Originally posted by eyeswideopen

Originally posted by Rusty715

Originally posted by slickbizzle

Originally posted by mastergravy

lets just say they have 10mil subs. at 15$ a pop per month thats a 150mil made per month. and they need to lay off 600 employees. theres more going on here than what people are thinking at that kinda cost no co. on earth needs to layoff anyone.

 

Maybe the fact that they don't have 10 million people paying $15 a month?

 

 

It always comes back to how many actually pay a sub in NA and EU doesnt it? Ok lets do that then.  Even if its 3 million Blizz is not going broke anytime soon. And thats still over 2 million players more than any other P2P MMO that I know of.

Where do you think much of the money to develop Diablo 3 is coming from?

Of course they are reinvesting, its what companies do, the smart ones anyway.  $15 multiplied by 3 million. Multiply that by how many years? D3 is going to be one hell of a game if you think they have invested all they have into it.

Approximately 540 jobs coming out of business oriented departments like customer support sounds like outsourcing to me...

This has become a disturbing trend and I am glad I no longer have a subscription because I would cancel it immediately. With the unemployment rate being what it is, making it worse so that you can pay less for for the same thing is repulsive. It's one of the reason the US has the problems we do now.

Originally posted by Rusty715

Originally posted by eyeswideopen

Originally posted by Rusty715

Originally posted by slickbizzle

Originally posted by mastergravy

lets just say they have 10mil subs. at 15$ a pop per month thats a 150mil made per month. and they need to lay off 600 employees. theres more going on here than what people are thinking at that kinda cost no co. on earth needs to layoff anyone.

 

Maybe the fact that they don't have 10 million people paying $15 a month?

 

 

It always comes back to how many actually pay a sub in NA and EU doesnt it? Ok lets do that then.  Even if its 3 million Blizz is not going broke anytime soon. And thats still over 2 million players more than any other P2P MMO that I know of.

Where do you think much of the money to develop Diablo 3 is coming from?

Of course they are reinvesting, its what companies do, the smart ones anyway.  $15 multiplied by 3 million. Multiply that by how many years? D3 is going to be one hell of a game if you think they have invested all they have into it.

Don't forget "Titan" also, which is probably where the biggest chunk of dev money would be needed.

Originally posted by Akais

Approximately 540 jobs coming out of business oriented departments like customer support sounds like outsourcing to me...

This has become a disturbing trend and I am glad I no longer have a subscription because I would cancel it immediately. With the unemployment rate being what it is, making it worse so that you can pay less for for the same thing is repulsive. It's one of the reason the US has the problems we do now.

 

The outsourced ( to India of course ) customer support was one of the (many ) reasons SWTOR barely lasted me a month before I gave up on it.

Originally posted by teakbois

So 600 people.  I can see why they wouldnt need a lot of the development team from D3 or SC2 any more...just less people needed to wor on those expansions.  But only 10% is from development they say, so 540 people from areas like 'customer service'.   What?  Im guessing with hacking down to the authenticators becoming far more common, they dontneed those people anymore.  but why cut the jobs?  Surely they can be moved to in game customer service (whch still sucks) or maybe replace them with people that can run in game events like EQ used to have.  WoW clearly needs MORE people working on it, not less, and that can go beyond developers.

 

That dragon mount probably paid those 600 people's salaries for a year.  Its not like Blizzard is hurting for money.

Of course they aren't hurting for money.  Companies of this calibre rarely do cut-backs for something as benign as lack of payroll.  They make moves like this due to greed.  They can't have their bonuses cut, now can they.  Even if the game is on a slighly downward turn, investors expect their profits to go up, even at the expense of employees who do the real work.  They've had what, a 12 year or so run of exceptional income?  Where did  all that money go that they suddenly have to lay off people at the slightest sign of a downward trend?  They are either completely clueless about money management or just another shining example of the cesspool that is capitalist greed.

Originally posted by eyeswideopen

Originally posted by Rusty715

Originally posted by eyeswideopen

Originally posted by Rusty715

Originally posted by slickbizzle

Originally posted by mastergravy

lets just say they have 10mil subs. at 15$ a pop per month thats a 150mil made per month. and they need to lay off 600 employees. theres more going on here than what people are thinking at that kinda cost no co. on earth needs to layoff anyone.

 

Maybe the fact that they don't have 10 million people paying $15 a month?

 

 

It always comes back to how many actually pay a sub in NA and EU doesnt it? Ok lets do that then.  Even if its 3 million Blizz is not going broke anytime soon. And thats still over 2 million players more than any other P2P MMO that I know of.

Where do you think much of the money to develop Diablo 3 is coming from?

Of course they are reinvesting, its what companies do, the smart ones anyway.  $15 multiplied by 3 million. Multiply that by how many years? D3 is going to be one hell of a game if you think they have invested all they have into it.

Don't forget "Titan" also, which is probably where the biggest chunk of dev money would be needed.

