Do you ever wonder how GGG stays in business

Let's run a simple and generic situation.

Let's pretend for the sake of argument that every employee of GGG makes 70,000$ US per year. Some make more, some make less.

Now, let's assume there are 50 employees.

A quick calculation, 50 x 70,000 = 3,500,000 $ per annum.

Now, they also have to pay renting of some software which they might not own, per month, the building they are in etc. etc.

For a f2p company, how can they keep generating this kinda of income to support their expenses? People from time to time on here say the game is dead. But if the game is dead, it wouldn't be possible for GGG to generate this kind of revenue.

But even still, even if it's going good, it's still kinda impressive. Are there really that many people playing, that many people donating time and time again?

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Warmey wrote:

For a f2p play company,

Thank you kind sir. I really doubt that they have nearly 50 employees and the fact that each may make 70,000 a year, but I might be wrong. Nearly all of my friends constantly support them by spending $20 here and a little there, so I'm not surprised in the least that they've been able to support this game.

Grumpy cat made $100,000,000 last year just for being a stupid cat.

where did you get 50 employees info? :) Methinks if they had 50 employes game wouldn't have micro-stutters, desyncs and some other issues. I have no clue how many of them are there but last time I checked there were like 5-6 of them working and one bossing them around :D

For a supporter have you never seen the supporter pack counts that get sold? if not your ill informed in how much we actualy give this great company for a free2play game.

Also head to the Garena server and see how that exploded in popularity but they run there own events seperate to us, if we had garenas Halloween event im sure we would of seen more players.

I think your variables are a bit off:

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Let's pretend for the sake of argument that every employee of GGG makes 70,000$ US per year. Some make more, some make less.

I'd guestimate $40-45k AUD.

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Now, let's assume there are 50 employees.

Based on the little information that's around (e.g, LinkedIn profiles); more like 20-25.

Also, given this:

https://www.google.com/maps/place/17+Ryehill+Cl,+New+Lynn,+Auckland+0600,+New+Zealand/@-36.9192626,174.672753,108m/data=!3m1!1e3!4m2!3m1!1s0x6d0d415f160ae157:0x7369b0da89c6a3da

... is the GGG software house (which looks like it's quite literally a house in Auckland suburbia) then I'm guessing they're on a bit of a budget (and kudos to them for what they've done on it)

EDIT: Formatting

A bit more accurate would be support staff (~20?) and developers (~20?), and support make a lot less than developers. However, I have also wondered where the money comes from. How many stash tabs does GGG need to sell per year to stay in business?

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Warmey wrote:

Let's run a simple and generic situation.

Let's pretend for the sake of argument that every employee of GGG makes 70,000$ US per year. Some make more, some make less.

Now, let's assume there are 50 employees.

A quick calculation, 50 x 70,000 = 3,500,000 $ per annum.

Now, they also have to pay renting of some software which they might not own, per month, the building they are in etc. etc.

For a f2p company, how can they keep generating this kinda of income to support their expenses? People from time to time on here say the game is dead. But if the game is dead, it wouldn't be possible for GGG to generate this kind of revenue.

But even still, even if it's going good, it's still kinda impressive. Are there really that many people playing, that many people donating time and time again?

I see 3 supporter tags by your name, and in merciless sarn I usually see more players with mtx's than without.

I don't like to speculate on things like how much they pay themselves, etc, but I get the feeling it's more a labour of love than get rich

I am not sure how the business side of things was setup, but if they follow some of the established procedures then a lot of the original alpha/beta funding would have been put into investments to allow for interest and dividends to pay for the day to day operational costs, with MTX sales paying a portion as well as allowing for growing investments and covering one off large expenditures.

No doubt there was some investment from family/friends, as well as the "kick starter" stuff, some of which may also have come from private investors.

Once you factor in the sale of the license to GArena (which is probably pretty lucrative seeing as they have had the freedom to institute some things that conflict with GGG ideals), and some advertising revenue from websites that gain exclusive content (the new Twitch channel, possibly gamespot), then they are likely in a reasonably secure financial situation.

Possibly in a couple of years (if they have clauses that require pay back of investments, or need to dramatically increase salary budgets in order to have the talent to expand and maintain) they might need to sell the licence to a few other companies. But, I guess we will see how it goes.

There are also privite investers. Chris has covered this in previous podcasts if I remember correctly.

And there is no way that each employee makes $70k US dollars lol, just a hunch.