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Marvel Rivals has passed 40 million players, as NetEase reports net revenue of $2.9 billion

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
And for $1b revenue game, profit margin will be more than 50%. SP games just don't come anywhere close on this scale of revenue. Even Nintendo looks weak.

From the same report
  • Net revenues were RMB26.7 billion (US$3.7 billion)
  • Gross profit was RMB16.3 billion (US$2.2 billion)
  • Gross profit margin for games and related value-added services for the fourth quarter of 2024 was 66.7%

So how many games have to fail, before these other companies make their own Marvel Rivals or Fornite?
 

mckmas8808

Mckmaster uses MasterCard to buy Slave drives
Everybody acknowledges that though and nobody avoids it.

People do when they say, "this is why COMPANY X is chasing GAAS games". I'm like........why does it matter if they never make a Marvel Rivals or a Fortnite, while also losing over $100 Million in the process?
 

Killjoy-NL

Member
People do when they say, "this is why COMPANY X is chasing GAAS games". I'm like........why does it matter if they never make a Marvel Rivals or a Fortnite, while also losing over $100 Million in the process?
Because you don't necessarily need a Marvel Rivals or a Fortnite.

And in case of Sony, that's why Jim Ryan said:
"It would be naive for us to assume that all 10 will be massive successes so that is not a necessary condition for us to double first party revenues. That is certainly not what we're assuming. Clearly, the distinction between a hit and not a hit is not a binary one."

It would only be a problem if a company is all-in on live service output and fails with every attempt.
 
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Because you don't necessarily need a Marvel Rivals or a Fortnite.

And in case of Sony, that's why Jim Ryan said:
"It would be naive for us to assume that all 10 will be massive successes so that is not a necessary condition for us to double first party revenues. That is certainly not what we're assuming. Clearly, the distinction between a hit and not a hit is not a binary one."

It would only be a problem if a company is all-in on live service output and fails with every attempt.


This strategy by JR is among the dumbest things imaginable. This guy made massive gambles, causing losses in the hundred of millions and lots of layoffs. Insanity.

Sony doesn't understand the reasons why some GaaS become big hits, they believe it's a question of sheer luck and gamers are monkeys who will play whatever crap they toss in their mouths.
 

Men_in_Boxes

Snake Oil Salesman
Sony doesn't understand the reasons why some GaaS become big hits, they believe it's a question of sheer luck and gamers are monkeys who will play whatever crap they toss in their mouths.
f93f490e5f29e34dc4facc024ed9687c4ac5ce80f0888a8c428bf5af1e5b4dd1_1.jpg
 


Probably a huge chunk of it between Steam and Netease chinese servers

Helps to contextualize why any “inappropriate” mentions of the CCP, Taiwan, and Hong Kong are blocked from the in-game chat.

Disney pandering to its Chinese overlords is at the core of their fiscal outlook.
 
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Killjoy-NL

Member
This strategy by JR is among the dumbest things imaginable. This guy made massive gambles, causing losses in the hundred of millions and lots of layoffs. Insanity.

Sony doesn't understand the reasons why some GaaS become big hits, they believe it's a question of sheer luck and gamers are monkeys who will play whatever crap they toss in their mouths.
helldivers-2-file-1195499ab3.jpg.webp
 

Felessan

Member
So how many games have to fail, before these other companies make their own Marvel Rivals or Fornite?
Not many, if you know what to do.
You might go look at first post again - Netease made ~two~ successful games (one is 40m and one is 15m) in ~one~ year
And it not necessary needs to be on Marvel Rivals or Fornite level, as Jim said it not white and black. HD2 is not on a level of Fortnite, still very successful. Mihoyo and many others started with smaller games, those earn high tens/low hundreds of millions per year. Still a lot of money and they gained expertise to produce much bigger projects.

This strategy by JR is among the dumbest things imaginable. This guy made massive gambles, causing losses in the hundred of millions and lots of layoffs. Insanity.
Sony doesn't understand the reasons why some GaaS become big hits, they believe it's a question of sheer luck and gamers are monkeys who will play whatever crap they toss in their mouths.
It's you who don't understand a reason
GaaS ultimately require experience and resources, after that it's a clean road with rather high chance of success. And Sony problem is experience and expertise.
 
Tbh, you're ignoring the key aspect of the gaas-model:
Continuous revenue.
and:
Continuous cost, right?


again, im not saying the game is flopping. but for all the buzz and unprecedented retention, i was expecting a number closer to 100M downloads and a revenue closer to 5B.


also the other numbers in the financial report..everything is in decline or basically flat..why?
 
