250°

Crytek Shanghai Reportedly Closed Following Failure to Pay Rent and Salaries

Crytek’s financial woes hardly surprise us anymore but it continues to pop up in the news every now and then for questionable management practices. The studio’s latest victims are its Shanghai-based employees, who’ve reportedly been unpaid since September 2016.

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playstationlifestyle.net
2568d ago
windblowsagain2568d ago

Unpaid, that just isn't on.

Crytek failed to understand so many things.

A shooter needs more then some fancy graphics and physics. The MP has to be the most solid of all now. They squandered it with Crysis. Although SP it was decent in many places.

Ryse was good, but was never going to be a massive seller. Those types of games never are. 1.4million sold. A second Ryse would be a waste of time.

For the engine they have. An action RPG would have been the right way to go.

Hopefully they can salvage something from it.

EatCrow2568d ago

Ryse still is one of the better games this gen since launch.
I like roman gladiator settings tho.

I believe MS tried to buy Ryse IP afterwards. Hopefully they do before Crytek goes completely under.

indyman77772567d ago

Hopefully they do so AFTER it goes completely under. Because THEN is when they will get the best price. But you may STILL be right because if they pay more for it they will be under pressure to do something with it and to justify spending a lot.

I hope all the FULLS that came on here and DEFENDED Crytek and their slezy executive who called his employees impatient because QUOTE: "it has ONLY been six months since they got paid". How many people can go two weeks without getting paid? There is always sellouts because they liked the game.

krypt19832568d ago

Ryse was a great game the story was solid gameplay and combat was solid, i look at ryse how i did the first arkham batman game, combat was stale because the set of moves was limited but it was a great framework for a franchise. Ryse 2 could of been amazing is they addressed then issues it could have been microsofts god of war. The crysis franchise was amazing the only multiplayer that sucked was 3 and it really didn't even suck you just don't split your multiplayer base when the audience for the game isn't that hugh. I honestly don't know where crytek went wrong they use to be a great company maybe they expanded too much too fast?

Godmars2902568d ago

Pity then that when Crytek came onto the scene graphics were the only thing that mattered.

2568d ago
dkp232568d ago

Sjould of sold ryse ip to ms.

LexHazard792568d ago

You crazy.. Ryse 2 needs to happen por favor.

mark_parch2568d ago

I recently downloaded ryse as it was free with gwg. the game is amazing, super fun gameplay, great story, amazing graphics and a surprisingly good multiplayer. I really really hope there's a sequel. the critics scores really hurt the game. if they had released a demo at launch I think it would have done much better. I think it's criminal how some critics scored it lower than 7.

+ Show (3) more repliesLast reply 2567d ago
conanlifts2568d ago

Someone really needs to buy crytek. It would make sense for ms to do it, but i do not think they will.

Puertorock772568d ago

Why would buying a company that earns little money in games sales makes sense in buying?

Eldyraen2568d ago

Because if crytek had better management and financial decision makers, they wouldn't be in the same position they are now (assumption on my part, but seems likely).

Plus it could give MS multiple new Dev teams at the same time. What they did with them
though is questionable as MS doesn't have the best track record with some of their pick ups/partners (Lionhead/Scalebound being some of the more recent high profile ones).

_-EDMIX-_2568d ago

@Puertor- To flip the IP or to use the studio to create an FPS of an IP they own, ie Nintendo could use them for their own IPs, Metroid or even a new IP.

Think Smash Brothers, means Team Fortress 2, FPS game that has a bunch of Nintendo characters and classes, DK as a Heavy, Samus as assault class, Kid Icarus as Recon and Sniping, Peach as health etc

Don't think of a team as simply an IP, think of a team as a core group of developers that can create a game, doesn't need to be a game that "earns little money" as you are talking about a IP that failed, NOT about a team in general. Yes, their games as of late have sold poorly, well their team direction as been bad, doesn't mean the team is bad or that the team can't produce quality.

We've seen many teams in gaming go from "meh" to OMG very quickly.

Who knows what a great publisher can do with Crytek.

TheUndertaker852568d ago

Because the company is capable of producing games and has gaming products on the market proving their employees did something even with Crytek giving them this treatment. Further those same employees may be able to produce better results with a different engine and company.

Puertorock772568d ago

@_-EDMIX-_

And who's that great publisher? Microsoft? If that was the case what happened with Platinum Games with Scalebound. It doesn't make sense for any company to buy Crytek when the core developers that make up the studio don't develop games that are sell. I can see maybe buying a few talent here and there to build a new studio but to buy them as a whole is a waste.

They're known for graphics but as you can see it didn't help them in the long run. Crytek don't really make appealing games to the masses. Buying them would be a money pit.

