|
Canada8988 Posts
On June 04 2019 05:43 Shuffleblade wrote:Show nested quote +On June 04 2019 05:24 DomeGetta wrote:On June 04 2019 05:11 Shuffleblade wrote:On June 04 2019 04:44 DomeGetta wrote:On June 04 2019 01:10 Nakajin wrote:On June 04 2019 00:54 DomeGetta wrote: Viewership is literally doubling last year - Blizzard is a business - they are going to continue to act like a business - as long as the community stays strong we are going to be fine boys. Yes and no, more viewership doesn't necessarily mean a considerably bigger amount of money coming in, and for sure doesn't make running WCS-GSL by themselves a profitable activity, also viewership metric are questionable, I'm gonna try to find the article I read it in, but basically number are generally inflated across the board in esport. Dosen't mean running a SC2 scene is necessarily a bad idea business wise, but it's certainly something that can go away if you put people in charge with different idea on the role of esport in the company. Edit: there it is https://kotaku.com/as-esports-grows-experts-fear-its-a-bubble-ready-to-po-1834982843 Yeah I hear what you're saying but when you can still launch a skin pack and generate near a million dollars I don't see any business deciding to drop that part of their market - someone will be supplying RTS to the RTS market - as of now it's blizzard and hopefully remains that way. Also - that article really doesn't do much other than hand wave - obviously the claims about esports becoming the NFL were ridiculous to begin with - but that doesn't mean we should expect a market to collapse that's been alive 25+ years (thanks to Kr and BW). Numbers most likely are inflated - but theres no reason to believe there was some revolutionary technology developed this year that made them go up - they are still up relative to last year - which points to growing vs. dying etc. Well the problem is that the more common knowledge it become the more sponsors get to realize that the views doesnt mean what they were told they meant. The reason the numbers are inflated is because the orgs are courting sponsors, and we all know what happens when there are no more sponsors. Sure esport wont go away but it can shrink, seeing as how massively big some esports have gotten it can shrink quite significantly. As to your arguement about skin packs, sure ofc no company would drop that part, unless it also meant increased costs for support, development, tournament costs and so on. It is possible that the actual gains from sc2 isnt near what you think. Yeah I'm gonna take a crazy guess and say they wouldn't be on the 6th or so skin pack by now if they were losing money on it lol - strong community brings sponsorship - sponsorship helps keep the scene alive - I'm just pointing out that there is a huge difference between "not becoming the NFL" and everyone starting a twitch picnic chant that esports is dying because somebody at blizz is gone or an article showed that viewership numbers are suspect - SC was alive before all of that - and will be alive after! Oh my god  You really dont understand. I'm not saying they arent making money "on the skin pack", I'm saying they aren't making money on sc2. If they have decided to support GSL, WCS and have blizzcon + all the price money, +continuous support of sc2. Patch wise and support wise. Either they can go minus minus minus in their budget (only minus) or they could make s skin pack and maybe lose less money on sc2. It is worth it for Riot for example,, "league of legends", because the amount of money they make on cosmetic in-game items are insane compared to sc2. If they believe the league increases sales they can do it, because running those leagues might lose them money but league of legends as a whole business makes money. SC2 has almost no income but tons of costs, of course sc2 doesn't make money for the company anymore. I would be surprised if they ever broke even (besides when actually selling the games). If you acutally think SC2 is still making Blizz money we are simply at an impasse, we wont get any farther in these discussions.
Well I don't think anyone here actually know if Blizz is making money on SC2 or not to be honest. Esport "alone" (without the publicity for the warchest or any other blizz focus publicity) isn't that we know, or at least it's what we heard from people working in the scene.
