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Comment by jvanderbot

4 hours ago

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.

  • A 70% take would have blown the minds of developers pre-Steam. Retailers took 40% and were ruthless about shelf space and inventory. Distributors took 20%. Plus you had to actually make a box/CD/etc. They were lucky to keep 30% not pay it.

    This doesn't mean Valve is perfect but if a developer is "suffering" because of a 30% cut they probably need to improve their pricing/game/community/etc.

  • Steam gets me and many others to spend a lot more than 50% more on games than we would otherwise. I’m pretty confident that they push a lot more money to creators than they’d getting otherwise, even leaving aside the old publishing revenue splits that gave devs a lot less than 70%. A lot of those games, I’ve never even installed. Blasted Steam sales…

  • You're implying that Sales, Marketing, and Distribution is not a valuable service by saying 30% is not reasonable. I work in the electronics industry selling components. Suppliers regularly give us 30% margin, far more on some products, despite the upfront cost of making a new microcontroller or FPGA being far in excess of the most expensive video games ever made, with our value add being, to be frank, much less than Steam. 30% margin is about average for distribution, be it food, minerals, cars, or any other industry.

    If I didn't have Steam (or equivalent service like GoG), I wouldn't buy new games. That's just reality. I would play the same games I have for decades. Instead, Steam has created a very effective recommendation engine that gives me a great selection. That's more than worth a 30% cut.

  • I'm endorsing my side. Not Steam's side, or the creator's side.

    Maybe their business model is awful, but I love what they do, and what they have done. They have made my linux machine a top tier gaming option, freeing me from the only use of windows left. They have brought me the steam deck, which has a thriving accessory market due to their creative commons licensing. Etc etc. They are pro consumer.

    I want steam to continue largely as is. In an ideal world all artists would be better compensated for the joy they bring to the world, but I'm quite happy as a consumer of art. Not to be too harsh, but frankly, the existence of struggle for recognition does not entitle artists to a penny of my money or a second of my time beyond the transaction they propose, nor does it entitle them to anything that Valve does or makes. That we can all work together well is a function of a local solution to the tension of conflicting interests. Valve is seeking a balance. It could be much worse for both sides.

    But if you want, think of it this way - all of Steam's profits, billions of dollars, are only 30% of the sales they have brought. They made 17 Billion in rev last year, so nearly 25 Billion went to game makers / publishers. This is 2-3x what spotify paid to artists in the same year.

    • Regarding the 30% cut. Developers can actually generate steam keys and publish them on third-party sites which can be redeemed by users on Steam. Developers then get 100% of the profit.

      2 replies →

    • > Valve is seeking a balance.

      They're demonstrably not. I'd advise you to read up on the concept of a monopoly.

      > They made 17 Billion in rev last year, so nearly 25 Billion went to game makers / publishers. This is 2-3x what spotify paid to artists in the same year.

      And? I don't understand why you're just comparing two values in absolute values. You're talking as if Valve is giving away money.

> I have hundreds of games

You do not have hundreds of games. You have a non-transferable license to play those games while they are made available by Valve and while your account is not banned.