BHVR might be in debt
Does anyone know if BHVR is still paying off the rights to DBD from Starbreeze? I know that was all the way back in 2018 but I have a feeling that they might still be paying some debts right now.
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According to this article:
Bhvr payed $4 million, followed by another $12 million in royalties. Considering how Bhvr is one of the more reputable companies that treats their employees well, doesn't overwork and pays a very very good salary, I'd say yeah there's a chance they're still paying this off.
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According to the article Goodboykaru posted "which resulted in three million copies sold with $42 million in net sales", I dont know much about how corporations work and invest their money but I suppose BHVR had more than enough money to pay Starbreeze and do not incur in any kind of debt.
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I'm probably gonna have to pay to unlock the last few tiers of the Rift. That should keep BHVR afloat.
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You're not taking into account salaries, advertisement, and other running costs.
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To add onto what @Orion said, Starbreeze got a cut of that money for being the publishers, and the $12 million they got from the deal was to be paid in royalties- in other words they continued getting cuts of the DLC sales and Auric Cell sales and actual game copy sales until they reach $12 million. It's completely feasable that they've reached this already, but also entirely possible that they haven't and are still paying these royalties.
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I did and even if Starbreeze got a cut of those 42 millions they had to pay 16, I dont really think they needed to get into debt for that operation, especially if we take on account it was a fragmented payment.
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How did you take into account salaries, advertisement, and other running costs? As far as I know, this is not publicly available information.
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I did on a broad sense, I know how much my company pays annually and we are the same number of workers BHVR has, I suspect we get paid similar to what BHVR pays their workers because other videogame companies salaries have been leaked and BHVR cant be MUCH higher than them (we earn more than those leaked companies but not much more), the only thing I cant really know is how much taxes they pay since we live in different countries.
Im not saying they didnt incur in any debt but they had to pay 4 millions and the rest were paid with royalties until they reached 12 more, they had 42 millions benefit, even if they got only 10 around left after cuts, salaries, rents, taxes etc is more than enough to not go into debt to pay 4 millions if they want.
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