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Pachter: Microsoft Paid "$100M Or Less" For Gears Of War, Probably Xbox One Exclusive

iGR: "This morning Microsoft secured the rights to the Gears of War IP. A move that caught many off guard. Most folks are cautiously, or even openly, optimistic about the IP moving forward in the hands of Black Tusk Studios. Immediately after seeing the news about Microsoft’s purchase, I reached out to Michael Pachter for his estimate of what MS ultimately paid Epic Games to fork over the IP."

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NYC_Gamer1397d ago

That's cheap for a franchise that sells millions of copies

1397d ago Replies(9)
Team_Litt1397d ago

Phil Spencer says the games have generated $1bn so 100 m or less is not a bad sum to pay.
This means any revenue from Gears 1 - Judgement from here on out goes towards MS. Also means we might see more gears games coming to games with gold.

3-4-51397d ago

Doesn't mean they will generate that much income in the future. It's kind of grown stale

ABizzel11397d ago

@3-4-5

As long as they don't release a trilogy every generation it should be fine, but I don't see that happening.

Which means they need to get a real writer in there to expand on the Universe, and create a new meaningful cast of characters. After that fine tune the gameplay, and add new features, and Gears should be just fine.

hellzsupernova1397d ago

A bit of a steal really I suppose.
@abizzel1 of course it is going to be another trilogy are you kidding me, look at halo, fable, forza and gears last gen of course they will make another one.

Megaton1396d ago

Yeah, couple years from now Microsoft might feel generous enough to put Gears 2 on Relics for Gold.

Kavorklestein1396d ago (Edited 1396d ago )

@3-4-5
They may be stale in a sense, but let's be honest, even the worst Gears of War game is on par with the BEST Killzone or Resistance. Now Sony has the Last of Us, and that is a VERY valuable notch in Sony's belt, but don't bash Gears... Gears is why Sony is even TRYING with The Order..

+ Show (2) more repliesLast reply 1396d ago
scott1821397d ago (Edited 1397d ago )

Gotta hand it to Microsoft on this, they made a very good move. It is a great thing for their system to have this quality franchise first party. Now just take it back to it's glory days, which I'm sure they intend to. Can't wait to play some horde mode with my buddy on his X1.

mcstorm1396d ago

I agree MS are now starting to come up with the new ip's and also redoing some old ones too. I think we will see more of this from Microsoft this generation and im glad I picked up a xbox one.

1397d ago
Muffins12231397d ago (Edited 1397d ago )

Or previously sold millions of copies,it dose not have the momentum of halo or mario so its not like every title is gonna sell millions and millions around it.Ever since gears of war 3,the sales have gone down and down for the franchise,now im sure they will be able to at-least sale 2 or 3 million each but im doubtful if it can sale like it use to(5 million +)
And if you did not know judgment only sold 1.7 million,the first gears of war sold like 7 million.So $100 million if not less for that franchise is a fair price if you ask me.
I feel like the next gears of war will have allot more hype than judgment so i see it selling about or around 3 million,if it were to come out fall 2015.I mean its next gen,running on unreal engine 4,new dev team,i think it will bring some life into the franchise and if they do well it could match gears of war 2 sales.

Ashby_JC1396d ago

Only time will tell.

And what they actually come up with.

From a PR standpoint I understand why they made the purchase. It would have had a huge impact in a negative way if this franchise in some way ended up on a PS console.

I for one never even played GeoW 3 that much. Did play 1-2. Was never a HUGE fan of the series but I understand what it means to have a flagship franchise attached to your company/console etc.

From the article it will most likely be 3 years before we see the game. But Im sure they will come up with a teaser for it to show at maybe not this upcoming E3 but E3 2015. And maybe like a 2016-2017 release.

Im not going to guess sales at all until I actually see what they do with the story etc.

As for GeoW Judgement...never had interest. It felt like a spinoff game that was not promoted as being a must have IMO.

Picnic1396d ago (Edited 1396d ago )

Not cheap for a series that I've never been given a good reason to play over any other series.

Like Bioshock comes out and it's - art deco optimism gone sour. Interesting.

Uncharted comes out and it's - Indiana Jones. It's Lara Croft only more polished looking and filmic. Interesting.

Dead Space comes out and - actually, bad example. The most derivative series in the world.

gman_moose1396d ago

I don't understand why they didn't just buy Epic. Would have made more sense to lock up a third party developer who they've had good relationships with, and all the while securing Gears AND rights to whichever new IP's Epic had up their sleeves... not to mention unreal, etc. Buying just this franchise may seem like a good business move, but when you take into consideration the 100 mil for the rights, then the funding of the development on top of that, the new gears will need to sell quite well for MS to make any money on it.

Ashby_JC1396d ago

Im sure that 100 million was also to make sure that the game stayed on XBOX systems.

As for buying EPIC...was it even for sale?? From what I have read...doesnt EPIC want to stay independent??

And if they just sold a IP for $100 million imagine how much they WHOLE company is worth??

MS has shown that they just dont buy up studios just to pad there stats or whatever you want to call it.

Me....I would rather fund games etc..basically do what MS does.

I am a business owner and I can see that owning a bunch of studios is probably more of a headache then just buying exclusivity. When you own you have way more risk and responsibilty.

gman_moose1395d ago

I see your point, but now whichever new IP Epic comes out with will be multiplat. Even if Gears is locked up, it's gotta suck for MS to see this. Then again, Sony went through the same thing with Insomniac.

JasonKCK1396d ago

I was honestly expecting it to be a heck of a lot more.

DevilishSix1396d ago

I am not arguing wether it was worth it or not, it diffently is alot of cheddar, but for $100 million you could development a new world class IP like Watch Dogs that has more future upside and no franchise fatigue. I enjoy Gears but after judgement I felt some franchise fatigue and would be just fine without another title for many many years.

