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Cyberpunk 2077 launch fiasco has cost CD Projekt founders $1 billion

IbizaPocholo

NeoGAFs Kent Brockman

According to Bloomberg more than $1 billion (£740 million) has been wiped off the wealth of the company’s founders since the launch of Cyberpunk 2077, as the share price of the company dropped by a third.

Short sellers, who profit if the value of a company falls, have seen interest in CD Projekt increase from less than 1% before launch to 8.3% on Monday.

‘There is now a huge scar on the reputation of both the studio and its management,’ said BOS Bank SA analyst Tomasz Rodak. ‘In only a couple of days, CD Projekt fell from the most adored studio to the most hated one. Restoring trust is not impossible, but would need much time and effort.’

Forecasts for game sales over the next 12 months have now fallen from nearly 30 million to 25.6 million, according to an average of nine estimates collated by Bloomberg.
 

jigglet

Banned
I expected an article like this from some clueless publication to equate share price to actual equity value. It’s a sensationalist headline from fanboys who know no better (I don’t deny CDPR has taken a hit and deserve it but the headline tells me they have no fucking idea what they’re talking about...”lost 1 billion" lmao).

(I don’t have cyberpunk, have no interest in it, and have zero skin in this game so I don’t give a shit)
 
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Dr.D00p

Gold Member
Short sellers, who profit if the value of a company falls

starship troopers im from buenos aires and i say kill em all GIF
 
1) Should have never announced the game as early as they did. I would have started teasing the existence of this game in 2016 when Witcher 3 was getting it's second and final expansion.

2) Once initial teasing/marketing of Cyberpunk did begin, CD Projekt should have made it clear from the get-go that it would be exclusive to next-gen consoles and PC. No Xbox One or PS4.

3) Release the game in Spring/Summer of 2021 so that most if not all bugs could be dealt with. Witcher 3 released in May so it's not like they needed to launch during Holiday season.

4) Had all of the above been done, the game would be 95+ on Metacritic, GOTY favorite for 2021, and CD Projekt would continue to be the darlings of the gaming press/industry.

It's unfortunate how corporate greed and investor pressure can ruin even the most historically pro-consumer companies over time 😔
 

According to Bloomberg more than $1 billion (£740 million) has been wiped off the wealth of the company’s founders since the launch of Cyberpunk 2077, as the share price of the company dropped by a third.

Short sellers, who profit if the value of a company falls, have seen interest in CD Projekt increase from less than 1% before launch to 8.3% on Monday.

‘There is now a huge scar on the reputation of both the studio and its management,’ said BOS Bank SA analyst Tomasz Rodak. ‘In only a couple of days, CD Projekt fell from the most adored studio to the most hated one. Restoring trust is not impossible, but would need much time and effort.’

Forecasts for game sales over the next 12 months have now fallen from nearly 30 million to 25.6 million, according to an average of nine estimates collated by Bloomberg.

Yet another journalist that doesn't seem to understand how the stock market works, what the price of a stock means, what market fluctuations are, and what not.

5 days ago , the stock was at PLN 262. Today it is trading at PLN almost 274.

Did CD Projekt RED's founders "make" millions in the past 5 days?

Are the people who write these headlines - and the people who repeat them - briefed with the task of writing the headline that conveys in the most vivid way possible how little they know about the stock market?

Mission accomplished.
 

EverydayBeast

thinks Halo Infinite is a new graphical benchmark
They can roll out of the launch and still make money I’m not putting any stock in these numbers you failed but are the lead story on every website.
 

Cyberpunkd

Member
Ah yes, Bloomberg as all the other media not understanding that drop in share value is not equal to ‘loss’. Must be the same people writing that Bezos has 150bln USD.

Let me check if that Bloomberg piece is actually from a contributor...
 

TheContact

Member
let this be a lesson to the publishers who rushed this out the door when it wasn't ready: it ain't fuckin' worth it
 

dyergram

Member
I’m sure the people at the top that rushed this out the door made a shit load of money and will make a shit load more when they release the next gen version.
 

