Baldur’s Gate 3 Director Challenges Epic’s “Better Deals” Claim, Citing Alan Wake 2

The conversation surrounding store exclusivity and its impact on developer revenue has heated up recently. This follows comments from Epic Games CEO Tim Sweeney and a strong counter-argument from Larian Studios’ publishing director, Michael Douse.

Epic Games’ Claim on Developer Benefits

Tim Sweeney stated that competition between the Epic Games Store and Steam benefits both players and developers. He claimed, “On some transactions, Epic wins. On more, Steam wins.” Furthermore, he emphasized that consumers and developers typically benefit from the increase in options and potential for better deals.

Larian Studios’ Response

Michael Douse responded to Sweeney’s remarks, pointing out the disconnect in the narrative that Epic Games promotes regarding its support for developers. While he acknowledged that Epic fully financed the development of Alan Wake 2, Douse highlighted the financial struggles faced by Remedy Entertainment post-launch.

Concerns About Exclusivity Deals

• Douse believes that Steam could have provided a larger audience for Alan Wake 2.
• He argued that if Epic had allowed sales on Steam, Remedy might have recouped development costs more quickly.
• Douse questioned the sustainability of Epic’s sales strategy, particularly in converting Fortnite’s vast player base into purchasers of single-player games.
• He likened this challenge to mobile app stores, where free-to-play options overshadowed premium game sales.

Implications for Alan Wake 2

In this case, the exclusive publishing agreement helped bring Alan Wake 2 to market. However, it reportedly took nearly two years for Remedy to achieve profitability. The game’s avoidance of both Steam and the Nintendo Switch raised concerns among industry observers. Many believe a release on Steam could have substantially enhanced sales, alleviating financial pressure for the studio.

As the debate continues, the long-term effects of exclusivity on game sales remain a critical topic in the gaming industry. Developers are increasingly analyzing the trade-offs associated with exclusive deals, especially when faced with the realities of market dynamics.