Smaller subscription deals and the underperformance of certain titles have had a severe impact on Devolver and TinyBuild, says stockbroking firm Goodbody.
Both companies floated at the peak of the games business in 2021 and have seen their share prices plummet over the past two years. Devolver has seen its share price drop 92% since its peak in January 2022, while TinyBuild’s has fallen 95%
“We have seen from Devolver and TinyBuild that subscription is under pressure at the moment,” says Patrick O’Donnell, technology and video gaming analyst at Goodbody.
"The cheques coming from Sony and Microsoft are just not as big as they were. And that creates problems if you’re concentrated on that side of the market.
“TinyBuild, of all of them, was most exposed. Devolver was exposed, but not quite as much.”
Unfortunately, basically no game on these services, will ever get what a customer paying full price would net them.
The same goes for music. There’s simply less money to go around in the subscription model.
Hmm with the game i agree but with the music i basicaly buy a full cd every month. And i doubt pepole were buying a cd every month. The only controversy to me here is the revenue sharing model which seems to be shitty on some of the platforms( like Spotify wich i would probably ditch for tidal if not for the amazing discver weekly )
Right but that has the same problem as video game pricing. Ten bucks is a lot less than it used to be.
And do you listen to just one album a month? I don’t think so.