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Outriders' People Can Fly Hasn't Received Royalties from Square Enix Due to Lack of Profits

Poorna Shankar Posted:
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The folks at People Can Fly, the developers behind Outriders, claimed through an investor note they haven’t been paid royalties from publisher Square Enix, pointing to lack of profitability.

These royalties were based on the net sales from Outriders if said returns passed a certain agreed upon threshold with Square Enix. In laymen’s speak, People Can Fly would receive royalties after Square Enix made its return on investment.

In an investor note, People Can Fly President Sebastian Wojciechowski noted,

"We don't have any sales figures for Outriders - we estimate it at between two and three million units and assumed that this was a result that would ensure profitability for this project in the first quarter of sales. The lack of payment by the publisher probably means that, according to Square Enix, this is not the case."

The key takeaway there is Outriders may not have been profitable. Sebastian added,

“Failure to achieve the level of profitability may also mean that the costs incurred by the publisher are higher than expected…But I don't want to speculate; we will analyse the situation further. It is worth noting, however, that such explanations take time and our influence on the publisher's position is limited."

This follows news from May in which Square Enix called Outriders their “next big franchise” following a report of 3.5 million players Outriding. In recent news, an upcoming patch will buff all classes, providing several improvements across the board. In our review of Outriders, we called it a brutal and unrelenting experience, but in a good way.


ShankTheTank

Poorna Shankar

A highly opinionated avid PC gamer, Poorna blindly panics with his friends in various multiplayer games, much to the detriment of his team. Constantly questioning industry practices and a passion for technological progress drive his love for the video game industry. He pulls no punches and tells it like he sees it. He runs a podcast, Gaming The Industry, with fellow writer, Joseph Bradford, discussing industry practices and their effects on consumers.