 

Im not questioning  that Blizz is spending a lot of money on upcoming games. But then again, Blizz has a lot of money to spend. On the other hand, a layoff doesnt have to be an indicator of financial problems. All it indicates is that Blizz, for whatever reason, no longer needs these 600 employees.  Keeping people not needed to run a business is a sure way of going under. Those wanting to see Blizz go bankrupt see what they want to see. Others see it for what it is. Business as usual.

Originally posted by Vorthanion

Originally posted by teakbois

So 600 people.  I can see why they wouldnt need a lot of the development team from D3 or SC2 any more...just less people needed to wor on those expansions.  But only 10% is from development they say, so 540 people from areas like 'customer service'.   What?  Im guessing with hacking down to the authenticators becoming far more common, they dontneed those people anymore.  but why cut the jobs?  Surely they can be moved to in game customer service (whch still sucks) or maybe replace them with people that can run in game events like EQ used to have.  WoW clearly needs MORE people working on it, not less, and that can go beyond developers.

 

That dragon mount probably paid those 600 people's salaries for a year.  Its not like Blizzard is hurting for money.

Of course they aren't hurting for money.  Companies of this calibre rarely do cut-backs for something as benign as lack of payroll.  They make moves like this due to greed.  They can't have their bonuses cut, now can they.  Even if the game is on a slighly downward turn, investors expect their profits to go up, even at the expense of employees who do the real work.  They've had what, a 12 year or so run of exceptional income?  Where did  all that money go that they suddenly have to lay off people at the slightest sign of a downward trend?  They are either completely clueless about money management or just another shining example of the cesspool that is capitalist greed.

I take captialism over communism any day. Companies exist to make money. There are jobs out there. People just don't want to do jobs they don't like. Some people think they are too good for some jobs. Well, Blizzard thinks they aren't good enough to keep in the organization. Busniess.

Is it possible that Blizzard  decided that they do not need as many marketing people?

Is it possible they are getting rid of the lower level BlizzCon workers?

Is it possible that, through technology advances, some jobs aren't needed?

Just playing devil's advocate here seeing all i have read is the company is Gordon Geeko and is slowly being sold off so the higher ups can get another Ferrari.

As for the Amazon thingy that was discussed.  It's hard to compare a company that developes products with an intermediary.  Amazon can offer free shipping because the bulk shipping rate they get from shipping companies (hell, it's free advertising for UPS, FedEx, etc), offer better prices because of distributor discounts, etc etc.  The Kindle pricing is just a way to get into the market and sell more services for it (don't have one so only guessing that it has "falling out of bed" business), we saw this strategy when the Microsoft XBox was introduced.

Anywho, my opinions, right or wrong, are just there for something to chew on. We need more open minded thinkers to make things happen and ask questions, not just have vitriol posts.

PS....Lose=fail to win, gain, or obtain. undergo defeat. Loose=not rigidly fastened or securely attached

Please figure out which one you mean when posting.

Originally posted by zymurgeist    Yes they really should. At least where it affects profits.  They can do good things too but they exist to make money.

I agree, but some of you are exchanging "Good Business Sense" with "Greed" like they are interchangable.  They aren't.

Pure greed is is a bad thing, and is why the US has gone down the poohole.

My opinion of course.

Originally posted by Acidon

Originally posted by zymurgeist    Yes they really should. At least where it affects profits.  They can do good things too but they exist to make money.

 

I agree, but some of you are exchanging "Good Business Sense" with "Greed" like they are interchangable.  They aren't.

Pure greed is is a bad thing, and is why the US has gone down the poohole.

 

My opinion of course.

They are not interchangable but who can draw the line ? None of us know how the organization works. None of us know their structures.

Keeping people without productivity in the organization is not good business sense. If they do, why should others work harder when those have nothing to do ? It is better for an organization to be healthy then dragging people they don't need and eventually cause issues.

Keeping one person is not just salary alone, it comes with all the benefits and extras. 

US gone down the poohole for more than just greed issue.

Originally posted by eyeswideopen

 

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Originally posted by TyvolusNext

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Originally posted by eyeswideopenNo, what's funny is you having a stock portfolio when you don't know how business works. Amazon can handle losses on the Kindle hardware because the BOOKS ( as well was advertising space on the cheaper version ) for the Kindle offset the difference. The same way Sony could absorb the losses on PS3 hardware as game revenue is where the money is really at. Plus they have literally hundreds of THOUSANDS of products that they make pure profit from with NO production costs at all and minimal overhead as most all those products are either stored by the sellers or stored collectively in a big warehouse.

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I really think you need to take a deep breath, read this, let it sink in, read it again and understand MY POINT. It is simply this, Amazon has proven you can be successful and not come across as overly greedy. Read, then re-read and read again the chain of posts, and you will understand that nowhere, no how and in no way was I attempting to explore or understand the HOW Amazon does it, merely that they CAN do it, and still be successful and not come across as greedy. Do you think you get it now ? But thanks for explaining the "how" it all works when that wasn't the issue.
Again my point in referencing Amzons successful and less greedy business model is that I was attempting to prove you can be SUCCESSFUL and not nickel and dime your cleint base. Amzon can charge for shipping and Amazon can charge for at least cost the Kindle, but they choose not to, thereby coming across as less greedy. can you understand this rather simplistic point ?

thanks.