|
On June 04 2019 05:43 Shuffleblade wrote:Show nested quote +On June 04 2019 05:24 DomeGetta wrote:On June 04 2019 05:11 Shuffleblade wrote:On June 04 2019 04:44 DomeGetta wrote:On June 04 2019 01:10 Nakajin wrote:On June 04 2019 00:54 DomeGetta wrote: Viewership is literally doubling last year - Blizzard is a business - they are going to continue to act like a business - as long as the community stays strong we are going to be fine boys. Yes and no, more viewership doesn't necessarily mean a considerably bigger amount of money coming in, and for sure doesn't make running WCS-GSL by themselves a profitable activity, also viewership metric are questionable, I'm gonna try to find the article I read it in, but basically number are generally inflated across the board in esport. Dosen't mean running a SC2 scene is necessarily a bad idea business wise, but it's certainly something that can go away if you put people in charge with different idea on the role of esport in the company. Edit: there it is https://kotaku.com/as-esports-grows-experts-fear-its-a-bubble-ready-to-po-1834982843 Yeah I hear what you're saying but when you can still launch a skin pack and generate near a million dollars I don't see any business deciding to drop that part of their market - someone will be supplying RTS to the RTS market - as of now it's blizzard and hopefully remains that way. Also - that article really doesn't do much other than hand wave - obviously the claims about esports becoming the NFL were ridiculous to begin with - but that doesn't mean we should expect a market to collapse that's been alive 25+ years (thanks to Kr and BW). Numbers most likely are inflated - but theres no reason to believe there was some revolutionary technology developed this year that made them go up - they are still up relative to last year - which points to growing vs. dying etc. Well the problem is that the more common knowledge it become the more sponsors get to realize that the views doesnt mean what they were told they meant. The reason the numbers are inflated is because the orgs are courting sponsors, and we all know what happens when there are no more sponsors. Sure esport wont go away but it can shrink, seeing as how massively big some esports have gotten it can shrink quite significantly. As to your arguement about skin packs, sure ofc no company would drop that part, unless it also meant increased costs for support, development, tournament costs and so on. It is possible that the actual gains from sc2 isnt near what you think. Yeah I'm gonna take a crazy guess and say they wouldn't be on the 6th or so skin pack by now if they were losing money on it lol - strong community brings sponsorship - sponsorship helps keep the scene alive - I'm just pointing out that there is a huge difference between "not becoming the NFL" and everyone starting a twitch picnic chant that esports is dying because somebody at blizz is gone or an article showed that viewership numbers are suspect - SC was alive before all of that - and will be alive after! Oh my god  You really dont understand. I'm not saying they arent making money "on the skin pack", I'm saying they aren't making money on sc2. If they have decided to support GSL, WCS and have blizzcon + all the price money, +continuous support of sc2. Patch wise and support wise. Either they can go minus minus minus in their budget (only minus) or they could make s skin pack and maybe lose less money on sc2. It is worth it for Riot for example,, "league of legends", because the amount of money they make on cosmetic in-game items are insane compared to sc2. If they believe the league increases sales they can do it, because running those leagues might lose them money but league of legends as a whole business makes money. SC2 has almost no income but tons of costs, of course sc2 doesn't make money for the company anymore. I would be surprised if they ever broke even (besides when actually selling the games). If you acutally think SC2 is still making Blizz money we are simply at an impasse, we wont get any farther in these discussions.
So your more realistic perspective is that Blizzard has been carrying on a charity for 25 years?? Im not saying they are rolling in it but they must see some benefit from supporting it other than philanthropy? What Im saying is I dont see anything that points toward dead game.. if what you are saying is true tho..(which seems absurdly far fetched for my imagination but that doesnt make it impossible) then I guess I could see some danger.
|
I have no problem believing that Blizzard makes money on SC2, even tangentially, or as part of a general plan. Activision would had stopped promoting SC2 along time ago otherwise.
|
On June 04 2019 05:56 Nakajin wrote: Well I don't think anyone here actually know if Blizz is making money on SC2 or not to be honest. Esport "alone" (without the publicity for the warchest or any other blizz focus publicity) isn't that we know, or at least it's what we heard from people working in the scene.
Well just answer me this, what are the complex income-expense graph looking like? Because as I very roughly stated, and which the article on kotaku you linked earlier also discuss is that esport right now is simply an "investment" it loses money.
To discuss this we simply must ask ourselves this, besides the skin chests what income does blizzard get from starcraft 2? They had actually sales of wol, hots and lotv, after that its the ghost "dlc" as well as coop commanders thats it. Sales of sc2 physical items shouldn't be a big income and team exclusive shirts like TL shirt for example doesnt go to blizz.
