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New Nikkei articles shares some information about the situation at Konami

Coldsun

Banned
people saying 80mil is ridiculous, remember that Activision spent at least 500mil on Destiny.

No, they really didn't spend 500mil on Destiny. Kotick may have said that but he runs his mouth quite often, but Bungee themselves said it was nowhere near that cost.
 

entremet

Member
80 million seems fine.

The issue is would more MGS games be made using that engine if Kojima was still employed?

You would need to to recoup costs
 
Bets on the final cost?

I'm rolling 100 million, 10 percent of it marketing.
I don't think Konami is going to put much effort into marketing. Just want it done and out the door.
 

Dawg

Member
I think it's fine to think that 80 million is a fair development cost for an AAA game which could sell say, 5 to 10 million copies. What I do not think is a good look though, is if you feel that 80 million is a fair development cost given that it includes the development of a brand new engine. That is a factor which I think people seriously overestimate the value of.

If you have a huge pipeline of future games developed internally, and it makes more sense to develop an engine and toolset the entire company can use with full support internally, that might be worth it. An example would be EA using Frostbite. But if you're a company which is looking to reduce output on dedicated consoles, and only have a grand total of two big franchises which could benefit from such an engine left... where's the value? What would be the savings against just licensing a good engine like UE4 and going forward with that for the 1-2 games you're putting out every year? The investment in an engine makes no sense if that is the state of the company. Furthermore, by being willing to essentially let the developers of said engine depart from the company, it is a statement that the company sees no value in retaining a strong support crew for the engine and tools. This further reduces the value of investment in said engine.

If you ask me, I'll say that the outlook is that Konami is writing the Fox Engine off as a loss.

In the end, I think Kojima got the better deal out of two. The way Konami treats its employees seems to be awful, but if you assume the rumors are true and (example) Kojima would spend money on songs he'd never use... he basically had a blank slate and used all the money he could. For the consumer, this is great. We will get a game like the director intended for. But I don't think this is a viable development process for most companies. But again, Kojima has to leave Konami now. That news used to shock me, but the more I think about it, the more I realize that is actually pretty good for him.

Meanwhile, Konami has to pick up the pieces and hope MGSV will make a profit. I think it will, even despite this budget... but they probably wanted more. In a way, I don't feel too sorry for them because they did a lot of fuckups in recent months... but I think it's obvious Kojima will get out of this a ton better than Konami ever will.
 
Forcing employees to clean up health clubs because they're "useless" has to be the fucking nadir of video game management. It's ridiculous that the "IGA is a janitor" GAF meme might contain a kernal of truth.
 
I think it's fine to think that 80 million is a fair development cost for an AAA game which could sell say, 5 to 10 million copies. What I do not think is a good look though, is if you feel that 80 million is a fair development cost given that it includes the development of a brand new engine. That is a factor which I think people seriously overestimate the value of.

If you have a huge pipeline of future games developed internally, and it makes more sense to develop an engine and toolset the entire company can use with full support internally, that might be worth it. An example would be EA using Frostbite. But if you're a company which is looking to reduce output on dedicated consoles, and only have a grand total of two big franchises which could benefit from such an engine left... where's the value? What would be the savings against just licensing a good engine like UE4 and going forward with that for the 1-2 games you're putting out every year? The investment in an engine makes no sense if that is the state of the company. Furthermore, by being willing to essentially let the developers of said engine depart from the company, it is a statement that the company sees no value in retaining a strong support crew for the engine and tools. This further reduces the value of investment in said engine.

If you ask me, I'll say that the outlook is that Konami is writing the Fox Engine off as a loss.

That's the impression that I'm getting as well.

I'd really love to know the politics behind the Fox Engine. Was this originally planned to be an engine used by the entire company, but the company changed focus before it was finished and no longer has use for it, or was it something Kojima pushed hard for, even though the company knew they wouldn't be getting much use out of it?
 

KingBroly

Banned
Getting GZ out would have its own overheads, so would it make that much of a dent in the development costs of all the KJP stuff (Fox, Rising, TPP, PT etc.)? To Konami, KJP must look like money pit on paper.

Isn't GZ a thing to somewhat mitigate the costs of TPP as is? It seems really questionable to me that a delay would cause him going out the door.
 

Pepsiman

@iiotenki on Twitter!
Hi again!

Popping in one more time to say that I've compiled all my tweets together on this page here so that you don't have to go sifting through my timeline as time goes on. It's a Japanese page because I blanked on putting it up on Storify, but obviously all my compiled tweets are still English.

Hope this helps so you don't have to go backwards through everything!
 
MGS4 didn't cost that rumored figure



http://kotaku.com/5479974/kojima-productions-on-mgs4-budget-claims

That Wiki page is sketchy as actual budgets are rarely revealed publicly.
That's a good comparison point, when the producer of MGS4 states that it cost less than 5 billion Yen.

That means MGSV cost at least double what MGS4 did.

It's obviously not impossible to recoup but yeah, I can see how things could have gone sour, opportunity cost and all that.

Edit: given how the Yen-USD exchange rate has evolved, I don't think it's a very good idea to compare dollar conversion as that really skews the picture when discussing the costs of a company that mostly operates in Yen.
 

Golnei

Member
Forcing employees to clean up health clubs because they're "useless" has to be the fucking nadir of video game management. It's ridiculous that the "IGA is a janitor" GAF meme might contain a kernal of truth.

I was thinking the same thing - as far as complete disregard for their employees goes; they've become their own caricature.
 

