Apparently not enough.
1. CoH wasn't making enough profit to offset the losses from their other games which is where they make most of their money.
2. There's the rumor that Cryptic/PW refused to renew the license on the game engine or set the renewal price more expensive than what it was worth to pay.
The games shutting down on the 5 year anniversary of NCSoft acquiring the license to use Cryptic's game engine.
3. By shutting down CoH and laying off 80 odd PS employees NCSoft hopes to juggle their numbers to make the losses from their big games less worrisome.
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But that doesn't make a lick of sense, not even a tiny shred. When you can't pay your bills, you don't quit your second job. CoH was a compartmentalized money-making machine. It wasn't costing them any money or resources to keep it going, and it was in fact padding their revenue stream. However high or low that profit margin was, it was still profit, and now that profit is gone.| 1. CoH wasn't making enough profit to offset the losses from their other games which is where they make most of their money. |
Something else is the culprit.
Doom.
Yep.
This is really doom.
That's what hurts the most about this. The game itself was doing fine. Paragon Studios was doing a great job, had ideas lined up and in the works to keep development going.
But it's dropped like a rock in the name of cutting costs.
Something else may well be the culprit like Angry_Citizen said. I know I've certainly seen underhanded actions taken by NCSoft before, and it's too tempting to think I'm smelling a rat.
But even if it just does turn out to be nothing more than an attempt by NCSoft to cut costs and divert more resources in supporting their currently favored titles, it still pisses me off.
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They have operating costs, they just don't say how much that is but CoX's revenue was still in decline and even F2P for a year didn't reverse that. And corporate likes to look at revenue/financial trajectories.|
Originally Posted by Angry_Citizen
It wasn't costing them any money or resources to keep it going, and it was in fact padding their revenue stream.
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Tabula Rasa didn't make money from the start but NCSoft kept it going for a year till they shut it down 3 months after they announced it (from the shutdown notice)
Not sure about that 5 year license rumor though... never seen any mention of a time frame for the licensing deal but possible i suppose.
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Sadly, accounting often does not make sense. The mathematical anomalies surrounding Hollywood in particular have doubtlessly warped the very fabric of space and time, which would at least explain why they keep making the same movies over and over.| But that doesn't make a lick of sense, not even a tiny shred. |
It's entirely possible that some numerical sleight-of-hand allowed NCSoft to do better on paper by killing PS, even if it was profitable.
Current Blog Post: "Why I am an Atheist..."
"And I say now these kittens, they do not get trained/As we did in the days when Victoria reigned!" -- T. S. Eliot, "Gus, the Theatre Cat"
I'm honestly tearing up over this. I love CoH and its been part of my life for the better part of a decade. Please don't go...
Virtue: @Santorican
Dark/Shield Build Thread
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Yes, but look at the money they no longer have to spend on Paragon or either of Paragon's projects. Money that no longer has to be budgeted and can be re-allocated elsewhere, like say bailing out their flailing non-Lineage Asian grindfests.|
Originally Posted by Angry_Citizen
But that doesn't make a lick of sense, not even a tiny shred. When you can't pay your bills, you don't quit your second job. CoH was a compartmentalized money-making machine. It wasn't costing them any money or resources to keep it going, and it was in fact padding their revenue stream. However high or low that profit margin was, it was still profit, and now that profit is gone.
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I'm just hoping Carbine isn't next. And that Arenanet has an escape plan.
Blood Widow Ricki * Tide Shifter * T-34 * Opposite Reaction * Shaolin Midnight * ChernobylCheerleader
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Paragon Studios has fallen victim to the same fate as Destination Games, NetDevil, and E & G Studios. All bets are off.
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Originally Posted by SpyralPegacyon
I'm just hoping Carbine isn't next. And that Arenanet has an escape plan.
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It doesn't have to make sense when you are playing with the books. They'll right this off for the maximum amount possible as well as claim to save however many millions they now aren't going to be spending on that other project Paragon Studios was supposed to be working on developing.
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Originally Posted by Angry_Citizen
But that doesn't make a lick of sense, not even a tiny shred. When you can't pay your bills, you don't quit your second job. CoH was a compartmentalized money-making machine. It wasn't costing them any money or resources to keep it going, and it was in fact padding their revenue stream. However high or low that profit margin was, it was still profit, and now that profit is gone.
Something else is the culprit. |
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Wat.
I don't get it. CoH is profitable, right? The online store is making lots of money, paying for all the new art, writing, and powersets. No issue 24?!
Paragon Studios has tons of talented developers and artists.
I mean, you guys JUST got power pool customization ready. We haven't even finished the incarnate power tree yet. We haven't even SEEN the Batallion.
Please, please explain what's going on, because I don't get it.
I'm hurt, shocked, and angry. And it's not even my job that's been cut. What the hell, NCSoft? What the hell?