Dargor

Member
I would say they lost way more than 1b.

The positive mind share they enjoyed can't even be quantified, for one.

How many people, for example, just preordered this game just cuz they trusted CDPR blindly, but next game won't be doing so?
 

oagboghi2

Member
Yet another journalist that doesn't seem to understand how the stock market works, what the price of a stock means, what market fluctuations are, and what not.

5 days ago , the stock was at PLN 262. Today it is trading at PLN almost 274.

Did CD Projekt RED's founders "make" millions in the past 5 days?

Are the people who write these headlines - and the people who repeat them - briefed with the task of writing the headline that conveys in the most vivid way possible how little they know about the stock market?

Mission accomplished.
I'm shocked at how little gamers and "game journalists" know about anything.

It's either ignorance, or they have decided on a narrative and they will say anything to push it.

I would say they lost way more than 1b.

The positive mind share they enjoyed can't even be quantified, for one.

How many people, for example, just preordered this game just cuz they trusted CDPR blindly, but next game won't be doing so?
🙄

I'm sure the witcher 4 will be dead on arrival.
 
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1) Should have never announced the game as early as they did. I would have started teasing the existence of this game in 2016 when Witcher 3 was getting it's second and final expansion.

2) Once initial teasing/marketing of Cyberpunk did begin, CD Projekt should have made it clear from the get-go that it would be exclusive to next-gen consoles and PC. No Xbox One or PS4.

3) Release the game in Spring/Summer of 2021 so that most if not all bugs could be dealt with. Witcher 3 released in May so it's not like they needed to launch during Holiday season.

4) Had all of the above been done, the game would be 95+ on Metacritic, GOTY favorite for 2021, and CD Projekt would continue to be the darlings of the gaming press/industry.

It's unfortunate how corporate greed and investor pressure can ruin even the most historically pro-consumer companies over time 😔
1 - That trailer was to attract new talent and even said so. They don't have the luxury of having a massive talent pool like the US.

2 - How are you going to announce a game for next gen when next gen consoles didn't even exist. I do agree that doing cross-gen games is a terrible idea and seems to never really work out.

3 - Can't really argue with that. I'd go further and say CDPR should just do the PC versions first and worry about console ports later but I'm no businessman. They sell more on PC, it's the platform that made them famous and they've always done right by PC players, who have done right by them by purchasing from GOG or buying at full price.

4 - It's still a massive success and game of the year for many people. The gaming press is a joke and has been for a number of years since they tried to toughen up on review scores and their selective outrage. As long as the outrage doesn't rock the boat too much, they'll posture up and try to look like legitimate journalists when some are really just angling for a job in the industry. I find it hard to take them serious when they chastise CDPR yet gleefully hand Naughty Dog GOTY awards left and right and reference classic, groundbreaking movies from decades past in their reviews and discussions of ND games. Puke.

They're far from ruined. Gamers have shown time and time again they'll take a pounding and still bend over backwards for the next console or game release. Sony and MS swindled everyone into thinking that paying to play online was reasonable and that raising games by $10 to 20 during a global pandemic was as well. Sony has the worst anti-consumer refund policy in the entire industry yet no one batted any eye before. Bethesda and Ubisoft have released multiple buggy games that yes, indeed were worse than anything in Cyberpunk. Not to mention all the microtransactions in every Ubisoft game that are clearly loot that should have been in the game. I won't even get into all the Ubisoft scandals from the past year. NBA 2K is an abomination of microtransactions, poorly made content and bugs yet still sells millions. GTA Online and Shark Cards, not much more needs to be said there. Bioware released two duds in a row with one being an utter disaster (Anthem) yet hype is there for the ME trilogy remaster and the next ME game.

