As Epic's management team heads west for the annual Game Developers Conference in San Francisco this week, GamePro's Travis Moses writes that Microsoft will buy the fast-growing game technology firm for $1 billion this summer.
Pure speculation ..
This would be big. But I doubt that will happen. Then Again, Microsoft's pockets run deep. The most dangerous thing about Microsoft is how deep their pocket runs and I've learned to never say never..so yeah could happen. Oh and one more thing, Microsoft need to acquire new studios as well and that is why this rumor might be more than just a rumor. PS: GDC is also like 2/3 days away and we all know most of Microsoft's planned announcements are usually leaked out before GDC so hmm. Still a rumor though.
@decApitator Doesn't GDC start today?
Oh snap. You right brah. It starts today but I dont think a lot of things have been planned for today though but damn. I totally got the dates wrong. EDIT: But Microsofts conference is on the 20th I think. Most of the Megaton stuff that gamers would want to see will not be happening soon until 2/3 days ahead.
Hmm, I thought MS was selling their studio's.
Like what they did with Bungie, they don't own Bungie anymore do they?
MS buys everyone out. Even though they haven't bought a developer in a very long time. It seems to me that Sony is doing most of the buying recently. MGS is really small. Sony owns a bunch of studios.
Why does everyone get mad at ms for spending and not "competing"?
You know why sony and microsoft don't buy konami, capcom and epic? Because they wouldn't turn a profit! Why? because they make money making multiplatform games and engines. If capcom was nintendo exclusive for example they would be bankrupt in a week (that's one of the reasons why resident evil 4 went to the ps2/pc)
anyway EPIC had a deal with SONY containing 3 section : 1-Optimizing UE3 for PS3 2-Time exclusivity for UT3 3-UNKNOWN ! hope to see a New IP from them for PS3..
A purchase is possible and yes Microsoft and Epic would continue to make money. The article already said Microsoft would collect royalties from the sales of the games on the other platforms. MS could be stingy by allowing the Unreal technology be only created for PC and Xbox brands and I wouldn't put it past them and I wouldn't lose any sleep over that happening because I respect MS, but I also don't see why MS wouldn't allow Epic to sell rights to other companies to use the Unreal tech because as was said in the article, both companies get money for every game that uses that tech through the royalties. So on muliplatforms, means only more money.
As much as I love unreal tournament and gears it doesn't mean i particularly loves every game epic puts out. Before Gears most xbox fans didn't really like Epic that much anyway outside of PC gamers who converted. Most people I talked to were die hard halo fans and didn't like unreal tournament before gears came out. Then when gears came out they all converted and Epic became a godsend. In my opinion it would be a waste of money for Msoft to purchase Epic when Gears seems like it would be their only redeeming series for the console when it's already been exclusive. On top of that it wouldn't be that smart a decision for Epic either. Epic has been known to disagree with a lot of Msoft's policies lately regarding their online infrastructure for consoles and pc. On top of that they are constantly making money from various studios who want to license their technology. Why limit yourself and give everything you've worked for to someone just for a quick buck. It's like doing short term stocks over long term. One gets you cash quick (in this case a possible billion), but the other gets you more money in the long run and solidifies your status in the industry.
i wouldnt be suprised. Msoft is more than capable of acquiring epic but you have to ask does epic want to be acquired. With the success of the unreal engine epic is making tons of money even if games like unreal tournament havent been doing so well. I am not so sure epic and msoft relationship is that great that they are joined at the hip considering strong support they seem to have for the playstation as well with mods and all. Msoft needs to acquire more studios its hard to get 3rd parties to give you exclusives unless you have publishing rights. Sony has been slowly acquiring one studio after the other if given the chance they would acquire insomniac, ninja theory and all the other 3rd parties under soem publishing deal with sony. 1st they have to give them a successful franchise though. They purchased zipper to keep the socom series exclusive then they purchased motorstorm because of the strong success. I imagine sony will make attempts to purchase insomniac even though insomniac dosent want to be purchased. Msoft should at least reach out and try to purchase epic to at least keep gears of war exclusive. With talks of mass effect 2 coming to ps3 and gears 3 coming to ps3 this will give more confidence to xbox supporters that 360 still has tons of exclusives
Microsoft really NEEDS to do that. That one single move alone would immediately gives Xbox 360 a huge boost and advantage over the PS3; and right now, Microsoft really needs to make a big, spectacular move to rejuvenate Xbox 360. C'mon, Microsoft, forget about Yahoo. Buying Yahoo seems like a AOL-Time-Warner kinda deal. Buy Epic instead, and the government wouldn't even bother to block the deal.
