Bioware gets eaten?

[Morgoth]

I just stumbled over these news from the German print magazin GameStar.

I'll try to translate that stuff into into my humble English.

 

Bono makes developer-coalition possible.

 

Bono from U2 can't stop it. After his investment company Elevation Partners didn't manage it to take over Eidos, his second attempt to enter the gaming business seems to stay on a stronger foundation. According to a report from the Wall Street journal, Elevation will take over the majority of Bioware (Jade Empire, Knights of the Old Republic and Baldur's Gate) and Pandemic (Star Wars: Battle Front, Full Spectrum Warrior). The goal is to merge both developers into a huge business firm. The management should stay untouched though: Greg Zeschuk and Ray Muzyka from Bioware as well as Andrew Goldman and Josh Resnick from Pandemic will lead the operative business. The manager director will be a well-known man: John Riccitiello, the former CEO of Electronic Arts and currently partner at Bonos investment company Elevation Partners, is in discussion.

 

The purchase price should be 300 million USD. All in all, ELevation saved about 1,9 milliard USD for investments within media and entertainment. According to the Wall Street journal, a part of this amount should be invested into the development of games.

 

Currently both Bioware and Pandemic together do have around 400 employees located in Los Angeles, Edmonton (Kanada) and Brisbane (Australia). This structure should stay untouched. Furthermore the new company still wants to work together with their trusted publishing partners.

 

A clever move: A sale to a big pusblisher would have meant a loss of independence. In that constellation however, both developers get stronger.

 

How the f*ck does that make them stronger, especially with Riccitiello as managing director?

[ShadowPaladin V1.0]

I just stumbled over these news from the German print magazin GameStar.

I'll try to translate that stuff into into my humble English. 

 

Bono makes developer-coalition possible.

 

Bono from U2 can't stop it. After his investment company Elevation Partners didn't manage it to take over Eidos, his second attempt to enter the gaming business seems to stay on a stronger foundation. According to a report from the Wall Street journal, Elevation will take over the majority of Bioware (Jade Empire, Knights of the Old Republic and Baldur's Gate) and Pandemic (Star Wars: Battle Front, Full Spectrum Warrior). The goal is to merge both developers into a huge business firm. The management should stay untouched though: Greg Zeschuk and Ray Muzyka from Bioware as well as Andrew Goldman and Josh Resnick from Pandemic will lead the operative business. The manager director will be a well-known man: John Riccitiello,  the former CEO of Electronic Arts and currently partner at Bonos investment company Elevation Partners, is in discussion.

 

The purchase price should be 300 million USD. All in all, ELevation saved about 1,9 milliard USD for investments within media and entertainment. According to the Wall Street journal, a part of this amount should be invested into the development of games.

 

Currently both Bioware and Pandemic together do have around 400 employees located in Los Angeles, Edmonton (Kanada) and Brisbane (Australia). This structure should stay untouched. Furthermore the new company still wants to work together with their trusted publishing partners.

 

A clever move: A sale to a big pusblisher would have meant a loss of independence. In that constellation however, both developers get stronger.

 

How the f*ck does that make them stronger, especially with Riccitiello as managing director?

<{POST_SNAPBACK}>

 

It depends how hands on they are. If left alone it will mean a lot more to invest. Although neither company seems short on resources anyway.

 

You get the feeling it's going to be anything but hands off though dont you ?

 

What the article implies is that both studios remain able to work for anyone. Unlike say Rare who are MS's henchmonkeys.

[Morgoth]

You're right.

 

Reading that article though made me a little nervous.

 

I found a better one at GameSpot. Seems like it should basically stay everything like it is now. As long as the Biowarians

have full creative freedom I'm not too worried about that "Supercompany". Riccitiello as CEO though still gives me a bad feeling in my guts.

 

Edit: Screw GameStar, you can read it yourself on Bio's main page now.

Edited November 3, 2005 by Morgoth

[Atreides]

I doubt the management will be as independent as they are (were?) right now. I guess there'll be benefits with merging but I doubt they're worth the loss of independence (and larger management/communication costs?) since BIO's doing pretty well by itself.

 

OBS private ownership 4TW

[SteveThaiBinh]

Reading that article though made me a little nervous.

This is the kind of thing that makes me nervous. There are people out there who actually talk like that. I hope they leave Bioware alone to continue making quality short games and expensive expansion packs.

[Kaftan Barlast]

The pressure on a company to produce more profitable products always incrase by a huge amount when their bought in this manner. That BioWare would be allowed to go on as if nothing has changed isnt very likely.

 

 

Theyll probably get pushed into making MMO's and more licensed games.

