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Turbine Cuts Out Publishers With Funding Boost

Posted by simoniker on from the say-vee-cee dept.

Thanks to an anonymous reader for pointing to an official press release announcing MMORPG developer Turbine has secured almost $20 million in venture capital funding to help fund Turbine's first self-published PC MMO project, Dungeons & Dragons Online. A GameSpot story quotes a Turbine spokesman as saying the move presents a "total shift in [our] business model. We're taking out the middle man between us and our fans." The Asheron's Call developers are still "partnered with Atari for retail marketing and distribution" on D&D Online, the company it "secured the D&D MMORPG sublicense" from earlier this year, but describes its intent to "[transition] from a developer into service publisher with its newest franchises." Turbine are also still working on The Lord Of The Rings: Middle-Earth Online in partnership with Vivendi.

9 of 32 comments (clear)

  1. Good but... by MMaestro · · Score: 2, Insightful
    "total shift in [our] business model. We're taking out the middle man between us and our fans."

    Yeah, but that doesn't mean that the game will still suck.

    Turbine is working on a MMO-LOTR game and now a D&D-MMO game at the same time? Isn't that reaching a little too far?

    1. Re:Good but... by L7_ · · Score: 2, Interesting

      You underestimate the influence of Ken Karl and the rest of the Microsoft employees that were involved in the publishing of Asheron's Call 1 and 2.

      Ken Karl is known for taking the development updates and content additions in the direction that Microsoft wanted to take. If you look at Asheron's Call 2, you will find that alot (IIRC) of the design choices were not done by Turbine, but rather heavily influenced by Microsoft. Also, when Ken was appointed head of AC1 over at MS, things started to take a different turn in regards to game balance mainly in the realm of awards.

      I haven't played either AC in over a year, so things may have changed a bit, but never, ever bash Turbine in regards to thier ability to put out a quality game product. Instead Bash thier publisher (which in all cases so far has been MS).

  2. The economy is recovering... by Ieshan · · Score: 2, Funny

    Well, the economy is recovering, so we ought to see a dramatic rise in pre-bust business models appearing.

    Current:
    Publisher says: We'll publish your game and give you money to produce it if you can demonstrate that it will sell. After we sell it, we'll give you your profits.

    Then:
    People say: Here's 20 million dollars! Go waste it on nerf guns and quake-lan parties. Oh, and if you get around to making a game, maybe spend some on that, too?

  3. Cause cutting out quality control is a good thing? by Mike+Hawk · · Score: 2, Funny

    Lets see, financial stability approaches zero. Quality control approaches zero. Customer support approaches zero. What was the last major PC game project to come out without a publisher? Oh yeah. Steam. Roger that.

  4. Good for Turbine by LordZardoz · · Score: 3, Insightful

    Game developers are typically at the mercy of their publishers when it comes to taking in money. As an example, its not like DICE is seeing the bulk of the profits generated from Battlefield 1942. EA is gettting the bulk of the profits on it.

    If Turbine can put out a decent MMPORG (which is likely), they will be getting all of the profits generated by the subscribers. And once they pay back the venture capitol, they will quite likely still be pulling in money from the MMPORG, and own the rights to the sequel them selves.

    The only downside to this is if they totally screw this up.

    As a game developer myself, I hope this succeeds for them in a big way. Anything that puts the developers in a stronger position at the expense of the publishers is probably a good thing.

    END COMMUNICATION

    1. Re:Good for Turbine by whorfin · · Score: 2, Informative

      If Turbine can put out a decent MMPORG (which is likely), they will be getting all of the profits generated by the subscribers. And once they pay back the venture capitol, they will quite likely still be pulling in money from the MMPORG, and own the rights to the sequel them selves.

      Actually, you're describing a loan. Venture Capital buys a stake in a private company, and they intend to get their money back by selling that stake later, likely after the company IPOs. Venture Capital firms typically only give money in exchange for some level of control in the company affairs, as well, so if Turbine fails, the head of the company will likely be gone, with the VCs taking control and installing 'their' management.

      So yes, Turbine may own the rights to the sequels (not in this case, though, their products are licenses, the license owners almost certainly retained the rights), but now the VCs own the rights to the company. And just to make you feel worse, VCs make Lawyers look soft and cuddly.

      --
      Laugh while you can, monkey-boy!
  5. fans by Andy+Smith · · Score: 2, Insightful
    A GameSpot story quotes a Turbine spokesman as saying the move presents a "total shift in [our] business model. We're taking out the middle man between us and our fans."
    Yikes, that's quite an ego we're dealing with here!

    I think Mr Turbine Spokesman will find that gamers are generally fans of a *game*, not the developer. Sure there are a few exceptions, Id for example, but it's kinda creepy to hear someone at a development company talking about the company itself having "fans". Surely he means customers? But then maybe that would be a bit too respectful.
    1. Re:fans by Kirby · · Score: 2, Insightful

      I think this is a difference between MMORPGs and other kinds of games.

      For most games, you buy it, play it, expect a few patches, and that's the extent of your interaction with the developers for most people.

      For MMORPGs, the relationship is vastly different. There's a continuous active dialogue between the developers and the players. Changes are expected - in the Asheron's Call case, in the form of a monthly patch, some of which have a level of content that would be expected of an expansion pack. (And certainly, the collective patches over a six month time do.) Game balance is changed, often dramatically. This feedback cycle is at the core of the current MMORPG culture, and is a striking difference from classic gamer/developer interaction.

      Just about every MMORPG player I've ever talked to has strong opinions about Turbine, Verant, Funcom, whatever developer company they've played the games from. Usually not very positive opinions, too.

      Even gaming companies that I've strongly enjoyed their products (Blizzard, Black Isle, Interplay, what have you) I have a different kind of relationship with. Sure, I'll pay attention to what they release, and probably am more likely to buy. But I don't know the names of the developers at these companies. I haven't read many chats with them. Yes, there are people who do, but they're the exception, the 1% of the player base. In MMORPGs, that number is closer to 40%, and most of the serious players.

      (Okay, I made up those numbers. But I'm pretty confident that it's small number vs. big number.)

      Mind you, I'm not sure at all that the relationship between MMORPG companies and their fans is a healthy one - in fact, I'm pretty sure it isn't - but it exists and is a different animal than we've seen a lot of before.

      --
      -- Kate
  6. Can't wait for D&D Online by stilleon · · Score: 3, Interesting

    I can't wait for D&D Online. Long overdue. I love playing computer ROGs based on the d20 system (such as Star Wars:KOTOR and Neverwinter Nights). This should be a good one. One question I have that hasn't been answered: what world is it in. I hope it's Greyhawk or Forgotten Realms. If its some generic new world they made up I will be dissapointed.