TheUndertaker852568d ago

What you're comparing though just doesn't work. Under Crytek Cryengine is king but frankly Cryengine doesn't cut it. It's why they use it the way they do.
https://www.cryengine.com

The team seems to be competent with what they're using. Imagine what they could possibly do with a different, better engine. Crytek as a company can be swallowed.

indyman77772567d ago

Good question. I have a reason. Crytek has a GRAPHICS reputation. Microsoft is trying to make a comeback with a new machine that is good in......GRAPHICS. They have MARKETING that money can't buy built into their name that says cutting edge graphics.

I have a second reaons. Imagine HALO in Crytek graphics on Scorpio, or even Forza or a new IP many people have been calling for new IP's from Microsoft.

I have a third reason.
Look at Sony they have a division that helps many other internal divisions with graphics on games and it helps a LOT. Microsoft can do the same with Crytek.

+ Show (3) more repliesLast reply 2567d ago
_-EDMIX-_2568d ago

https://www.rockpapershotgu...

Maybe Sega, I mean they already bought one of their studios.

2568d ago
conanlifts2568d ago (Edited 2568d ago )

That's possible. MS need more ips and a way to expand the number of games produced, which is why i mentioned them. But i do not think it likely that hey will buy them out. Sega are the most likely if it happens.

_-EDMIX-_2568d ago

@sd11- Agreed. MS can use them for a AAA FPS, they can use them for Halo and let 343 do something else new, they can use them for Ryse etc. That team would be a smart buy, I don't know how much of the Crytek folk in Shanghai did on those IPs though, just a thought.

Sega could buy them based on already buying up one of their teams, who knows. Hope someone helps the out as I can see MS, Sega or even Nintendo needing a great FPS developer for future projects

SaveFerris2568d ago

I hope the employees manage to find new jobs, but can they sue for the unpaid salaries?

EatCrow2568d ago

This seems to be common in the industry...Bit of a shame.

2568d ago
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330°

Square Enix Declares $140m Loss Amid Game Pipeline Shakeup

Final Fantasy VII Rebirth publisher Square Enix has declared a $140m loss based on a shakeup of its internal development pipeline.

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techraptor.net
Furesis16h ago

What are they doing over there? Sounds like they canceled something big. I read a rumor a while back about ff9 remake . Here "Final Fantasy IX has gone through a very challenging development, the game is still in progress but may undergo changes drastic enough that we won't hear about it for a couple of years."
This could be one of the reasons if the rumor is true. That was Silknight i don't know how credible he is but it's something and it would make sense.

-Foxtrot15h ago

I hope IX is still on the cards

Just a straight up remake which they expand a little bit nothing over ambitious

If IX dosent happen then VI and VIII will never be thought of.

Kakashi Hatake4h ago

6 and 8 were way more p popular games despite today's cult following of 9.

TiredGamer13h ago

What are they doing? Sales are falling and the costs are out of control. Big releases need to be absolute sales home runs now, and Final Fantasy sales have stagnated.

Now we know why Square didn’t fall over themselves to remake the original FF7 all these years ago. It certainly wasn’t a license to print money, at least not with what the expectations were. Each of these full on remakes drains an enormous amount of company resources for a razor thin profit margin.

TwoPicklesGood13h ago

Breaking the game up into multiple parts was a mistake IMO.

blackblades12h ago

The loses came from cancelling games nothing else.

shadowT15h ago

Do not miss Final Fantasy 16. Great game!

raWfodog15h ago

I'm waiting for them to release the complete edition bundle, but it's definitely on my list.

PhillyDonJawn14h ago

Wth is going on with the gaming industry?

mandf13h ago

Corporate investors taking everything

TiredGamer13h ago

Not rocket science. Compare sales numbers, development cycles, and budgets to the previous gens. We are all collectively burning up the industry from the inside out. Expectations are ludicrously high now for every release and sales are dropping for even the most prestigious of series.

We used to be satisfied paying $50-60 for a game that took 1/100th the budget and staff to make. Now gamers feel cheated if they have to pay the same for a game that took 100x the budget. We may be reaching the end of the line for this model of gaming.

wiz71919h ago

@tiredgamer I think your point is one that ppl don’t understand and you hit it on the nose .. some gamers don’t want to take accountability but it’s some of the gamers fault the industry is where it’s at .. we as gamers set the standards for the industry not the shareholders , ppl forget that the shareholders and the industry want and need OUR Money. Both the Xbox and PlayStation are seeing a drop in hardware , the industry is very stagnant right now.

Tacoboto11h ago

Speaking to Square:

Turns out their mismanagement wasn't related to the western studios they dumped to Embracer, but their own fault.

With regards to Xbox - a good way to kill your brand is to pull support on high quality titles and only dump B and C-tier titles to it

With regards to PC - Epic Games Story exclusivity for any duration and piss-poor optimization will hurt you.

With regards to FF Pixel Remasters - y'all messed up by barely releasing them on physical, like wtf that was free money!