Obviously while streaming starcraft events they get income from commercials but you don't have to be a twitch partner to know how low the income is per viewed add.
So we have the above compared to the wages of all of the starcraft development team, balance team, support team as well as the price money and costs actually making WCS fo example. Costs that will include wages for casters, observers but also all the staff behind the scenes as well as rent for the location.
Ofcourse no one knows Blizzards economy but themselves but its not that hard to put one and two together, especially since its well known that esport in general doesn't make money. Tell me what income from starcraft 2 blizzard that I missed.
On June 04 2019 06:36 DomeGetta wrote: So your more realistic perspective is that Blizzard has been carrying on a charity for 25 years?? Im not saying they are rolling in it but they must see some benefit from supporting it other than philanthropy? What Im saying is I dont see anything that points toward dead game.. if what you are saying is true tho..(which seems absurdly far fetched for my imagination but that doesnt make it impossible) then I guess I could see some danger. There is so much to unpack here, 25 years? The sc2 team has not been running for 25 years, Sc1 is not still being patched and updated and blizzard hasn't supported that scene with prize money in forever. The bw scene which the community themselves drive is not a cost for blizzard, sc2 is.
When Blizz launched sc2 they were hoping on making the next big game and they were hoping to not make the same mistake they did with bw. Which was to let the game get out of their hands, they took away LAN and the plan was to implement a way to continue to make money on SC2 as alive service, just like league has managed to do. However their plan failed, the engine wasn't equipped to handle cosmetics in the same way, it didn't have the same pull as in team games and a lot of people were skeptical due to integrity of the sport. Would skins make it harder to for the opponent to play against "new" skins, it also took several years before computers were expected to be able to handle the increased strain. They never managed to make a model that worked. SC2 was another failed attempt at making the next big thing.
Supporting sc2 has surely been a losing endevour since the trilogy was completed and all the game sales were over. However if Blizzard would choose to make starcraft 3 how would it look for them if they just cancelled all their plans for sc2 just because it underperformed or they failed to plan a working business model around it? Not to mention Blizzard actually had passionate souls to drive sc2 even if it lost them money. Stopping support straight away would be incredibly bad publicity, their chance to make that slamdunk rts would be greatly diminished.
Now we have Blizzard corrupted by their owners cutting needless costs and sc2 is likely a needless cost, the only way justify it is if they want to keep us around to sell a future game. Te better they support starcraft 2 today the more likely the sc2 folloing is to continue onto sc3 or wcs4.
|
I think Blizzard is only keeping WCS/GSL alive because SC2 is the ONLY competitive esports RTS with a sizeable audience (except maybe Brood War in Korea) out there, so it could be not even breaking even supporting WCS/GSL in order to hedge its bet as the only company that corners the niche market of RTS esports. The way I see it, currently we see a peak of less than 50k max and probably only have a reliable audience of 20~30k during the WCS playoffs, so the best way to grow the audience is not just about making SC2 more fun to play but more fun to watch. Play up things like Nation Wars (I'm a supporter of region-locking :p). More slick productions and highlights. Find, appeal, and advertise WCS to the competitive RTS-loving demographics more. (On the sustainability side, have more older/experienced players who may not be mechanically as sharp anymore get paid to coach younger upcoming players.) This is coming from someone who hasn't played more than 20 games of SC2 in his life but watched almost every single tournament since 2012. I think Blizzard can still find more people like me - the non-player SC2 esports viewers.
|
I really need that meme of the dog sitting in the fire saying "This is fine"
|
On June 04 2019 07:16 Shuffleblade wrote:Show nested quote +On June 04 2019 05:56 Nakajin wrote: Well I don't think anyone here actually know if Blizz is making money on SC2 or not to be honest. Esport "alone" (without the publicity for the warchest or any other blizz focus publicity) isn't that we know, or at least it's what we heard from people working in the scene.