[Tigranes]

On Thursday, [Elevation] will announce it is backing the alliance of two major independent developers, Pandemic Studios and BioWare

 

What does "backing" mean, in reality? What level of involvement does Elevation have? If I understand aright, it seems to mean they provide funding / investment - which means *nothing* changes from Bioware pitching individual games to publishers, and all that mumbo-jumbo from the Gamespot article was lieeees.

[kumquatq3]

Well, didn't see this coming

[ShadowPaladin V1.0]

What does "backing" mean, in reality? What level of involvement does Elevation have? If I understand aright, it seems to mean they provide funding / investment - which means *nothing* changes from Bioware pitching individual games to publishers, and all that mumbo-jumbo from the Gamespot article was lieeees.

<{POST_SNAPBACK}>

 

You dont just provide investment for no reason.

[Tigranes]

Precisely.

 

Bono's Rock Star, designed by Dave Gaider!

[Volourn]

Bioware is no longer independent. This is bad news. Meh.

[Child of Flame]

What the hell.

[Judge Hades]

I hope Bioware fights this. We all have seen what EA peeps do to acquired developers.

[Volourn]

"I hope Bioware fights this."

 

Why would they fight something they wanted? This was their choice. It wans't like they were bought out in the stock market. They chose to be a aprt of this partnership. Period.

 

A bad choice, imo; but meh.

 

Game over.

[Judge Hades]

Well, if they chose this then they are probably are going the way of Westwood Studios and Origin System. Hasta la vista, Bioware.

[SteveThaiBinh]

There were suggestions that Jade Empire hadn't sold that well, at least not enough given the cost of development. Maybe Bioware were headed for financial trouble and needed a way out. Or am I overestimating the impact on a developer of one game that sells a bit less than was hoped?

[Atreides]

Probably the latter.

[Volourn]

Jade Empire has sold over 600k copies and counting. There is already a semi annoucned sequel on the way. For some reason a game that would lead to a dveloper's demise would not be getting the go ahead for the sequel by the publisher...

[ShadowPaladin V1.0]

Well, if they chose this then they are probably are going the way of Westwood Studios and Origin System.  Hasta la vista, Bioware.

<{POST_SNAPBACK}>

 

Maybe the management want to sell up and move on. Wonder if this will be Brian Fargo MK II ?

[Musopticon?]

Gets eaten?

 

 

 

 

 

 

 

 

 

Good riddance.

[ShadowPaladin V1.0]

Jade Empire has sold over 600k copies and counting. There is already a semi annoucned  sequel on the way. For some reason a game that would lead to a dveloper's demise would not be getting the go ahead for the sequel by the publisher...

<{POST_SNAPBACK}>

 

The sales figures are only part of the equation.

 

It also depends what else the publisher has in the stable. Sometimes a calculated loss is better than a gamble.

[Judge Hades]

Well, if they chose this then they are probably are going the way of Westwood Studios and Origin System.  Hasta la vista, Bioware.

<{POST_SNAPBACK}>

 

Maybe the management want to sell up and move on. Wonder if this will be Brian Fargo MK II ?

<{POST_SNAPBACK}>

 

And we all saw how well that went.

[Volourn]

You missed the point SP. The point of that post wa snot toa rgue how much money JE lost or did not lost. or even how much it earned or did not earned.

 

It was simply used to kaboch the idea that somehow JE's "failure" or "success" is what somehow led to BIO choosing to partnering up with other companies.

 

I seriously doubt one game underperforming (if that is even the case which I doubt) would bring financial ruin to a company.

 

 

 

Anyways, BIo is no longer independent.

 

Period.

 

Game over.

[Morgoth]

I'm still asking myself what benefits Bio can expect from partnering with Pandemic. Looking at their portfolio, they've only done "blow-it-up" action games, nothing highly intelligent or groundbreaking, neither in gamedesign nor technology wise. I could understand a partnership with Epic (Unreal Technology) or Obsidian (MCA for teh win!111), but Pandemic??? Anyway, I hope the doctors still hold the rein in their hands.

Edited November 3, 2005 by Morgoth

[Hurlshort]

This was in my local newspaper today as well. The spin is that it allows Bioware and Pandemic to NOT rush development because they have a ton of financing available. The current market puts a lot of control in the publishers hands, and supposedly this changes this. I don't know if it will turn out this way, but I don't think it's the end of Bioware.

 

Pandemic and Bioware generated 800 million over the last few years, so I don't think they have financial issues, but they don't want to become publishers. This might actually be the key to keeping talented development studios from turning into publishers.