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> They're burning almost $1 billion a year and they have no good solutions to this Maybe they should have something to show for this $1B/year and take a cut of

by mrtksn 3y ago

> They're burning almost $1 billion a year and they have no good solutions to this Maybe they should have something to show for this $1B/year and take a cut of this $250B+ industry to cover the costs? They appear to have about %30 market share, so they need to capture less than %2 of the value created with their tool to break even and if they can't do that or they are providing tech for the less than average profitable part of the industry they should shift focus or reduce costs. AFAIK it's only natural for businesses to go out of business if they can't capture more value than they consume.

baobabKoodaa 3y ago
(deleted)
- mrtksn 3y ago
  It appears that the video gaming industry size is 242B as of this year: https://www.grandviewresearch.com/industry-analysis/video-game-market https://www.grandviewresearch.com/industry-analysis/video-ga... None of this is attributable to engines, it's the size of the products built using the engines and it appears that the ad revenues are not included and that appears to be another $80B. The game engine market is the market of supplying the game developers with the tech to build their games. That's where the game engine makers that spend 1B per year and hold %30 of the engine market need to charge about %2 of the products made using their engines to break even.