+ Show (6) more repliesLast reply 1395d ago
Ps4marksthespotnotX1397d ago

What a waste of money, just like the $50 million dollars they bribed rockstar with for GTA IV downloadable content and then the game disappointed and i don't think anybody really cared about the downloadable content.

MadSientist891397d ago

lol comparing DLC to a Franchise..

Ps4marksthespotnotX1397d ago (Edited 1397d ago )

LOL at ms paying $ 50 million for dlc

mhunterjr1397d ago (Edited 1397d ago )

I don't know if your analytics are off or if your just trolling (or some combo of both), but gears has grossed over $1billion. $100mil or less would be a pretty good deal...

notyobizhwispndmymny1397d ago

Look at his name and that should give you your answer.

truefan11397d ago (Edited 1397d ago )

So a game that could sell at least 3 million copies by the time it's released is a waste of money, and this is being conservative because of judgement. GOW 1,2,3 all over 6 million sold. I hope you didn't study finance in school. All they would need to make is a little over $30 per game if they sold 3 million copies and that doesn't even include the amount of systems it could help sell if bundled along with those epic GOW controllers.

Muffins12231397d ago (Edited 1397d ago )

Technically gears of war 3 sold 5.97 million but we will just say it sold 6 million lol XD
You know im sure .3 units where sold digitally so it probably would be 6 million hahaha

Software_Lover1397d ago

Microsoft gave them money so they could finish the game. If you remember, around that time there were bankruptcy rumors. In return they gave them timed DLC.

Muffins12231397d ago (Edited 1397d ago )

The dlc was pretty damn good.That,call of duty mw2, and the fallout dlc kicked ass( which Microsoft also paid early for).Which actually made me want a 360 even more which i bought it when i was 15 at the time I think.I mean the original reason was halo and gears but the DLC was that extra pushing point for me. I admit they could of used the money they spent better than dlc but i wouldn't of bought a 360 in the first place if it was not because of that,so you can lol at how they "wasted" that money when really it got me and my friends to buy that console.

Games_R_Us1397d ago

Remember though GTA was a Sony only game before that and PC, never on Xbox, so getting GTA4 took a lot of effort and then securing a caviat for MS gamers was a great decision. Sales of GTA4 on 360 were impressive and enough to take away a key franchise from Sony so it was money well spent. Whats $50m when you sell 5million games at $80 each = $400 million in income, less costs it still is a no brainer.

hkgamer1396d ago

GTA did come out on Xbox, but really late in the cycle.

I agree with you on other poiints though.

GTAIV sales on 360 were impressive and I think was higher than PS3's. Which means it was a good enough investment there.

GTAIV sold 10 mil on the 360, if Sony had been agressive and locked GTAIV as a PS3 exclusive then they probably would have attracted 10 million 360 owners to buy a ps3. Sony did screw up on keeping exclusives last gen.

ALLWRONG1396d ago

Not MS's fault Sony is broke with "junk status" losing money every year. If Sony had actual money to spend they would. So if MS wants to spend millions on gaming it's because they can.

DevilishSix1396d ago

LOL another equity manager thinking he knows what "junk status" means. IT refers to their corporate bonds and has nothing to do with their equity position or stock price, idiot.

Ps4marksthespotnotX1396d ago

Whoa you sound like an idiot, it doesn't matter how many gta iv were sold on xbox 360 weather it was 10 or 20 million it was a useless purchase spending 50Million on dlc, they would have got it anyway and eventually it came to sony ps3 so a waste of money.

ALLWRONG1396d ago

I here Sony is going to publish a financial book, it's going to have 11 chapters.

+ Show (5) more repliesLast reply 1396d ago
BattleReach1397d ago

Can we please stop submitting these Pachter articles?

Naga1397d ago

Agreed. He's not special, so I don't understand why we give him such attention or treat his opinion as though it is so valuable.

ThanatosDMC1397d ago

But we need a good laugh once in a while.

BattleReach1397d ago

yeah but not 3 times a day.

tehpees31397d ago

People said MS need more true exclusives. Their wish has been granted.

kreate1397d ago

"people said MS need more true exclusives. Their wish has been granted"

While I agree w Ur comment.
I think ppl were thinking of exclusives outside of halo, gears, fable.

christocolus1397d ago (Edited 1397d ago )

these arent halo,fable or gears : quantum break,sunset overdrive,d4,project spark,titanfall,ryse,phantum dust and phil has stated there will be more announcements for e3. so its obvious ms is actually listening to its fanbase.

tehpees31397d ago

@ christocolus

Technically Titanfall doesn't count since the IP is owned by EA. True the original will stay exclusive but sequels are almost certainly going to turn to Sony's garden.

I was referring to IPs MS have full control over and Titanfall isn't one of them.

MajorGecko1397d ago

lol i haven't heard WAIT FOR E3 in a long time haha

MRMagoo1231397d ago

titanfall isnt a true exclusive anyway its on 360 and PC and dont come with the MS exclusive crap , the goal posts dont need more moving.

Secondly Ryse was sh!t so why even bring that up.

I think people want to see more genres on the xbone rather than the same tired fps rubbish over and over, unless of course the stereotype is true and xbox gamers only care about fps, but i doubt it.

CrowbaitBob1396d ago

@Magoo

Ryse was "sh!t" if your console of choice is metacritic. Actually playing the game will tell a different story. But to each his own I guess.

As far as variety goes, you can currently get puzzle, racing, FPS, action/adventure, family, fighting, and a crappy strategy/sim game on Xbox One. So you may not find any of those particular games to your liking but pretending that the Xbox One is a one trick pony is a little ignorant.

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1397d ago