Well just answer me this, what are the complex income-expense graph looking like? Because as I very roughly stated, and which the article on kotaku you linked earlier also discuss is that esport right now is simply an "investment" it loses money. To discuss this we simply must ask ourselves this, besides the skin chests what income does blizzard get from starcraft 2? They had actually sales of wol, hots and lotv, after that its the ghost "dlc" as well as coop commanders thats it. Sales of sc2 physical items shouldn't be a big income and team exclusive shirts like TL shirt for example doesnt go to blizz. Obviously while streaming starcraft events they get income from commercials but you don't have to be a twitch partner to know how low the income is per viewed add. So we have the above compared to the wages of all of the starcraft development team, balance team, support team as well as the price money and costs actually making WCS fo example. Costs that will include wages for casters, observers but also all the staff behind the scenes as well as rent for the location. Ofcourse no one knows Blizzards economy but themselves but its not that hard to put one and two together, especially since its well known that esport in general doesn't make money. Tell me what income from starcraft 2 blizzard that I missed. Show nested quote +On June 04 2019 06:36 DomeGetta wrote: So your more realistic perspective is that Blizzard has been carrying on a charity for 25 years?? Im not saying they are rolling in it but they must see some benefit from supporting it other than philanthropy? What Im saying is I dont see anything that points toward dead game.. if what you are saying is true tho..(which seems absurdly far fetched for my imagination but that doesnt make it impossible) then I guess I could see some danger. There is so much to unpack here, 25 years? The sc2 team has not been running for 25 years, Sc1 is not still being patched and updated and blizzard hasn't supported that scene with prize money in forever. The bw scene which the community themselves drive is not a cost for blizzard, sc2 is. When Blizz launched sc2 they were hoping on making the next big game and they were hoping to not make the same mistake they did with bw. Which was to let the game get out of their hands, they took away LAN and the plan was to implement a way to continue to make money on SC2 as alive service, just like league has managed to do. However their plan failed, the engine wasn't equipped to handle cosmetics in the same way, it didn't have the same pull as in team games and a lot of people were skeptical due to integrity of the sport. Would skins make it harder to for the opponent to play against "new" skins, it also took several years before computers were expected to be able to handle the increased strain. They never managed to make a model that worked. SC2 was another failed attempt at making the next big thing. Supporting sc2 has surely been a losing endevour since the trilogy was completed and all the game sales were over. However if Blizzard would choose to make starcraft 3 how would it look for them if they just cancelled all their plans for sc2 just because it underperformed or they failed to plan a working business model around it? Not to mention Blizzard actually had passionate souls to drive sc2 even if it lost them money. Stopping support straight away would be incredibly bad publicity, their chance to make that slamdunk rts would be greatly diminished. Now we have Blizzard corrupted by their owners cutting needless costs and sc2 is likely a needless cost, the only way justify it is if they want to keep us around to sell a future game. Te better they support starcraft 2 today the more likely the sc2 folloing is to continue onto sc3 or wcs4.
You are making a ton of assumptions there with absolutely no basis. You are assuming that they hold fixed costs in staffing to only work on SC2 - they aren't doing much with it at all outside of balance patches every 4 or 5 months and a 1 or 2 per year skin pack - I would be shocked if they have "full time developers and support staff" 100% dedicated to SC2 - and they probably haven't for years now. Yes they sponsor WCS - you have no idea what it costs them or what they make off of it in terms of exposure for their brand. The tournaments most likely do not turn a profit - but no remotely successful company is going allow their finances to hemorrhage year over year because they "love SC2". Even if you believe (which I do not) that the old Blizzard was just donating money with SC2 - there is literally no way Activision would do that. So why are they continuing to support SC2? Most likely because it is benefiting their business either directly or indirectly at a minimal cost. They have a monopoly on the RTS community - there is literally no where else to go for RTS outside of Blizzard - there is still obviously a large enough market for RTS games to make that an advantageous position.
|
Northern Ireland23758 Posts
Deleted - Weird bug in posting
|
The overwatch esport bubble is popping and losing momentum. I think in general the over investment and expectations for esports is dying out.