The whole review debacle is hilarious from the perspective of people who primarily play on PC. Welcome to the entire 360/PS3 gen of console ports almost never getting a PC review and releasing in far, far worse states. Not saying it's okay but people are being overly dramatic about the entire release because they're either bored or want to feel like part of something, a hate train that's losing steam. Outrage sells. It sells cheap clickbait articles like the one in this thread and it sells hack Youtube videos from people who act like official authorities and voices deserving to be heard but quickly back away from the responsibility of actual professionals.
 
I’m sure the people at the top that rushed this out the door made a shit load of money and will make a shit load more when they release the next gen version.
Nah, they loss consumers interest and trust at this point. I don't think the next gen editions will even sell as good as they would have if this mess didn't happen.

By the time they release the next gen editions other games will be out plus I doubt they can even deliver a bug free/ premium experience on next gen at this point.... but I hope I am wrong.
 
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Krisprolls

Banned
I expected an article like this from some clueless publication to equate share price to actual equity value. It’s a sensationalist headline from fanboys who know no better (I don’t deny CDPR has taken a hit and deserve it but the headline tells me they have no fucking idea what they’re talking about...”lost 1 billion" lmao).

(I don’t have cyberpunk, have no interest in it, and have zero skin in this game so I don’t give a shit)

But... that's exactly how it works when you evaluate someone's assets. I own shares, when they lose 10 %, I do indeed lose 10 % of their worth. It doesn't matter whether it's cash or not. You can convert both ways instantly by buying or selling shares.

When we say Bezos is worth $190 billion, it means including his Amazon shares. If those shares lose $20 billion in one day because the share price fell, well now he's worth $170 billion, that's factually correct. What companies are worth is given in real time by the share price, that's the magic of stock market.

So CDPR founders actually lost $1 billion in assets worth (if their calculation is right). But they also owned a lot more than that and they probably don't give a shit. That much is true.
 
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SF Kosmo

Al Jazeera Special Reporter
bUt ThEy DiD iT fOr ThE mOnEy.

Cyberpunk wasn't pushed out early for Christmas dollars it was pushed out early because of a toxic work environment where management doesn't want to hear about problems from devs. A culture of crunch, deadlines, bandaid quick fixes, and employees that don't feel comfortable advocating for more time when they need it.
 
2 - How are you going to announce a game for next gen when next gen consoles didn't even exist. I do agree that doing cross-gen games is a terrible idea and seems to never really work out.

3 - Can't really argue with that. I'd go further and say CDPR should just do the PC versions first and worry about console ports later but I'm no businessman. They sell more on PC, it's the platform that made them famous and they've always done right by PC players, who have done right by them by purchasing from GOG or buying at full price.
2. GTA 5 and RDR2, just to name a few are both cross gen games and they run well on all platforms so "cross-gen" isn't the main issue. But I do agree that they shouldn't have released it on the PS4/Xbox one if they couldn't get the game to run well.

3. The install base is huge on console and its pretty clear that they got greedy and wanted that console money at any cost. They were very short sighted in their thinking. If they had just delayed the game further to fix the current gen editions or skipped current gen and make the game PC and next gen exclusive that would have solved this mess but like I said "they got greed".
 

SF Kosmo

Al Jazeera Special Reporter
1) Should have never announced the game as early as they did. I would have started teasing the existence of this game in 2016 when Witcher 3 was getting it's second and final expansion.
So it should be noted that the reason they announced it so early was largely for the purpose of recruitment, to help them attract top tier talent. That's why they made that teaser long before they even started development.
 

Ribi

Member
Shouldn't have put it on last gen.


And to the people who say they lost consumers, they lost some consumers but there are lots of people who think the game is still amazing (including myself)
 
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Dargor

Member
Attacking my reading comprehension because you posted a stupid theory. Ok 😂🙄

Stating a fact is not an attack.

I said they would lose sales because of broken trust, from that you quoted me saying the witcher 4 would be a commercial disaster.

But don't worry, since I know you gonna twist this into something that, again, is not being said, as people that lack reading comprehension skills are wont to do, I'm checking out.

