Swedish gaming giant Embracer shuts down Alone in the Dark studio Pieces Interactive – Games – News

Of course, good size. Economies of scale are very important, but there has to be something scalable. Embracer Group is known for having very cumbersome structures with poor scale. Their acquisitions haven’t been the best either.

If you want to enjoy economies of scale, your structure must be optimized, and this has never been the case. No one believes that anymore, and they even started shorting this stock for these reasons. They had no choice but to fire a lot of people in a short time to avoid collapse. 29 games have been discontinued or sold.

There was also “wrong” money behind it. Kingdom of Saudi Arabia etc. Ultimately, you don’t know what was going on behind the scenes, but if you first went down a heavy acquisition route and then the investor pulled out, every company would collapse like a house of cards. Who knows, maybe they (the Crown Prince, etc.) will buy it back later for next to nothing. No idea, it’s speculation, but it’s striking how poorly the company and its acquisitions are going.

Money is needed anyway. Game development requires a lot of money and time, and small studios often lack the money and knowledge to develop good games on all platforms. It has also become very complicated. In this case, it seems that they have become a puppet for money. Once the rich elders get involved, you just have to watch out. For them, human rights are a piece of paper.

[Reactie gewijzigd door Coolstart op 17 juni 2024 16:39]

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