This would be a smart move by MSFT. And not just because of the games that Epic develops. The real prize here is the Unreal Engine. Imagine all those Sony developers who are currently licensing Unreal having to essentially pay MSFT for the engine for their game? Imagine an Unreal Engine optimized for the 360... imagine an Unreal Engine built exclusively for the next Xbox.
It actually makes sense for MSFT to get this in-house. It would be a MAJOR COUP.
the companies using the Unreal Engine for PS3 games, nothing would change...the money would be going to microsofts pocket.
MS wouldn't change that, its just business and the aim is to make money....there are other engines out there and it would make no sense for MS to cut them off.
Its just business in the same way Sony will let MS build BlueRay addons for the 360.
One is just a game studio that would basically only give them money in their gaming division while Yahoo would allow them to save billions in advertising and marketing. They could use Yahoo in many ways to make money for the entire company rather then just one small division that doesn't really make as much money as the others anyway.
that would be a megatron, i wonder how may people would start saying epic are rubbish after them all praising them after UT3.
they make the two biggest FPS out there...gears and unreal.
Ravinash I guess you have no clue what FPS means? Or otherwise you wouldnt call Gears for being FPS. Gears is third person shooter. FPS-First person shooter. That means "FIRST PERSON" shooter!!! USe some brain next time
Like I mention once on the forums.... MGO and Gears are FIRST PERSONS SHOOTERs... why? because I shoot the first person I see lol =P Is just a joke =D
I do know what FPS stands for...I was just responding to cloud360-13th_acount comment which has since been deleted by the mod.
Don't be so anal next time!!!
And did it ever occur to you that maybe some people really care if its an FPS or TPS???? I know I don't....it still a guy running round with a gun.
I know so of you guys get totally wound up on every little details about these games, but to start arguing about what category the game fall under...I mean come on!!!
I'm tried and I'm cranky.
so in other words they dont want to share UT games or any future games coming from Epic at all?
MSFT knows that they'll continue to be on the "bad side" of Epic due to them not fully supporting (if they support it at all) user-created content. The buying of Epic means that MSFT will determine what can and cannot be. Meaning that most likely all mods will be created by Epic and maybe some other MSFT Game Studios designers and sold (yea I said SOLD) over Xbox Live.
It's funny, but considering Epic's past criticism of Microsoft, it's highly unlikly - the free maps for Gears of War and then Unreal Tournament III pretty much canned for 360 because of the way Live works. If Epic want to retain that freedom, Microsoft aren't going to offer it.
I was thinking that too, MS does need to acquire more studio's though. Probability 30 % I would say.
Most of Epics games are produced for both consoles. They simply make more money this way. Therefore, Epics Board of Directors will refuse all initial bids from Microsoft. But, If Ms wants them, they'll increase their bid and eventually buy it, but that will mean that Microsoft will in fact lose money in the long run... But, that car salesman (MS new CEO) is not gonna care about shareholders money, since he probably thinks 1.5 or 2 billion is not a big deal for Microsoft.
thats what i was thinking
If you think little spats over mods and the price of maps would keep something like this from happening, you're nuts. Again, the big thing here is the Unreal Engine and how much revenue that brings in.
The major concern with this would be whether some of the big name guys, like CliffyB, would jump ship if it happened.
But let's face it, this is a business decision, which involves a TON OF MONEY. The Epic guys would stand to make major bucks on a takeover bid from MSFT.
So don't kid yourself about free maps and user mods, this is about money... and potential domination of the Engine marketplace. Essentially, Sony developers who license Unreal today would be paying MSFT for that privilege.
...we all know its gonna happen...
The sites dumb, still thinks Microsoft own Bungie.
Money would probably drive the decision, but they dont like some of the stuff Microsoft does. They dont like how Games for Windows works, they love user generated content, and they love treating their fans to free stuff. All of which wouldn't happen if they joined Microsoft. And why would they want to be bought out? They continue to pull in money with UE3 licensing, and they have the freedom to do what they want.