By what standards? It beat out Fortnite for #1 spot on PsN in the US last month and is hugely popular on Steam. To say it’s not impressive is a smooth brain take. Most people thought this game wouldn’t be big at all judging by reactions to the first few trailers. Will it have staying power? Who knows. But right now it is one of the biggest games in the world. But ChorizoPicozo ChorizoPicozo isn’t impressed.
🤷🏼‍♂️. Still not impressed with those numbers. My smooth mushroom head was expecting around 60M downloads and its revenue to be closer to 5B
11PouHr.gif
 

Killjoy-NL

Member
and:
Continuous cost, right?


again, im not saying the game is flopping. but for all the buzz and unprecedented retention, i was expecting a number closer to 100M downloads and a revenue closer to 5B.


also the other numbers in the financial report..everything is in decline or basically flat..why?
Bit weird to say it isn't a big success because you expected 100M downloads and $5B in the first 3 months, but if that's what you expected it's hard to argue with that.🤷🏾‍♂️

Edit:

FYI Fortnite was at ~45M players in the same timeframe, first 3 months.
 
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Helldivers 2 (and Concord) actually proves Jim Ryan's point.


Arrowhead had a well-received previous game, is a very small, focused, and proven studio.

Jim Ryan's strategy was to throw shit to the wall and pray. It's the opposite. Firewalk had zero experience as a studio and no project. How is that comparable to Arrowhead?

The same applies to first-party studios employed in making GaaS. Only Naughty Dog was cooking something interesting because it was a passion project, not a trend-chasing cash grab.

Imagine how oblivious Sony is that they could have had their own Genshin with an RPG of FGO, their most profitable IP and they haven't done shit. It doesn't even cross their minds.
 

Killjoy-NL

Member
Arrowhead had a well-received previous game, is a very small, focused, and proven studio.

Jim Ryan's strategy was to throw shit to the wall and pray. It's the opposite. Firewalk had zero experience as a studio and no project. How is that comparable to Arrowhead?

The same applies to first-party studios employed in making GaaS. Only Naughty Dog was cooking something interesting because it was a passion project, not a trend-chasing cash grab.

Imagine how oblivious Sony is that they could have had their own Genshin with an RPG of FGO, their most profitable IP and they haven't done shit. It doesn't even cross their minds.
Firewalk was a deal made by Yoshida.
The entire gaas-strategy probably was, as it started with Layden and Yoshida, but that's besides the point.

The main issue Playstation is facing, is that development cycles take longer and longer.
They want people to keep playing within the PS-ecosystem in between major releases. They also want to become less reliant on 3rd party, especially since MS started buying major publishers.
For that, AA isn't enough. Even moreso since AA don't sell nearly enough to keep that strategy viable. Yoshida addressed that in that interview this week.

Playstation has to broaden their library and since there is a large shift towards live service, it's only logical that Sony adds that to their library as well.

The main goal is to get people onto Playstation consoles and keep them there.
That's likely why Jim Ryan said what he said. The real success for their current strategy is keeping players within their eco-system and getting more players onto consoles.
So a few cancellations and Concord flopping doesn't have to mean their strategy isn't successful. It's also way too soon to be evaluating their strategy, as they're in the middle of restructuring and many things are still in development.
 

Felessan

Member
Jim Ryan's strategy was to throw shit to the wall and pray. It's the opposite. Firewalk had zero experience as a studio and no project. How is that comparable to Arrowhead?
Firewalk founded by former Bungie guys with quite some experience, they are not nobodies.
Just because it's a new name change nothing - when Zampella and West made Respawn everyone knew that fps expertise extremely solid there.
And Concord problem was not expertise problem, it was design choice problem, like Titanfall had a mixed perception. And creative part is always hit or miss no matter how good you at making polished gameplay mechanics

It's quite clear that Concord at least on paper had much more experience how to run live service game as they had clear plan of content delivery and not a fucked up mess of HD2. Content delivery pace is extremely important in live service games and it's a typical baby mistake. Like recent 1st descendant heavily suffer from it, delivering 1st update in 4.5 month, 3 times the normal pace of modern AAA gacha, where content loop is ~1.5 months, and suffered players leaving en masse as a result

Imagine how oblivious Sony is that they could have had their own Genshin with an RPG of FGO, their most profitable IP and they haven't done shit. It doesn't even cross their minds.
Yeah, you know better than Sony 🤣
The problem of FGO is that it's a first gen gacha game. And first gen are so much different from later gens that you have no real advantage in bringing new game to market. All first gen success stories suffer from it - Pazudora, Monster Strike, FGO. We just got news that Gungho (Pazudora) spent 650mil trying to get next big thing and still was unsuccessful. West is the same - it took Riot 11 years to made second success and they had internal accelerator for trying ideas since ages ago
And it's not like Aniplex not trying, they consistently release new gacha games. They just keep failing.
 
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