Posted January 21, 2013
That's the issue really, and it's also why THQ went bankrupt. The big publishers just can't cope with not being big, so when it comes to financial troubles it seems they would rather die than downsize.
Simbabluenobi: Maybe CD Project Red could buy up all the failing game companies and move to take over the (gaming) world ... :)
gyokzoli: The bigger publishers usually have debts in hundreds of millions USD. I'm not sure CDP has this much money.
I'm sure a small-to-moderate sized modern publisher could do quite well, instead of having 100+ employees to pay they could have under a dozen employees and instead focus on lower budget games that catered to a niche genre (ie strategy, RPG) and build up a fanbase by being loyal to that genre and not going for a bigger audience.
Paradox (grand strategy) and Stardock (4X space) show this is possible.