May 2007
- [DESIGN] Developing and balancing a roleplaying system Calvin
- [ADMIN] Bounced Posts? Nick Koranda
- [Offtopic] Lend your ears to science! Mike Rozak
- [Design] [REPOST] Food in MMOs Lachek Butalek
- [Design] [REPOST] Food in MMOs Jacob Cord
- [Design] [REPOST] Food in MMOs Steve "Bloo" Daniels
- [Design] [REPOST] Food in MMOs Damion Schubert
- [DESIGN} Who to design for? John Buehler
- [DESIGN} Who to design for? Damion Schubert
- [DESIGN} Who to design for? John Buehler
- [DESIGN} Who to design for? Tess Snider
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Raph Koster
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Raph Koster
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? cruise
- [DESIGN} Who to design for? John MacQueen
- "The Next Big Thing" (was [DESIGN} Who to design for?) Mike Sellers
- [DESIGN} Who to design for? Michael Chui
- [DESIGN] Who to design for? Michael Hartman
- [DESIGN} Who to design for? Damion Schubert
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Tess Snider
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? cruise
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Dana V. Baldwin
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [DESIGN} Who to design for? Mike Sellers
- [DESIGN} Who to design for? Tess Snider
- [Design] 4Cs (was Who to design for?) Mike Sellers
- [Design] 4Cs (was Who to design for?) Sean Howard
- [Design] 4Cs (was Who to design for?) Mike Sellers
- [Design] 4Cs (was Who to design for?) Sean Howard
- [Design] 4Cs (was Who to design for?) Michael Chui
- [Design] 4Cs (was Who to design for?) Peter Keeler
- [Design] 4Cs (was Who to design for?) Ammon Lauritzen
- [Design] 4Cs (was Who to design for?) Sean Howard
- [Design] 4Cs (was Who to design for?) Lachek Butalek
- [Design] 4Cs (was Who to design for?) Dana V. Baldwin
- [DESIGN} Who to design for? cruise
- [DESIGN} Who to design for? Sean Howard
- [DESIGN} Who to design for? Caliban Darklock
- [Design] [REPOST] Food in MMOs Steve "Bloo" Daniels
- [Design] [REPOST] Food in MMOs Caliban Darklock
- [Design] [REPOST] Food in MMOs cruise
- [Design] [REPOST] Food in MMOs Steve "Bloo" Daniels
- [Design] [REPOST] Food in MMOs Tess Snider
- [Design] [REPOST] Food in MMOs Lachek Butalek
- [Design] [REPOST] Food in MMOs Michael Chui
- [Design] [REPOST] Food in MMOs Ian Hess
- [Design] [REPOST] Food in MMOs Ian Hess
- [Design] [REPOST] Food in MMOs Tess Snider
- [Design] [REPOST] Food in MMOs Lachek Butalek
- [Design] [REPOST] Food in MMOs Michael Hartman
- [Design] [REPOST] Food in MMOs Kiztent
- [Design] [REPOST] Food in MMOs Jean, Yannick
- [Design] [REPOST] Food in MMOs Michael Hartman
- [Design] [REPOST] Food in MMOs Vincent Archer
- [Design] [REPOST] Food in MMOs Dave Scheffer
- [Design] [REPOST] Food in MMOs Tess Snider
- [Design] [REPOST] Food in MMOs Michael Chui
- [Design] [REPOST] Food in MMOs John Buehler
- [Design] [REPOST] Food in MMOs Morris Cox
- [Design] [REPOST] Food in MMOs Dana V. Baldwin
- [Design] [REPOST] Food in MMOs Matt Chatterley
- [Design] [REPOST] Food in MMOs Dana V. Baldwin
- [Design] [REPOST] Food in MMOs Michael Chui
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death Steve "Bloo" Daniels
- [DESIGN] Perma-death Nick Koranda
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Damion Schubert
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death Steve "Bloo" Daniels
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Steve "Bloo" Daniels
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Tess Snider
- [DESIGN] Perma-death Cory Cohen
- [DESIGN] Perma-death Matt Chatterley
- [DESIGN] Perma-death Craig Huber
- [JOBS] Areae hiring Raph Koster
- [DESIGN] Perma-death Phillip Lenhardt
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Tess Snider
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Tess Snider
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Dave Scheffer
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death Dave Scheffer
- [DESIGN] Perma-death Matt Chatterley
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Caliban Darklock
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death cruise
- [DESIGN] Perma-death Caliban Darklock
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death Peter Keeler
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death Peter Keeler
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Peter Keeler
- [DESIGN] Perma-death Michael Chui
- [DESIGN] Perma-death Soy weiser
- [DESIGN] Perma-death Ammon Lauritzen
- [DESIGN] Perma-death Jeffrey Kesselman
- [DESIGN] Perma-death Ammon Lauritzen
- [DESIGN] Perma-death Dana V. Baldwin
- [DESIGN] Perma-death John Buehler
- [DESIGN] Perma-death Hans Häggström
- [DESIGN] Perma-death cruise
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Adam Martin
- [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Morgan Ramsay
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Sean Howard
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Adam Martin
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Sean Howard
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Mike Sellers
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Michael Zenke
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Sean Howard
- [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Mike Rozak
- [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Mike Sellers
Mike Rozak wrote:
> Mike Sellers wrote:
>
> > it levels out at 100K or so, which may be generous. At $15/month,
> they'll
> > pull in about $18M/year in revenue. With a solid gross margin (50% is
>
> This one has been puzzling me. Obviously, Sigil management did the math
> and
> decided they couldn't keep Vanguard alive on the money that was coming in.
