Larian Studios' Michael Douse disputes Tim Sweeney's assertion that Epic Games Store exclusivity benefits developers, pointing to Remedy Entertainment's prolonged path to profitability with Alan Wake 2 as evidence that skipping Steam hindered sales potential.
Epic Games CEO Tim Sweeney's recent comments about storefront competition benefiting developers have sparked industry pushback, with Larian Publishing Director Michael Douse pointing to Alan Wake 2's financial performance as a case study in exclusivity drawbacks. The debate centers on whether withholding games from Steam ultimately serves developers' financial interests despite platform incentives.
The Core Dispute
Sweeney argued that competition between Steam and Epic Games Store creates "better deals" for consumers and developers, claiming both platforms win transactions while expanding market options. Douse countered that Epic's "pro-developer" narrative doesn't reflect reality, citing Remedy Entertainment's experience with Alan Wake 2. Despite Epic fully funding development, the psychological horror title reportedly required nearly two years to recoup costs after launching exclusively on Epic's storefront while skipping Steam and Nintendo Switch entirely.
Sales Platform Impact Analysis
Market data suggests Steam's established audience significantly influences premium game sales. While Epic takes a smaller revenue cut (12% versus Steam's 30%), Douse contends that Steam's larger install base could have accelerated Alan Wake 2's profitability. Industry analysts note that major Steam releases typically see 60-75% of PC sales on Valve's platform, with Epic capturing most of the remainder. The missing Steam audience appears particularly impactful for narrative-driven single-player titles like Alan Wake 2, which rely on broader discoverability algorithms and community features absent from competing storefronts.
Strategic Questions About Epic's Model
Douse questioned the sustainability of Epic's strategy to convert Fortnite's free-to-play audience into premium game buyers. Unlike Steam's established ecosystem for paid titles, Epic's user base primarily engages with free content, creating parallels with mobile gaming's struggle to monetize premium games. Evidence suggests minimal overlap between Fortnite players and buyers of narrative-driven games like Alan Wake 2, raising concerns about exclusive titles reaching their full sales potential.
Developer Implications
This dispute highlights critical considerations for studios evaluating publishing deals:
- Audience Access: Steam's 130 million monthly active users offer discoverability that niche platforms can't match
- Revenue Trade-offs: Higher platform cuts may be offset by significantly larger sales volumes
- Recoup Timelines: Exclusive deals may extend financial runway but delay profitability
- Platform Features: Steam's community hubs, reviews, and discovery algorithms drive organic visibility
While Epic's funding enabled Alan Wake 2's development, Douse maintains that a multi-store approach—even with Steam's revenue share—would have better served Remedy's financial health. The discussion underscores how storefront choices impact development sustainability beyond upfront funding deals.
Source: Michael Douse via X
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