone with the requisite expertise can actually run the numbers and (hopefully) put them into practice. — Nabil]
As I’m sure most of you are already aware, games are generally no longer made in someone’s basement on a shoestring budget. They are developed by teams ranging in size but rarely under a dozen at this point, and for budgets that are quickly rivalling the most expensive Hollywood blockbusters. While the size and scope of game development is now on par with that of movie development, we haven’t bothered to adopt many of the business models that are used within this sister entertainment industry, and not because they couldn’t be successful, but simply because those holding the purse strings are leery of trying something new on a $20 million game. This is only going to become worse as budgets continue to escalate into the $100 million and even $200 million game. Put simply, the financiers of the industry are becoming more risk-averse, and are going to become more conservative as time continues. If we’re going to find alternative models for game development, it needs to be done now if at all. Personally, one avenue I’d like to see pursued is a royalties-based licensing model.
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