The Epic vs Apple court drama is cracking much of the company’s business practices wide open. In the legal documents, it is revealed that Tim Sweeney’s company tried to pay Sony $200M+ for an exclusivity agreement on the Epic Games Store.
The EGS model is a weird business model that tries to bank on the so-called “Fortnite money.” Their move to fight Steam’s dominance is two-fold: offer free games and pay massive amounts of money for storefront exclusive games.
So far, documents show that the store has lost money with its current business model. Even then, it seems their strategy is working as they’re gaining ground against Steam.
Some companies, like Microsoft, are even pushing their splits to match Epic’s offerings. Now, the same documents used in the Epic vs Apple dispute revealed more details about the company’s inner workings.
From the court documents, Epic once tried to offer Sony as much as $200 million for PC exclusives. The details on which games remain unstated but the crux of the offer lists “$200M MG+ for 4-6 titles”.
The bid of the Epic Games Store for first-party Sony titles remains unknown. The bid came before any handshake agreement they had, like the $200 million investment the latter did.
MG+ in EGS terms refers to their “minimum guaranteed” exclusivity. This detail means that Epic wanted to pay at least $200 million to the company simply for signing up. No matter how good or bad the title does, the studio will get that sum.
The MG+ with Epic is a standard for all their deals, especially with big studios. The 200 million offer does not indicate for which games they are asking. Such an amount for 4 to 6 titles does not work, considering the value of Sony’s first-party titles.
It also doesn’t make sense for it to be a title or two unless it’s for Sony’s AAA games. Right now, Epic has ReadySet Heroes as exclusive, while Predator: Hunting’s exclusivity already lapsed.
Playstation already released quite a few titles for the PC but not as an EGS Exclusive. Horizon Zero Dawn is among them and it is on both Steam and EGS. Days Gone is also coming to PC, but it’s also coming to major PC platforms, including the Epic Games Store.
Featured image courtesy of steamXO/Flickr
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