Really hoping this doesn't lead to an over reaction from blizzard and kills StarCraft 2 esports scene too but if esports were riding on hypes, then a fall can be equally as fast and damaging to the scene.
It's also a weird timing, considering Warcraft remaster is coming out and there's certainly an interest for a competitive scene. Why is blizzard cutting on esports now?
Blizzard is going to suffer big time by shifting focus to mobile. They are riding on their brands to sell their games, mobile players aren't loyal to brands. Eventually the core fans will leave and the brand will be lose what it had
|
Czech Republic12128 Posts
On June 04 2019 07:14 Dangermousecatdog wrote: I have no problem believing that Blizzard makes money on SC2, even tangentially, or as part of a general plan. Activision would had stopped promoting SC2 along time ago otherwise. Even activision know that they can't stop everything at once.
|
I think Starcraft as an esport is fine. It is unique and it doesn't cost that much to sustain. There are no superinflated pricepools, salaries and stuff like mentioned in the kotaku article. It is pretty down to earth.
If done right Blizz can do a WC3 Reforged league to promote SC2 and vice versa without investing too much
|
blizzard no longer makes great games, its sad but D3 - Hearthstone - Overwatch are a string of mediocre at best titles, and nothing appears to be in the pipeline. D3 in particular was a travesty.
|
On June 04 2019 10:45 DomeGetta wrote:
You are making a ton of assumptions there with absolutely no basis. I understand where you are coming from but you missing some pretty big stuff. I do make a ton of assumptions, I do have basis for them however and I posted them above.
On June 04 2019 10:45 DomeGetta wrote: You are assuming that they hold fixed costs in staffing to only work on SC2 - they aren't doing much with it at all outside of balance patches every 4 or 5 months and a 1 or 2 per year skin pack - I would be shocked if they have "full time developers and support staff" 100% dedicated to SC2 - and they probably haven't for years now.
"They aren't doing much".... You severely underestimating the amount of time and personal it takes to do things like make the wcs schedule, follow up the wcs schedule, keep contact with players, casters, behind the scenes personnel, fix with flighttickets, hotell lodging update the schedule and post the plans online, secure the finances. Just one wcs event takes a lot of time to plan, its not just magically fixed in two hours. Balance patches....... The amount of work that goes into these, I don't even know how to begin to explain this. How do you think Blizz works up proposed balance changes? You think one person decides alone?You think multiple people meet to discuss it? If they do they need to prepare and follow up eventual ideas, you think they do the changes without any knowledge of the winrates, community opinion and outcomes of pro games? All of which takes a huge amount of time to reseach.
You might be right, there might not be any full time personnel on sc2, but 15 people working 33% with sc2 is still 5 full wages which could be around 4500 (american average) dollars a month *5 = 22 500 dollars in costs per month only looking at local wages.
You think all of the sc2 content, balance and tournaments are the results of one person working what eight hour a week with starcraft 2? They aren't magicians, that is impossible.
On June 04 2019 10:45 DomeGetta wrote: Yes they sponsor WCS - you have no idea what it costs them or what they make off of it in terms of exposure for their brand.
Erm, that was what I wrote a lot about in my previous post. That what they are doing does a lot for their brand, but exposure for their brand is not income and if it is it is not measurable. No one is arguing that its not good for them to get exposure, and no I don't know how "much" exposure they get from it but no one knows that not even Blizz themselves lol
On June 04 2019 10:45 DomeGetta wrote: The tournaments most likely do not turn a profit - but no remotely successful company is going allow their finances to hemorrhage year over year because they "love SC2". Even if you believe (which I do not) that the old Blizzard was just donating money with SC2 - there is literally no way Activision would do that. So why are they continuing to support SC2? Most likely because it is benefiting their business either directly or indirectly at a minimal cost. They have a monopoly on the RTS community - there is literally no where else to go for RTS outside of Blizzard - there is still obviously a large enough market for RTS games to make that an advantageous position.
