MS to take larger cut of best-selling Community Games
GameDaily BIZ got some details on the revenue sharing structure of the recently detailed Xbox Live Community Games. While we reported that developers could receive "up to 70%" of sales, Microsoft's Chris Satchell clarified the structure this way: "The better you're doing, the more we'll take." Sure, this sounds pretty cutthroat (newsflash: Microsoft is a business!) but the relationship here isn't dissimilar to traditional retail arrangements.
If your Community Game performs well, it will be plucked from the crowd and placed in the "storefront" where it should enjoy a great deal of promotion and, in turn, sales. Satchell says, "The game will spend most of its time at 70%, but if we're promoting you and you're getting more traffic, there will be a 10% to 30% marketing fee." Once it's out of the storefront – bam! – "you're back to 70% again." In other words, if you want more of your hard-earned ... uh, Microsoft Points to go to Bobby Developer and not Johnny Microsoft, wait until things have settled down a bit and the game has left the storefront for the relative anonymity of the crowd. Then, swoop in, make your purchase, and consider The Man stuck.
If your Community Game performs well, it will be plucked from the crowd and placed in the "storefront" where it should enjoy a great deal of promotion and, in turn, sales. Satchell says, "The game will spend most of its time at 70%, but if we're promoting you and you're getting more traffic, there will be a 10% to 30% marketing fee." Once it's out of the storefront – bam! – "you're back to 70% again." In other words, if you want more of your hard-earned ... uh, Microsoft Points to go to Bobby Developer and not Johnny Microsoft, wait until things have settled down a bit and the game has left the storefront for the relative anonymity of the crowd. Then, swoop in, make your purchase, and consider The Man stuck.














(Page 1) Reader Comments
(in before portal jokes)
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...DAMN IT. I can't believe you cakeblocked us.
CAKE DENIED!
lol, i learned a new word today! That's why I come to Joystiq early and often.
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Also: Nintendo brings smiles to faces. I heard it at E3.
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Which part of this article had anything to do with the fans?
also which part of the article had anything to do with anyone getting screwed?
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"Just because every one else is doing it, doesn't make it right!"
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God, now if only the IRS would do the same to Microsoft.
Bastards.
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Unfortunately, the additional cut of 30% (a possible 60% share going to Microsoft) seems tastelessly excessive.
Clearly this isn't a unique practice to games, and I'm sure this is a more generous share that most other forms of media, but I don't look kindly on the corporate control and vested interests into which they've transformed it.
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No, all creators agree to a common set of terms when they submit their game to the service. The majority of sales and revenue a creator earns will be generated by our promotions. The Creator will always benefit from the sales of their games and we’ll be working with our merchandising team to help boost the game’s revenue when we see potential for even greater success.
http://creators.xna.com/en-us/XboxLIVECommunityGames
No, all creators agree to a common set of terms when they submit their game to the service. The majority of sales and revenue a creator earns will be generated by our promotions. The Creator will always benefit from the sales of their games and we’ll be working with our merchandising team to help boost the game’s revenue when we see potential for even greater success.
http://creators.xna.com/en-us/XboxLIVECommunityGames
I sure wish news sites, and blog sites, would actually ask the "hard" questions to MS, Sony, and Nintendo. Instead of pandering, and tip toeing around, so as to not lose exclusives, and other things.
The day I see a reputable site call any company a liar for something they lied about, will be a great, great day.
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