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Flagship Studios' Founder Discusses Its Demise

1Up is running a lengthy interview with Bill Roper, founder of Flagship Studios. The game company, known primarily for its Hellgate: London and Mythos titles, announced massive layoffs last month, and is now simply winding down and taking care of a few final issues. Roper gives quite a bit of detail regarding the financial machinations of a game developer and the current status of the games' code. Co-founders Max Schaefer and Travis Baldree gave a related interview recently as well. "The subscription money we did get, we all poured directly into keeping the game online, keeping it up and running. But the development demands far outstripped the revenues. There just wasn't a good contemplation early on of how that would work. It wasn't like: This is the budget that comes in every month; we'll do whatever we can do with that. We just said [that] development will get done out of the revenues, and whoever pays for development, they get paid back out of the revenues. And there wasn't really enough revenues coming in to cover the expected and required development."

5 of 117 comments (clear)

  1. Re:And this is why... by lgw · · Score: 5, Insightful

    This is exactly right. Bill Roper and company knew how to write a game - Diablo is evidence enough of that - but in a story that seems to endlessly repeat, a bunch of engineers who knew little about the business side decided to go into business for themselves, and failed horribly through no lack of engineering skill. You *have* to understand the money side to make the business work.

    And Flagship made every stupid newb mistake they could. They gave away too much contol, and were forced to ship early by other corporations. They tried to do too many things at once, because there was no business manager to put his foot down and force them to focus on the core game, and made sure that resources got allocated to content, not just technology. They didn't have an "after we launch" plan to ensure things would be profitable either, which ensured their demise.

    It's a damn shame, too - it was a decent enough game idea, that might have turned out well if they had spent enough time on it, and focused more on world design and content than technological infrastructure.

    --
    Socialism: a lie told by totalitarians and believed by fools.
  2. Re:Even if you don't like Hellgate, it's a shame by kungfugleek · · Score: 5, Interesting
    Except that developers need to get paid in order to develop. Without a release, there's no revenue (other than start-up capital) to pay developers.

    It's a difficult situation. And if you're trying to start a new development house, it must be very difficult to accurately estimate how much money you'll need to get you all the way to a finished product. I wonder if they just ran out of money and had to publish something in order to keep going at all...

  3. Re:Missing the obvious by MooseMuffin · · Score: 5, Insightful

    It wasn't even all that well polished. I think the real problem was, and this is mentioned in the interview, is that Blizzard had several superhits under its belt and that creates a very different environment. Blizzard could basically take as long as they needed on their games, because their track record gave investors confidence that it would pay off for them. Flagship had no such luxury and they had to release the game far sooner than they would have liked because there was no more money for more time.

  4. Re:release a crappy product by not+already+in+use · · Score: 5, Funny

    You're xbox gamr thing is just a sterotype, idio.t

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    Similes are like metaphors
  5. Comment removed by account_deleted · · Score: 5, Interesting

    Comment removed based on user account deletion