So now you agree that they are likely losing money? Hemorrhaging money is actually very common in the financial world, its called investment. If you would have read kotakus article you probably would understand this better. Esport in general is losing money everywhere in hopes of getting a high return later when a better income model is found. This is how most businesses grows, someone invested a lot of money while not getting anything back immediately hoping they will earn money on it later. This is also what I wrote a lot about in my previous post, Blizzard stand to gain a lot on us as a market further down the line if they choose to release more rts games. Investing in keeping this niche market happy is not outrageous. Believing no company invests in the future as you do is rediculous, how do you think anything new is developed? Someone invested massive amounts of money into research not getting anything in return at the risk of never getting anything in return, thats how investment works.
"So why are they continuing to support SC2? Most likely because it is benefiting their business either directly or indirectly at a minimal cost. "
Obviously it is benefiting their business, I wrote tons about that in my earlier post and above. That doesn't change the fact that they are likely losing A LOT of money on SC2. Just do the math, they work they do versus the income they get. So why are they contiuing to support sc2? Its funny you ask that in a thread about how they are stopping their support more and more. I could use the counter arguement, if SC2 is so successful for them as you keep insisting, why are the continously getting rid of very KEY people working with SC2? The answer is there for all to see.
|
Wow I would have fired Kim when she fucked over the foreign and korean scene with her constant WCS changes in 2013-2016. Now that things are actually working out (at least for the foreign scene) I figured she'd keep her job. Oh well, enjoy this year if you like SC2. BW will probably be around forever (inspite of Blizzards best efforts to kill it off), so you can always change games if SC2 dies next year.
|
On June 03 2019 11:03 digmouse wrote: At this point, savor whatever you have in this year's WCS. precisely.
|
It's no secret that blizzard isn't the company that it once was, and a long string of terrible business decisions just amplified the problems that are becoming increasingly more evident today.
If the foreign scene does collapse, it will be interesting to see how the Korean scene adapts as they don't really seem to follow western trends when it comes to Esports. At this point I am more than thankful for all the attention afreeca has given the scene over the years.
|
Czech Republic12128 Posts
On June 05 2019 02:19 Lorch wrote: Wow I would have fired Kim when she fucked over the foreign and korean scene with her constant WCS changes in 2013-2016. Now that things are actually working out (at least for the foreign scene) I figured she'd keep her job. Oh well, enjoy this year if you like SC2. BW will probably be around forever (inspite of Blizzards best efforts to kill it off), so you can always change games if SC2 dies next year. You do realize, that many people are leaving on their own because they don't like to work under the new management? Especially after the lay offs? Maybe Kim is leaving instead of being fired.
It's even in the article!
Sources internal to Blizzard confirmed the reason for the latest round of departures as being linked to low morale, especially surrounding the development of the esports divisions of their games.
“People are really getting tired of working for Pete Vlastelica,” one source said. “The focus has become commercializing the esports titles instead of making good programs for the community. Many people internally are laying that on Pete, and it has crushed morale among the Call of Duty and Overwatch teams especially.”
|
|
On June 04 2019 08:05 GreasedUpDeafGuy wrote: I really need that meme of the dog sitting in the fire saying "This is fine"
while it's not on fire, he's currently chillin on my desk at work:
On June 04 2019 20:10 Harris1st wrote: I think Starcraft as an esport is fine. It is unique and it doesn't cost that much to sustain. There are no superinflated pricepools, salaries and stuff like mentioned in the kotaku article. It is pretty down to earth.
If done right Blizz can do a WC3 Reforged league to promote SC2 and vice versa without investing too much
they may not have to do much, but if they refuse to do anything at all, it might be hard to sustain any sort of scene
|
On June 05 2019 01:27 Shuffleblade wrote:Show nested quote +On June 04 2019 10:45 DomeGetta wrote:
You are making a ton of assumptions there with absolutely no basis. I understand where you are coming from but you missing some pretty big stuff. I do make a ton of assumptions, I do have basis for them however and I posted them above. Show nested quote +On June 04 2019 10:45 DomeGetta wrote: You are assuming that they hold fixed costs in staffing to only work on SC2 - they aren't doing much with it at all outside of balance patches every 4 or 5 months and a 1 or 2 per year skin pack - I would be shocked if they have "full time developers and support staff" 100% dedicated to SC2 - and they probably haven't for years now.