CSX

Member
Listed on a quoted twitter. Am now famous :p

The bullshit handling of their IPs is not surprising. We all knew this was coming. But the huge shocker is the treatment of employees. Holy fuck what a toxic place to be if all those things are true.
 

hateradio

The Most Dangerous Yes Man
80 million seems fine.

The issue is would more MGS games be made using that engine if Kojima was still employed?

You would need to to recoup costs
If they continue with console games, they would probably use as many recycled assets as they possibly can.
 

BrianF

Neo Member
If this is true it just really emphasizes what a class act Iga is, he avoided from disparaging Konami despite them shafting him the past few years and having to put up with this work culture. Definitely for the best that all their talent is jumping ship.
 

Seyavesh

Member
Hi again!

Popping in one more time to say that I've compiled all my tweets together on this page here so that you don't have to go sifting through my timeline as time goes on. It's a Japanese page because I blanked on putting it up on Storify, but obviously all my compiled tweets are still English.

Hope this helps so you don't have to go backwards through everything!
thanks for doin' this, turns out i missed out on stuff in the timeline.. geez, it's even more ridiculous w/ the stuff i missed such as the second part to "Employees deemed useless have been known to do assemblyline work, security guard detail, cleanup at fitness clubs."
that is,
"These aren't nobodies being told to do this work either. Producers and other prominent creators have had this hoisted on them."
 

Walpurgis

Banned
80 million- they would need to sell something like 3 million copies at full price just to break even.

Jesus, what the fuck were they thinking?!?
They'll sell twice that at least + they have Ground Zeroes monies + Fox Engine development is probably included in that. MGS4 was expensive as well. All things considered, $80 million doesn't sound so bad (relatively speaking).
Patient+bear_70d1de_3973404.jpg
 

Tempy

don't ask me for codes
They don't really fire people in Japan do they? Wondering if the bad treatment is to get people to leave on their own accord.

Dropping AAA development means having to drastically cut down on employee count.
 

XBP

Member
80 million isn't that much considering the game will easily sell 5 million+ copies across 5 platforms. Plus I'm fairly sure ground zeros would've recouped some chunk of that for Konami.
 

Coen

Member
Any indication for how long this has been going on? Those working conditions to me indicate a company trying their hardest to get employees to leave instead of management having to fire them.
 

Opto

Banned
I mean, you say Konami approves the budget, but if you've sunk money into a new engine and game, and it needs more money, you're not going to sink that project. There's obviously going to be a hard limit in terms of budget versus sales prediction, but no one's happy when someone goes "this expensive thing needs more money or you won't make your money back"
 
'Being delegated to security/cleanup.' Someone who works for a third party in Japan who I stay in touch with last year said "One guy who made all the classic music" at Konami was transferred to security. He says fortunately this guy "embraced" his role and ended up being head of security in that department and was able to make the best if it. But that is the exception because my source confirmed what the Nikkei article said in that, when you get moved to a non game related area that obviously means mgmt wants you out as it's hard to fire people due to HR quirks in Japan.

I privately asked him if he could identify exactly which composer it was, He couldn't confirm exactly who exactly it was but he knew it was true because it was info from a AAA director he works directly with who still has connections within KCEJ. He said this occurred during the "DraColle gold rush" (poker game) and since then "literally all of their old school devs are relegated to that division."

The reason this came up in conversation was because it was around the time Iga left last year and everyone was talking about how it was becoming apparent that Konami doesn't value their talent anymore.

Just think, a lot of the guys who worked on stuff like Gradius, Contra and Castlevania are now being forced to sit behind security desks and check the locks on the doors.
 

Seyavesh

Member
'Being delegated to security/cleanup.' Someone who works for a third party in Japan who I stay in touch with last year said "One guy who made all the classic music" at Konami was transferred to security. He says fortunately this guy "embraced" his role and ended being head of security in that department and was able to make the best if it. But that is the exception because my source confirmed what the Nikkei article said in that, when you get moved to a non game related area that obviously means mgmt wants you out as it's hard to fire people due to HR quirks in Japan.

I privately asked him if he could identify exactly which composer it was, He couldn't confirm exactly who exactly it was but he knew it was true because it was info from a AAA director he works directly with who still has connections within KCEJ. He said this occurred during the "DraColle gold rush" (poker game) and since then "literally all of their old school devs are relegated to that division."

The reason this came up in conversation was because it was around the time Iga left last year and everyone was talking about how it was becoming apparent that Konami doesn't value their talent anymore.

Just think, a lot of the guys who worked on stuff like Gradius, Contra and Castlevania are now being forced to sit behind security desks and check the locks on the doors.

since you seem to be connected, i gotta ask if japanese work culture in general has this kinda structure to it? it feels like i've read a lot on how toxic it is to where konami's practices almost seem 'standard' but i'm curious how much of a deviation they really are from the norm in regards to that kinda shit
 

Coen

Member
'Being delegated to security/cleanup.' Someone who works for a third party in Japan who I stay in touch with last year said "One guy who made all the classic music" at Konami was transferred to security. He says fortunately this guy "embraced" his role and ended being head of security in that department and was able to make the best if it.

Is it really that hard to get a decent job in game development, with a resume like that none the less, in Japan, that someone would actually consider security an opportunity instead of punishment?

I remember reading an article on the rather normal working conditions at Good Feel, but they made it sound like a gift from God. That article makes a lot more sense now, having read all this.
 
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