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And I think YOU should read your own posts.

 

 

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Originally posted by TyvolusNext

then please explain to me (someone who owns/buys stock) how a company like Amazon will slash prices, offer free shipping and provide great customer service and actually sell items like the Kindle at below cost...all the while remaining a strong, viable player in retail AND remain profitable AND have a stock price of almost $180 -- explain to me how this company who doesnt nickle and dime its customers in a greedy manner is so wonderfully successful ?

thanks.

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You asked, I answered. Not my problem if you can't handle an answer to YOUR OWN QUESTION so you try to act like you never asked it in the first place.

wow, ok.  Actually that was what is called a rhetorical question.  I already know the answer, and it is because AMAZON IS NOT GREEDY.  You are trying to answer my rehtoric with a reasoned understanding of business logistics when the HOW is not the issue....its that they are doing things that cut their profit margins and make them less greedy and are still successful.  do you really need it all explained out like this ?

I accidently purchased a cdkey from blizzard store, i just wanted to see the total cost+tax.. well never got to see it and it bought the product. Called up blizzard support, explained the issue. I was understood perfectly and the money was put back on my card within the week. 2012

Amazon, purchased a 42inch tv, was supposed to be 120hz, it was in the description. Got the tv turned out to be 60hz, called up their support.. 'we're not responsible for the listings from the mfg.' 'we can offer you a refund' however i had to pay shipping. It took me 2 hours and 3 phonecalls to get these simple answers. I was denied any chance at talking to a supervisor, the script i assume didn't allow it. English wasn't any of their CSR native language. 2009

This is just an example that represents a product and similar issue and how it was dealt with.

I've had alot of great support from blizzard service, in todays industry it is quite honestly the best. I can't speak for tomorrow, but who is to know.

Just wanted to throw this in here since we wanted to do the whole comparing amazon and blizzard thing

This was very sad. One word came to mind after hearing about this: Dividends.

Looks like "daddy" needs some more money

http://online.wsj.com/article/SB10001424052970203753704577254600575356264.html 

Originally posted by Scalebane
Every company will get rid of people they don't need even if they are rolling in cash Microsoft does it Apple does and even Amazon has, not to mention all these companies look for ways to do the same thing with less people. Hell you can look up Amazon and see employee compliants about being overworked and not getting help with all the workload. Every company is about making money, anyone saying whatever "company" isn't greedy is a fool. I'm not making excuses for it either businesses have rarely ever cared if any of us have a job or not and that will never change. Sucks for those people, hope they find work soon. It's funny to see all the desperate people run in here wanting so badly for blizzard to fail, so what do you people think, that if warcraft shutsdown other companies will somehow make better games? Lol that won't happen. Then again I've never understood why people start taking this stuff so personnel, its like blizzard kicked these peoples dog or destroyed their life somehow lol. I guess its just normal crap every company gas to deal with, seems like too many unhappy people need to find something to cling their hate and anger on so they can feel better about themselves

Yes they will its how they continue to be rolling in the cash. But to some,when news is good about Blizzard its "a lie" and when its bad its, "see? I said years ago they were going under."  The rumors of WOW's demise have been stated as fact since it launch.

Crap...I hope Blizzard doesn't go under.

I need World of Warcraft...

...to filter out the idiots from the hard(er)core games I play

some they they should have work mor eon a follow up to WoW... but perheps they have realised that WoW has atrract 10 times more player for years as the few other most successfull games have  (and 100 times more as the less successfull)

the marked has chances , more competitions as with higher quality is there, a follow will not continue the success as WoW (at least not in that dimension)... so Blizzard has to adept ...

this is a wise and clever move to scale yout staff to the expected business in the next years... this will perheps not the last  job cut

Despite in line with capitalism (suck life from slaves and then discard) I see this as very bad move. They are signaling wow is in trouble. There was no need to this move from financial perspective (simply who is already too rich would be slightly less but still too much), they could use them for make game even better and trying to grab back players.

I will for sure return. However since release i'm playing Swtor which will keep me leveling all my alts and having a blast for sure until summer or end of summer. Rift is also waiting for me to return. All my 10 alts 85 in wow are barely waiting for expansion however. :-)

Fact is, for me before was just wow. All the rest were just filler up to take short break from wow. Now for the first time in history I have 3 incredible games to choose between.

Customer Support? Do they have Customer Support?

The bigest problem for Blizz is they don't really have any new games announced on the horizon. SC2 expansions, WoW content, and Diablo 3. All built on previously released games. Titan, who knows what that will be or if it ever sees the light of day. This website last year worshiped the ground that Blizzard shat on, but c'omon guys, in 2012 isn't it more the case that Blizzard just look  like endlessly recylcing old games.