So, once again Microsoft doesn't want to have to hassle with actually "competing" but instead wants to buy up more and more so that they technically own the entire industry? Whats that? Is that an entirely new set of anti-trust lawsuits on the horizon?! RUN!
lol.... don't Sony own more game studios than microsoft does? anyone sudgesting that Microsoft has a monopoly in the game industry is an idiot... if anything microsoft own less and less (bungie anyone)... I hate people's double standard in this site... though Sony owns like 70% more studio than Microsoft in the game industry... they accusing microsoft of monopoly but completely ignore Sony when it comes to this.
Ashta you're a retard. Sony owns more studios than MS and i seriously don't think they got them for free.
Microsoft spends $8 Billion on R&D every year, and they employ more PhDs than any other entity on the planet.
Please take your irrational hate >>>
If Microsoft did buy Epic, would this mean that they could stop the Unreal engine being used for PS3 games?
developers wont need unreal engine insomniacs engine is sooo far better look at resistance 2 - comment edited by mod for inappropriate posting -
The reason devs use UE3 is because it's cheap and easy to use and is really good.
Look at the 5 concept art screens for Resistance 2 and you can see how far the engine for insomniac has come. riiiiggghhtt.
Gears >>> RFOM
3 Disagrees and No Agrees to 11.3?
A) 86 > 94?
B) 94 > 86?
Playstation 3: Resistance: Fall of Man (2006) 86
Xbox 360: Gears of War (2006) 94
Only on N4G is B the correct answer. SDF engage!
Epic won't let that happen, they're making enough money on their own and don't need "big brother" over their shoulders
Money makes everything happen..
Like PirateThom said...I know for a fact that CliffyB isn't very happy with the way Microsoft conducts its game business...unless it was a hostile takeover, I don't see this happening.
It's Mark Rein, not Cliffy B
Why not just locked down every Gears of War sequel with Epic instead? I don't see how purchasing them is a good move for MS when most don't care for their UT engine. Unless of course MS has a crystal ball and somehow feels Epics next UT engine will revolutionize the industry.
I see some of you seem to think this is a good move but I was dumbfounded just reading the title "Could Microsoft acquire Epic games?"
The first thing I said to myself before reading comments is why would they want too?
I agree, seems like their money would be better spent buying exclusivity and exclusive contents. That has been the 360 most effective "weapon" to date and only one left going forward.
dosent ms own the rights to the gears series since they published it and all ?
no, Epic owns the IP for Gears, but microsoft publishing it does not give it the rights, just exclusivity-its like Bioware and Mass Effect kind of
"most don't care for their UT engine."
Right. Who are these "most" people you talk about? You certainly dont mean developers, because they are using Unreal Engine all over the place, in numerous genres, and there are many UE games coming.
And, you cant mean "most" if you mean Gamers, because Gears of War was a massive hit, and UT is too, and there are many many very well regarded UE games.
Who is this "most" you mean? If you mean jilted PS3 fanboys, then yes, I'd agree.
"and only one left going forward."
RealityCheck. Yeah, you clearly need one.
The article and above comments already state how good a move this could be for microsoft but I think Epic would do better on their own.
To begin with, Epic's entire philosphy of open customisable games(in the form of Mods, taditionally) completely contradicts microsofts closed, highly regimented platforms. Epic has seen a real oppurtinity to expand this "open-ness" to the console world with the PS3 so to close that off would be a mistake. Unless, of course, being part of microsoft would allow Microsoft to ease up on their controls or at the very least develop ways to more closely police their gaming network once they have opened it up a bit.
Next you would have to consider the potential lost revenues from the Unreal Engine. Yes, I am sure MS would still offer it out (even for none Xbox games) but probably at marked up licencing fees and who would be surprised to see that future iterations of the engine would strangely always work better on MS hardware rather than competiters? Plus independant gaming companies would always prefer to buy an engine from another independant company where no biases would ever be involved.
I think Epic is on a good role at the moment being a great independant developer I hope they don't cash that in.
Overall though I think it would be a great move for MS.
"completely contradicts microsofts closed, highly regimented platforms"
Huh? What console has User Generated Content today? Halo 3 has Forge. Forza 2 has user-created cars and allows users to auction them to one another.