Have a wonderfull day and a prosperous new year 🎆🎇
 
I suppose the Christmas truce is officially over.

bUt ThEy DiD iT fOr ThE mOnEy.

Please do not do this to your reputation. By now you should be used to it. You say silly things, silly things are pointed out. Understanding how the stock market works is a pre-requirement to discussing it. If only a certain fraction oi the merry left wouldn't feel unburned by the simple demand to get the basic facts right. Nos stocks sold, not a zloty lost or gained.

Let me congratulate you. You're ready to call it a loss after 21 days.
Ah, what a financial visionary you must be.

Cyberpunk wasn't pushed out early for Christmas dollars it was pushed out early because of a toxic work environment where management doesn't want to hear about problems from devs.

How would you know the reasons why the game was released when it was released?

Based on a report of St. Jason, Saint Patron of Workers rights, who - let me check again - invoked one developer complaining about management, ignoring the two developers who publicly stood for management? Don't get me wrong. I think there's good reason to think the game suffered from problems in that regard. But I am couching that in the broadest, most generic language possible because so little is known.

Last time I checked, CDPR have 1,100 staffers. Jason's contacted 12. Everything he says someone else said is therefore necessarily true and representative of how the collective feels. I just cannot fathom different opinions existing among one thousand developers. Once you cherry-pick with enough commitment to anti-objectivity, the result will please you.

For the nth time, developers work at CDPR. They don't manage CDPR. I know, I know, you bought that broken record on a flea market and now you have to play it on repeat. As if Adam Badowski, who is a member of the board, and therefore as upper management as it gets, isn't also game director, Game Director, and as such a developer in his own right. But of course, to those stuck in 19th century Victorian England, the evil oppressors are barely human and the oppressed are always competent and diligent beyond belief.

If only the oppressors would get out of the way.

And there's that spooky word again, "toxic", that encompasses the evils of the world in 5 brief letters. From masculinity, to crunch, to Death Cap mushrooms.
All are toxic. The world itself is toxic.

Say what you want to say. Don't hide behind vague tentative language that's all the rage at the moment.


A culture of crunch, deadlines, bandaid quick fixes, and employees that don't feel comfortable advocating for more time when they need it.

Oh, deadlines!
How dare they?!

Deadlines are outrageous, I say.

You can read minds? Your psychic abilities allow you to know developers don't "feel comfortable advocating for more time"? How do you know this? You attend meetings? You got hold of some juicy transcripts? Zoom calls?

Please, something factual. Anything. The short stories creative writing forum has relocated somewhere else.
 
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SlimySnake

Flashless at the Golden Globes
bUt ThEy DiD iT fOr ThE mOnEy.

Cyberpunk wasn't pushed out early for Christmas dollars it was pushed out early because of a toxic work environment where management doesn't want to hear about problems from devs. A culture of crunch, deadlines, bandaid quick fixes, and employees that don't feel comfortable advocating for more time when they need it.
This. The fact that it was delayed three times in one year shows that the employees are just too scared to ask for more time. I see this in my field where programmers especially are just too shy or dont like confrontations and end up either working insane hours or just miss deadlines leaving the bosses a giant mess to clean up.

I have always asked for more time than needed when we start mapping out LOEs. Bosses question me and some even throw a fit, but at the end of the day I deliver my stuff on time while other teams struggle to hit the insane deadlines they imposed on themselves by not accounting for things going wrong, updates failing QA or client asks not being met. It's frustrating working with both workaholics and introverts who never speak up, and end up costing the company millions in bonuses tied to a timely implementation.
 

SF Kosmo

Al Jazeera Special Reporter
How would you know the reasons why the game was released when it was releases?
I would assume they were pretty comfortable releasing in the spring, since the game was initially scheduled for April.