"They aren't doing much".... You severely underestimating the amount of time and personal it takes to do things like make the wcs schedule, follow up the wcs schedule, keep contact with players, casters, behind the scenes personnel, fix with flighttickets, hotell lodging update the schedule and post the plans online, secure the finances. Just one wcs event takes a lot of time to plan, its not just magically fixed in two hours. Balance patches....... The amount of work that goes into these, I don't even know how to begin to explain this. How do you think Blizz works up proposed balance changes? You think one person decides alone?You think multiple people meet to discuss it? If they do they need to prepare and follow up eventual ideas, you think they do the changes without any knowledge of the winrates, community opinion and outcomes of pro games? All of which takes a huge amount of time to reseach. You might be right, there might not be any full time personnel on sc2, but 15 people working 33% with sc2 is still 5 full wages which could be around 4500 (american average) dollars a month *5 = 22 500 dollars in costs per month only looking at local wages. You think all of the sc2 content, balance and tournaments are the results of one person working what eight hour a week with starcraft 2? They aren't magicians, that is impossible. Show nested quote +On June 04 2019 10:45 DomeGetta wrote: Yes they sponsor WCS - you have no idea what it costs them or what they make off of it in terms of exposure for their brand.
Erm, that was what I wrote a lot about in my previous post. That what they are doing does a lot for their brand, but exposure for their brand is not income and if it is it is not measurable. No one is arguing that its not good for them to get exposure, and no I don't know how "much" exposure they get from it but no one knows that not even Blizz themselves lol Show nested quote +On June 04 2019 10:45 DomeGetta wrote: The tournaments most likely do not turn a profit - but no remotely successful company is going allow their finances to hemorrhage year over year because they "love SC2". Even if you believe (which I do not) that the old Blizzard was just donating money with SC2 - there is literally no way Activision would do that. So why are they continuing to support SC2? Most likely because it is benefiting their business either directly or indirectly at a minimal cost. They have a monopoly on the RTS community - there is literally no where else to go for RTS outside of Blizzard - there is still obviously a large enough market for RTS games to make that an advantageous position.
So now you agree that they are likely losing money? Hemorrhaging money is actually very common in the financial world, its called investment. If you would have read kotakus article you probably would understand this better. Esport in general is losing money everywhere in hopes of getting a high return later when a better income model is found. This is how most businesses grows, someone invested a lot of money while not getting anything back immediately hoping they will earn money on it later. This is also what I wrote a lot about in my previous post, Blizzard stand to gain a lot on us as a market further down the line if they choose to release more rts games. Investing in keeping this niche market happy is not outrageous. Believing no company invests in the future as you do is rediculous, how do you think anything new is developed? Someone invested massive amounts of money into research not getting anything in return at the risk of never getting anything in return, thats how investment works. "So why are they continuing to support SC2? Most likely because it is benefiting their business either directly or indirectly at a minimal cost. " Obviously it is benefiting their business, I wrote tons about that in my earlier post and above. That doesn't change the fact that they are likely losing A LOT of money on SC2. Just do the math, they work they do versus the income they get. So why are they contiuing to support sc2? Its funny you ask that in a thread about how they are stopping their support more and more. I could use the counter arguement, if SC2 is so successful for them as you keep insisting, why are the continously getting rid of very KEY people working with SC2? The answer is there for all to see.
Not sure how you can confuse hemorraging money with investing lmao. Investing implies an expected value in r.o.i. When your "investment" ceases to pay off year over year and you are an actual business you stop "investing". Again as much as you like to pontificate blizzards cost in supporting SC2 you have no idea what they are. The only thing that a reduction in staff supporting SC2 means is that they are reducing that cost. That in no way represents that they are planning to stop supporting SC2. It could easily mean that they are being more responsible with their "investing". I did read the article and like I said previously it doesnt lead me to believe the sky is falling on SC2. Since you have admitted to having no idea what the cost or what the benefit is of SC2 to blizzard your conclusion that they are "losing a ton of money" on sc2 sounds a bit nuts.
|
|
|
|