Did Sony ship the tools necessary to do UT3 mods yet?
Microsoft has been built on enabling 3rd parties. From the very first days, MS was founded on partnerships and being open to 3rd parties. When the world was dominated by OS / Computers from single vendors (apple, commodore, digital, HP, and on and on) MS did something different: It wrote an OS who's purpose was to be extended to work with new hardware.
Have you ever heard of Visual Studio? Why do you think Windows is so widely used? Because it is a tool that you can apply to solve your own problems.
You're notion of what MS is like is totally clouded by irrationality.
they defenetley have the power to do it, so it could happen.....
EPIC and MSFT haven`t been seeing eye to eye lately.
i doubt it, but who knows?
It's amazing how many retards think Microsoft can just dowhatever they want. The truth is they don't have an endless supply of cash. Especially not to waste on gaming. They have bigger problems to deal with now. That problem is named Google. Gaming doesn't even make Microsoft any profit. If they're lucky right now they're breaking even but I think they're still losing money on gaming overall.
I guess as long as Microsoft has billions in cash people like this idiot will keep talking about them buying everyone up. I don't think Microsoft is thinking about that anymore though. They're more worried about finding a way to steal Yahoo. I still don't see how that deal helps them. I hope they end up buying Yahoo though and seeing no gain from it. It would be nice to see Microsoft fall like IBM did years ago. Time for a new company to take over the computer industry.
has been making profit on the xbox 360 for about a year now. it the 2nd most bought consol this gen and has the highest attach rate 7.4 games to every owner.thats a lot. dont u think thay cant buy epic.
u sony droids dont want to see it because you dont want it.
(disagrees coming in) true though:)
They can't do whatever they want, there are limits. Now that being said I don't think MS has reached that point yet. As to making a profit I still want to compare the amount of money they spent on the extended warranty and what that cost means to consoles sold. Personally I think they are just now actually making a profit on each unit sold. Before you go crazy on me look at the total number of Xbox360's sold versus the total money spent on extending the warranty. I don't think RROD is much of an issue with the new boards but that was costly and not just to the units sold then. I personally think MS does need to worry with a few other things right now, buying companies left and right (Yahoo! attempt) will cause financial strain in an economy that is facing a major recession, but I also feel if they want to buy Epic for a billion they will and can...but even Billy's pockets aren't bottomless. Not all Sony fans are blind to what MS can do, as not all MS fans are rabid either.
"has been making profit on the xbox 360 for about a year now"
That isn't true, it's a myth. The 360 is making a profit as far as the 360 costs less to make than it sells for. But Microsoft has lost billions from their gaming division so it will take years for the Xbox to make Microsoft a real profit.
Well if it happens expect Epic's games to go down hill very very quickly.....
Or maybe Fable, PGR or Ninja Gaiden? Yeah, because we all know those low scoring, non selling games just arn't worth it.
Take some Xanax, because it's obvious your scared sh!tless over this rumor.
You talk about those games as if they were awesome... lol. I remind you that Gears of War was made when Epic wasn't yet a part of MSFT, no wonder it doesn't suck as much as the overrated Halo. PGR? Fable? Please, there are much better games of those genres. Gran Turismo anyone? Oblivion anyone?
More in the lines of Perfect Dark and Conker, dipsh1t. I rest my case
Yes, it's funny how all of Rare's Xbox games have been crap. No wonder Nintendo dumped them. What a horrible investment that was for Microslop.
MS needs to make HUGE moves for the Xbox 360. And getting EPIC is a leap forward. Gears 2 is SURE to come this year.
But i Have a feeling there is 1 GAME that will be the "Bioshock" of 2008...and that is "ALAN WAKE". Which is exclusive for the xbox 360.
LOOK IT UP GUYS. It will be a SUPRISE HIT.
censor bypassing? h4x
The games made with those companies are more Xbox friendly anyway, and get most of their sales from the Xbox.
One thing for sure is MS is going to buy up someone this year, bet on it. Don't know who it will be but but I expect it to be a big one.
I personally believe Microsoft should concentrate on their core business which is making software. I believe It'll be better for the company (from a financial point of view) to abandon its 360 division and only make software (games) for Sony and Nintendo.