Based on a report of St. Jason, Saint Patron of Workers rights, who - let me check again - invoked one developer complaining about management, ignoring the two developers who publicly stood for management? Don't get me wrong. I think there's good reason to think the game suffered from problems in that regard. But I am couching that in the broadest, most generic language possible because so little is known.
It's not just based on the reports I've heard from Jason (and many, many others over the years, btw), but on the comments they've made to investors, the state of the game itself, and everything that happened. It all comes together to paint a pretty clear picture.

For the nth time, developers work at CDPR. They don't manage CDPR. I know, I know, you bought that broken record on a flea market and now you have to play it on repeat. As if Adam Sadowski, who is a member of the board, and therefore as upper management as it gets, isn't also game director, Game Director, and as such a developer in his own right. But of course, to those stuck in 19th century Victorian England, the evil oppressors are barely human and the oppressed are always competent and diligent beyond belief.
But that's kind of the point. I don't blame the devs, but I don't think the relationship between devs and management is the sort where devs feel able and comfortable advocating for more time to get things done right. The inevitable consequence of crunch is that things get done quick, and over time this can lead to a poor technical foundation, make it harder to actually fix bugs, and I think that's what happened. They thought they could get it done in that amount of time and they couldn't because the codebase is messy from too much rushing.

Oh, deadlines!
How dare they?!

Deadlines are outrageous, I say.
The problem is not so much the existence of deadlines but the ways they are arrived at and what happens when they're not met. The people setting the deadlines have to be people a little closer to the ground who understand what's needed to get things done well.

Management here was like "We weren't looking as closely at the console ports," like that tells you everything. The person setting this ultimate deadline wasn't really even aware of the extent of the problems, and that's super dysfunctional.
 

According to Bloomberg more than $1 billion (£740 million) has been wiped off the wealth of the company’s founders since the launch of Cyberpunk 2077, as the share price of the company dropped by a third.

Short sellers, who profit if the value of a company falls, have seen interest in CD Projekt increase from less than 1% before launch to 8.3% on Monday.

‘There is now a huge scar on the reputation of both the studio and its management,’ said BOS Bank SA analyst Tomasz Rodak. ‘In only a couple of days, CD Projekt fell from the most adored studio to the most hated one. Restoring trust is not impossible, but would need much time and effort.’

Forecasts for game sales over the next 12 months have now fallen from nearly 30 million to 25.6 million, according to an average of nine estimates collated by Bloomberg.

That's not too bad now, is it?
 

Greggy

Member
1) Should have never announced the game as early as they did. I would have started teasing the existence of this game in 2016 when Witcher 3 was getting it's second and final expansion.

2) Once initial teasing/marketing of Cyberpunk did begin, CD Projekt should have made it clear from the get-go that it would be exclusive to next-gen consoles and PC. No Xbox One or PS4.

3) Release the game in Spring/Summer of 2021 so that most if not all bugs could be dealt with. Witcher 3 released in May so it's not like they needed to launch during Holiday season.

4) Had all of the above been done, the game would be 95+ on Metacritic, GOTY favorite for 2021, and CD Projekt would continue to be the darlings of the gaming press/industry.

It's unfortunate how corporate greed and investor pressure can ruin even the most historically pro-consumer companies over time 😔

Hindsight. Never ceases to be 20/20.
 
So it should be noted that the reason they announced it so early was largely for the purpose of recruitment, to help them attract top tier talent. That's why they made that teaser long before they even started development.

Regardless of the reason they gave for the initial 2013 teaser trailer, I doubt they would have had trouble garnering talent after the tons of accolades and success that The Witcher 3 gave them. Heck, after Witcher 3 they were being compared to Rockstar in terms of scope and ambition in their games.
 

crozier

Member
I just hope this is a lesson for other companies. It seems like more and more we’re getting Day 1 patches to compensate for incomplete games. Cyberpunk was just the most egregious example. It’s a practice that needs to stop.
 
D

Deleted member 471617

Unconfirmed Member
Oh no. 30M to 25.6M. What a horrible failure.

*sarcasm*
 
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