They also nickel and dime the adults, but only the ones who make the games.
It's fine though, because they're nice to players and they've brainwashed them into giving their money to Valve instead of to the developers who actually make the games they fucking play.
Without steam, I'd still be playing my CD version of Homeworld 2.
I have paid $10 for every $1 of game I play, perhaps as high as $100:$1. A 30% cut of that seems totally reasonable. I have hundreds of games I keep just in case, and have played 10s of games I'd never have considered because they dont appear in Game Informer, PC Gamer, GoG, Twitch, Youtube, or other channels. They just are magically brought to me by steam, and I buy it and try it because I'm an adult now.
If game creators hate this, I feel bad for them, but I don't want anything to change as a consumer.
Of course 30% seems reasonble to you, you're not the creator of the games. It's quite confusing to me that you're endorsing the side that has an insane ROI instead of the side that is sufferring greatly to make ends meet.
I agree that 30% is too large of a cut, but what would be appropriate? 15%? Steam does add a ton of value from an immediate audience, solid advertising opportunities, and amazing distribution for the developer.
As that has done both sides of games, I would like to propose some doubts for people to consider on that is dissimilar to the standard b2b saas; for to clarity I'm not saying 30% is good
- One chargeback for your 5$ game can consume you 55$ or more, handful and you permanently lose the ability to accept the payment anywhere including future businesses outside of games
- Amount of people that will take parents cards is eye watering
- The value of offline payment acceptance in the form of physical cards (kids do not possess standard payment rails but can acquire your game on steam in the cash)
- They don't take flat 30% for almost a decade now
- You don't often get to use Stripe or 2-3%. Your cost closer about 15% if you choose to process you own payments
And doesn't forbid you from using their platform for free if you sell the keys by yourself and you can also decide to publish your game to other stores...
EA presented their numbers for their online store. They were making something like 12%, and losing money.
They ran it at a loss and try to use its existence to declare everyone else overcharging. Apple, Google, Steam. Meanwhile, they were unable to make money, just proving they don't know how business works.
How about charging for services rendered based on cost to produce them rather than some arbitrary number. Some effective competition would be good, but likely outcome is publishers taking more.
Developers choose to give Steam 30% of their revenue because they know the steam channel increases their revenue by more than 30%. Doesn't that make it a good deal for developers?
Attention span is finite and Steam took a big chunk of it from gamers, in other words there is a chance that in a world where everyone hated closed platforms like steam (for not allowing reselling or any other reason) direct ads would be more favorable for developers than steam, or word of mouth, or any of it's alternatives.
My understanding is the tools that Steam provides as part of it's developer platform are top notch. And there are a lot of integration points such as cloud saves, social, match making, achievements, store, and so on. There is also a robust CD pipeline.
I can easily see this providing value above and beyond most other retailers that would sell video games. For example, Best Buy takes a 30% cut for physical merchandise, without providing any of the above mentioned features.
They still do that, Valve popularized the concepts of battle passes (with Dota 2) and loot boxes (with Team Fortress 2). They also took a paid game with TF2 and added all that monetization after the fact.
Counter-Strike especially has a pretty nasty gambling scene that Valve refuses to control, even though its only possible because of their marketplace and APIs.
They also nickel and dime the adults, but only the ones who make the games.
It's fine though, because they're nice to players and they've brainwashed them into giving their money to Valve instead of to the developers who actually make the games they fucking play.
Without steam, I'd still be playing my CD version of Homeworld 2.
I have paid $10 for every $1 of game I play, perhaps as high as $100:$1. A 30% cut of that seems totally reasonable. I have hundreds of games I keep just in case, and have played 10s of games I'd never have considered because they dont appear in Game Informer, PC Gamer, GoG, Twitch, Youtube, or other channels. They just are magically brought to me by steam, and I buy it and try it because I'm an adult now.
If game creators hate this, I feel bad for them, but I don't want anything to change as a consumer.
Of course 30% seems reasonble to you, you're not the creator of the games. It's quite confusing to me that you're endorsing the side that has an insane ROI instead of the side that is sufferring greatly to make ends meet.
3 replies →
I agree that 30% is too large of a cut, but what would be appropriate? 15%? Steam does add a ton of value from an immediate audience, solid advertising opportunities, and amazing distribution for the developer.
As that has done both sides of games, I would like to propose some doubts for people to consider on that is dissimilar to the standard b2b saas; for to clarity I'm not saying 30% is good
- One chargeback for your 5$ game can consume you 55$ or more, handful and you permanently lose the ability to accept the payment anywhere including future businesses outside of games
- Amount of people that will take parents cards is eye watering
- The value of offline payment acceptance in the form of physical cards (kids do not possess standard payment rails but can acquire your game on steam in the cash)
- They don't take flat 30% for almost a decade now
- You don't often get to use Stripe or 2-3%. Your cost closer about 15% if you choose to process you own payments
4 replies →
And doesn't forbid you from using their platform for free if you sell the keys by yourself and you can also decide to publish your game to other stores...
EA presented their numbers for their online store. They were making something like 12%, and losing money.
They ran it at a loss and try to use its existence to declare everyone else overcharging. Apple, Google, Steam. Meanwhile, they were unable to make money, just proving they don't know how business works.
How about charging for services rendered based on cost to produce them rather than some arbitrary number. Some effective competition would be good, but likely outcome is publishers taking more.
6 replies →
Linux releases they only take 10% FWIW
Edit: whoops that’s completely false. I do not know where I got that idea
2 replies →
Developers choose to give Steam 30% of their revenue because they know the steam channel increases their revenue by more than 30%. Doesn't that make it a good deal for developers?
Attention span is finite and Steam took a big chunk of it from gamers, in other words there is a chance that in a world where everyone hated closed platforms like steam (for not allowing reselling or any other reason) direct ads would be more favorable for developers than steam, or word of mouth, or any of it's alternatives.
Plenty of devs choose to sell on other platforms or directly and do fine. Steam doesn't have a monopoly on games the way Apple and Google do
My understanding is the tools that Steam provides as part of it's developer platform are top notch. And there are a lot of integration points such as cloud saves, social, match making, achievements, store, and so on. There is also a robust CD pipeline.
I can easily see this providing value above and beyond most other retailers that would sell video games. For example, Best Buy takes a 30% cut for physical merchandise, without providing any of the above mentioned features.
All distribution channels that existed before steam are still available. Multiple competitors to steam are available.
Again that old, tired argument. nobody has a gun to the devs head to force them to sell on steam
That's true now, but Valve has been like this since the start, way before skins and microtransactions.
You’re ignoring how much of a role the TF2 hats played in pushing microtransaction skins.
Steam came out in 2003. TF2 hats came out in 2009. It’s lived in the world of micro transactions way longer than it lived in the before times.
The problem with Steam is developers are paying 30% to introduce their players to CSGO and DOTA2.
Another POV is, nobody on HN has any idea what he's talking about, it's all vibes.
Most other companies would still nickel and dime the adults, though.
They still do that, Valve popularized the concepts of battle passes (with Dota 2) and loot boxes (with Team Fortress 2). They also took a paid game with TF2 and added all that monetization after the fact.
Counter-Strike especially has a pretty nasty gambling scene that Valve refuses to control, even though its only possible because of their marketplace and APIs.
Does Valve even own games played by kids anymore? Aren't all of the cs skin traders and tf2 players in their 20s at youngest?
They are not. The literal selling point of valve's games for kid gambling is that you don't need to pass KYCs for gambling with steam credits.
"We" is the kids' parents, and I would assume it's the parents' money.