Valve announced that they will be increasing the revenue share for games that generate revenue above $10 million in sales. Since October 1st, 2018 Valve’s new share model will be that if your game surpasses $10 million in revenue, your revenue share will raise from 70% to 75%.
The news was posted over on the Steam Community thread, where Valve broke down the new share ratio, which was previously 70/30 across the board. So basically the more content you sell and the more money you make, the more money you make.
Erik P., explained…
“[…] we’ve created new revenue share tiers for games that hit certain revenue levels. Starting from October 1, 2018 (i.e. revenues prior to that date are not included), when a game makes over $10 million on Steam, the revenue share for that application will adjust to 75%/25% on earnings beyond $10M. At $50 million, the revenue share will adjust to 80%/20% on earnings beyond $50M. Revenue includes game packages, DLC, in-game sales, and Community Marketplace game fees. Our hope is this change will reward the positive network effects generated by developers of big games, further aligning their interests with Steam and the community.”
So any game that sells more than $50 million will have the share price increased in their favor all the way to 80% of the earnings.
Some believe this is a competitive gesture from Value to lure publishers like Electronic Arts back to Steam, along with AAA outings like Call of Duty: Black Ops 4, which were exclusive on Blizzard’s Battle.net, or Fallout 76, which Bethesda relegated to its own launcher.
The next change they made also allows developers to publicly disclose what their sales numbers are, with Erik explaining…
“We’ve also made a change to the agreement regarding confidentiality of your sales data. We frequently get questions from partners who want to talk with other developersthird parties or publicly about the sales of their games on Steam. We’ve heard you, and we’re updating the confidentiality provisions to make it clear that the partner can share sales data about their game as they see fit. “
This is likely in response from many indie and AA developers who like to broadcast their numbers, which they typically do when achieving certain sales milestones. Larger AAA publishers have been reticent about their sales numbers since the end of seventh generation, and it’s unlikely that they’ll disclose their exact figures even with Valve lifting the NDA on the sales figures.
(Thanks for the news tip zac za)
(Main image courtesy of GamingAllStarsGmod)
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