> 100 employees = $5M-$10M to keep around, and your numbers imply they'd be
> brining in $9M/year... if I were Vanguard management, I wouldn't have sold
> with those numbers.
You have to figure an average loaded cost of about $12K per employee per
month - maybe a little higher since they're in California, but certainly no
lower than about $10K. So you're looking at $12M-$15M right there for 100
employees.
And remember that Sigil was funded largely by Microsoft and published by
Sony -- both of those doubtless had their cut of revenues (not profits).
Finally, in a business like this, especially at the start, you have to spend
ahead of users - so Sigil had to buy servers, hire CS people, etc., in
anticipation of revenues from players they hadn't yet gotten. This can
present not only a cash crunch but also a degree of overspending that it can
be difficult to recover from.
> Repayment of bank loans might be a problem, but I doubt there were any.
Bank loans? Ahahahahaha. Whew. Thanks.
No, seriously, no bank is going to fund the development of an MMOG. Sigil
has other investors (notably Microsoft, possibly others I don't know) who
may have pay-off deals (rather than straight equity deals), and Sony as
publisher surely carved a large slice off of any revenues that came in.
> So, the math doesn't add up in my head.
>
> Another scenario is that management decided that instant cash from a
> sellout
> was better than years doing it hard... but given the little I know about
> management, that doesn't make sense either. They seemed to be in it for
> the
> game/vision, not the quick buck. (But did VCs/Microsoft still have input?)
I can't imagine the Sigil management was in this for a quick buck; this
business is much too difficult for that, and as you say, they were
definitely there for the Vision.
There's no telling about the internal dynamics (despite what we've all
read), but I'd have to say that cash flow and prospective revenues were at
least the acute cause if not the root cause.
Mike Sellers
- [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Mike Sellers
- [NEWS] Sigil / Vanguard fallout ... the ex-employee interview Caliban Darklock
- [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Mike Rozak
- Fwd: [NEWS] Sigil / Vanguard fallout ... the ex-employeeinterview Adam Martin
- [DESIGN] Mechanical support for socializer playstyles Ian Hess
- [TECH] Creating games with Worldforge Roger D Vargas
- [TECH] Creating games with Worldforge Alistair Riddoch
- [TECH] Creating games with Worldforge Roger D Vargas
- [TECH] Creating games with Worldforge Tess Snider
- [TECH] Creating games with Worldforge Roger D Vargas
- [TECH] Creating games with Worldforge Lachek Butalek
- [TECH] Creating games with Worldforge Tess Snider
- [TECH] Creating games with Worldforge Roger D Vargas
- [TECH] Creating games with Worldforge Tess Snider
- The Merits of Text Chat (Was: Importance of emoting) Michael Hartman
- The Merits of Text Chat (Was: Importance of emoting) Matt Chatterley
- [Design] Alternatives To Advancement Systems (was Food in MMOs) Caliban Darklock
- [DESIGN] Essence of a MMO (was 4Cs) Dana V. Baldwin
- [DESIGN] Essence of a MMO (was 4Cs) Caliban Darklock
- [DESIGN] Essence of a MMO (was 4Cs) Sean Howard
- [DESIGN] Essence of a MMO (was 4Cs) Dana V. Baldwin
- [TECH] Server Side Scripting Roger D Vargas
- [TECH] Server Side Scripting Caliban Darklock
- [TECH] Server Side Scripting Richard Tew
- [TECH] Server Side Scripting Ammon Lauritzen
- [TECH] Server Side Scripting Jeffrey Kesselman