my friend works at 38. when they moved to rhode island they went on an insane hiring spree. thy've got like 400 employees or something insane like that
pretty easy to burn through cash when you've gotta pay 400 people
How can a new studio with nothing to show get a $75 million loan from the state? It annoys me on some level that Curt can use his fame to grease the wheels and get such financing (and probably use it to get out of what ever penalties are coming their way). I'm sure there were a number of garage developers that would love a small loan to start a studio, but can't get it since RI blew all that money on 38
Amalur is on my list to buy, but didn't want to spend $60 on it. I just check and its still $60, at least at my local gamestop. I do want to play it at some point though
my friend works at 38. when they moved to rhode island they went on an insane hiring spree. thy've got like 400 employees or something insane like that
pretty easy to burn through cash when you've gotta pay 400 people
Pre or post Reckoning being released?
But if you read, they had to go on that insane hiring spree. The agreement they made specified that they'd be fined by the state for every employee below 375 that they were at.
I think Rhode Island is desperate to steal some of the tech companies in the area away from Massachusetts/Boston area.
Pre or post Reckoning being released?
That was before, this is for the MMO... not for KoA. Different teams/projects.
yeah, im not necessarily saying staffing up was bad(they had to), but it doesn't change the fact that people are expensive haha. it's easy to see how they could spend money very quickly
edit: they moved to providence in jan 2011
edit #2: like everyone said, 38 studios is the team working on the MMO. they own big huge studios, the guys in mass who made amalur
If they wanted game devs so bad they could've done a whole lot better with 75 mil :/I think Rhode Island is desperate to steal some of the tech companies in the area away from Massachusetts/Boston area.
Big Huge is in Maryland.
410,000 copies according to the article
Something has to change when selling half a million copies of a game doesn't seem to be enough.
Rhode Island's Economic Development Corporation will take no immediate action to aid the developer, following a closed-door meeting attended by Governor Lincoln Chafee and Schilling, who asked for additional help to save the company. Schilling refused to answer press inquiries and officials wouldn't declare how much money the studio is seeking.
Something has to change when selling half a million copies of a game doesn't seem to be enough.
They have to kill the MMO at this point and fast-track a Reckoning 2 at this point, don't they?
Or will they try to fast-track the MMO and commit suicide?
In July 2010, the same month the EDC approved the loan guarantee, 38 Studios established a revolving line of credit with Schilling so it could borrow up to $4 million from him, according to the disclosure filing obtained by WPRI.com. Part of the taxpayer-guaranteed loan money was used to pay Schilling back.
R.A. Salvatore, a fantasy writer who helped develop the games, is slated to receive $1.46 million from 38 Studios in October under the terms of a consulting agreement he signed with the company in 2007. He is also eligible to earn up to $5 million in royalties from sales of “Reckoning” and other 38 Studios products.
The General Assembly increased the size of the Job Creation Guaranty Program from $50 million to $125 million in early 2010 after Schilling approached the state. A WPRI 12 poll later that year showed 54% of Rhode Island voters opposed the $75 million loan guarantee to 38 Studios, with just 28% in favor of the deal.
If 38 Studios does shutter, beyond Rhode Island taxpayers having to pay off the $75 million bond (plus interest) through 2020, it appears the state will also own the intellectual property of the developer as a parting gift. Reviewing updated documentation released by the Rhode Island Economic Development Corporation (RIEDC) today, it appears 38 Studios put up all present and future IP by the company as collateral.
...
Methenitis continued, "So, the RIEDC could then sell the rights in all of the Kingdoms of Amalur to another developer to offset the millions owed by 38 Studios, and this sale would typically be an auction-style sale to the highest bidder. As a secondary issue, if the sale of all those assets repossessed ends up being more than is owed, the RIEDC will theoretically owe those funds back to 38 Studios."
I always knew he was hardcore Republican, but I just read he was Tea Party, or at least close to that... and yet he used tax payers money to... make a video game?
People confuse me.
Nothing to be confused about. People can rationalize anything.I always knew he was hardcore Republican, but I just read he was Tea Party, or at least close to that... and yet he used tax payers money to... make a video game?
People confuse me.
I'd love to know how they managed to become insolvent before the game was even anywhere near completion. They haven't shown off anything about the game at all. Even Hellgate London managed to actually, you know, get released.
The game had no soul. Fun combat, but no soul. Not sure why people want to defend it on this board.
I always knew he was hardcore Republican, but I just read he was Tea Party, or at least close to that... and yet he used tax payers money to... make a video game?
People confuse me.
The Giantbomb article had a video from the local paper of Curt getting it pretty good from the reporters: http://youtu.be/BZ_6PkeO_g8
really hope 38 survives this I loved Reckoning and it's DLC and hope for more great games from them
Smells more like mismanagement on a big ass project.
Also we dont know how much talent the 38 studios had, did they release anything? I mean if KOA was dont by BHG...