And lastly, you don't help a franchise by releasing a mainline title that undermines every title that came before it. FFXVI was a DMC-like with bottom-of-the-barrel side quests and I can't imagine that helping Rebirth at all considering its marketing is directly tied to how big that game is.

Tacoboto9h ago

Sony is getting their best titles and with the most polish, so what about it? Nintendo gets their top properties too, for titles that can run on Switch hardware.

It's the other fanbases that get the second- and third-class treatment from Square. If that's due to agreements with Sony, that's not a Sony issue but a Square one for accepting those terms. Sony is doing its best to look out for Sony.

TiredGamer14h ago

The industry implosion is continuing. Sky high budgets, prolonged development windows, stagnant sales numbers, and falling currency values (inflation) are wreaking havoc on the legacy industry. AAA games will slowly become the rarity.

CS714h ago

Sad. Rebirth was one of my favorite games in a long time. Should have sold more.

CrimsonWing6913h ago

Oh I’m with you. What’s worse is they can say, “Well we tried to make this amazing game and spend all this money on, but not enough people showed an interest. So no more of these since we can’t take a hit like that.”

The industry is going to take a dramatic shift. Mark my words on this.

rpvenom12h ago(Edited 12h ago)

I think there is quite a large portion of individuals like myself who held out on buying it on PS5 because I can get it on PC eventually. To be able to mod the game and also have custom graphical settings to my liking

gold_drake2h ago

same

but im not sure if it matters at all. im sure they made sony pay a hefty sum for the 3parter to come on ps5 exclusively. so watever they made in sales, might have come bk in profits for square, but i dont know
and we dont know what "underperformed" even means for square.

Show all comments (31)
60°

Here's Everything I Expect From The Witcher 4's Combat

Danish from eXputer: "The Witcher's upcoming sequel needs to overhaul the series' combat system if it wants to make a big splash among gamers."

on_line_forever20h ago

after what we see ( 2015 - 2024 ) in dark souls 3, blood borne , sekiro , dragon's dogma 2 , rise of the Ronin combat they should really careful and bring very good combat in Witcher 4 this time

130°

Square & Bandai Namco Being Honest About Quality Is A Step In The Right Direction

Saad from eXputer: "After suffering from massive financial hits, Square Enix & Bandai Namco appear to be turning over a new leaf but I'm still unconvinced."

Nerdmaster1d 6h ago (Edited 1d 6h ago )

I was talking about games with some Japanese guys here in Japan, and it seems like around here Bandai Namco has a fame of making low-quality games, with the occasional gem.

About Square Enix, I believe they lack the capacity to improve. They should learn with Capcom (although even Capcom still makes some bad mistakes), but I don't think they ever will. They keep chasing whatever is new at the time (blockchain, AI...) to say "we innovate", without considering the public perception and if these things actually improve the games or not. Them releasing too many small games with no advertising also shows a lack of trust in its own products. Even with their biggest games, like turning FF into an action game with XVI and the very divisive plot changes regarding whispers and timelines in VII Remake, shows them trying to attract a new generation of gamers without understanding what made the series so big in the first place.

shinoff21831d 5h ago

I want a true ff7 remake. With thatcsaid I'm way happier with 7 remake then I was with ff16. I'd still prefer turn based but square keep chasing these Lil kids

Snookies121d 2h ago

Man, it is perfectly fine to prefer turn based. Turn based is amazing. But there's zero reason to call anyone who likes action games "lil kids". Liking one gameplay system over another does not make you more mature in any way.

VersusDMC1d 5h ago

People love the new FF's overall...the problem is the abundance of 7's they release that lose money or make very little like diofield, star ocean divine force, Valkyrie asylum, harvestella, foam stars, etc. Advertising wouldn't have saved those games. Apparently Forespoken had a big Advertising budget but we saw how that went.

shinoff21831d 4h ago (Edited 1d 4h ago )

Star ocean divine force actually sold well from what I've read not ff type numbers but well enough. Was a dope game to.

FinalFantasyFanatic1d 3h ago

Bandai Namco is going to Bandai Namco, I do believe that Square Enix can't change without changing the entire management, they've had these issues for more than a decade and haven't learnt, I have very little faith they can course correct. I'll still buy their better remasters/remakes like Star Ocean 2 though (not FF7R).

Asterphoenix1d 1h ago

Namco is just milking the same Sword Art Online with lack of budget as well as anime IPs that don't go to decent developers like Jujutsu Kaisen and My Hero Academia. Namco deserves their losses and no future Dot Hack or Xenosaga remaster :(.

Square allocated lot of their budget on Forspoken was a mistake. Square always had management issues. Star Ocean 2 was a great remake and I found their recent entries of FF(16 and Rebirth) better than 13 and 15.
I think they were better than 360/PS3 generation where Square went really downhill.

CrimsonWing691d 4h ago

I don’t know why NOW they decide on this, but I guess later is better than never.