Tim Sweeney says Epic Games is now 'financially sound' after last year's layoffs and Bandcamp fumble

Like so many tech firms, Epic Video games grew aggressively at the beginning of the 2020s after which abruptly declared that it had made a mistake. The Fortnite and Unreal Engine maker reduce over 800 jobs final yr and maimed and bought off Bandcamp, an internet site it had bought only a yr earlier.

“For some time now, we have been spending far more cash than we earn, investing within the subsequent evolution of Epic and rising Fortnite as a metaverse-inspired ecosystem for creators,” Epic CEO Tim Sweeney stated on the time. “I had lengthy been optimistic that we might energy by means of this transition with out layoffs, however looking back I see that this was unrealistic.”

At an occasion for Unreal Engine builders as we speak, nevertheless, Sweeney declared that the ship has been righted.

“We spent the final yr rebuilding and actually executing solidly on all fronts,” stated the CEO. “I am joyful to let you know now that the corporate is financially sound, and that Fortnite and the Epic Video games Retailer have hit new information in concurrency and success.”

Fortnite’s new peak, achieved over the vacations, was 110 million month-to-month energetic customers, Sweeney stated. The Epic Video games Retailer additionally reached a brand new peak with 70 million month-to-month energetic customers in September, in keeping with retailer GM Steve Allison.

Additionally throughout as we speak’s Unreal Fest presentation, Epic introduced a brand new incentive to get sport builders onto the Epic Video games Retailer, nevertheless it’s one players ought to have much less of an issue with than the standard timed exclusivity offers. 

Epic already takes no Unreal Engine royalty charges on Unreal Engine video games bought by means of the Epic Video games Retailer. However even for gross sales made off EGS, resembling on Steam, it’ll now cut back the Unreal Engine royalty price from 5% to three.5% as long as the developer additionally launched the sport on EGS on day one. That applies to any platform the place each the sport and EGS exist: For plenty of video games that’ll simply be PC, however Epic now additionally has cellular variations of EGS in sure areas, and continues to combat with Apple and Google over its want to promote cellular video games with out paying their charges.

The PC exclusivity offers aren’t fully over: Epic nonetheless presents 100% income share for six months when video games launch solely on EGS. However with even Ubisoft lastly giving up on exclusivity and going again to day one Steam releases, it does really feel just like the Epic unique period of PC gaming is fading into the previous.