Rhode Island Economic Development Corp. and Bank of New York Mellon Trust. Co. win court approval to secure 38 Studios' assets.
The Kingdoms of Amalur now belong to the state of Rhode Island. Bloomberg reports that the Rhode Island Economic Development Corporation and the Bank of New York Mellon Trust Company have won a court approval to take hold of 38 Studios' assets. The developer, founded by former Red Sox pitcher Curt Schilling, publicly crumbled earlier this year, and is now bankrupt.
The motion was granted by United States Bankruptcy Judge Mary Walrath at a hearing in Wilmington, Delaware, on Tuesday. Rhode Island and the Bank of New York Mellon Trust Company will now attempt to sell 38 Studios' assets, which include intellectual property rights, to make back some of the controversial $75 million loan that brought 38 Studios to Rhode Island.
In May, industry analyst Michael Pachter estimated the worth of the Amalur intellectual property at $20 million, saying, "Nobody is buying MMOs after [Star Wars: The Old Republic fizzled]."
38 Studios shipped the console and PC role-playing game Kingdoms of Amalur: Reckoning in February 2012 to a warm critical reception and sales of 1.2 million in its first 90 days. The company's Amalur MMO--codenamed Project Copernicus--was reportedly being readied for release in June 2013.
According to the report, Rhode Island and the bank said they needed to take hold of 38 Studios' assets because if someone at the studio was granted permission to ditch computer equipment "all or substantially all of the intellectual property could be irretrievably lost."
but they just had to make it pc only if it was on xbox and multiplatform then it would be game of the year
that trailer just wow if this was ever coop i would have the best time ever it would get game of the year hands down
In other news, the Governor of Rhode Island declared he was going into game development. When asked why, he stated "Well, we got all this Amalur stuff just lyin' around, I figure I aught to do somethin' with it. I figure it'll be something to do when I need a break from playin' golf. Hmm, maybe I'll put golf in the game. Yeah."
if nobody buys the rights it would b a shame,it's true amalur didn't offer anything new,but it was damn good,and fun to play.plus,the world that they created for 5 years is really vast and beautiful, and it also has some depth to it.it's a lot of people's hard work,it would be a shame that all that goes to waste
oh well, now we just have to hope and pray that a decent company picks up the rights and that we can get a sequel.....
@Erebus I'm assuming he meant no companies will want to buy the rights...
@Erebus I laughed. Truly no one will buy MMOs after Star Wars... 'cos no one will buy Guild Wars 2 or try Elder Scrolls Online when it comes out (Just destroyed the sarcasm-o-meter)... ... So I suppose those gentlemen never really touched a MMO? x.x Just sayin'.
@Erebus People will just wait for MMO's to drop into the Free to Play basis. Sorry to burst your bubble, but that's how it is. A lot of people won't, for instance, play Secret World until it gets free. Because, eventually, it will.
this makes me want to buy kingdom of amalur just to help out rhode island....but then the shipped units have already been paid for, so i don't know if ea is willing to ship new units or the stores will buy it
Perhaps state governments *should* be in the business of game development. Every state can have an office of game development. Successful games will provide an additional revenue stream. The states that make the best-selling games can then lower their taxes.
So the people of Rhode Island were forced to pay $75 million for an IP worth $20 million. As with all other stories from our sad era of "stimulus," he takeaway is: government - despite the best of intentions - can only destroy wealth, not create it.
@maxwell97 They didnt buy the game for 75 million, they loaned 38 studios 75 million to set up their company there in an attempt to create jobs. They probably made back alot of the 75 million with game sales, and then obviously seized the rights to the game when 38 studios could no longer remain profitable. Much like a bank takes your house. Now they are selling the rights.
They were also loan guarantees, not a loan itself. That means they guarantee to pay out to third party investors if for any reason the studio failed to pay. They hadn't guaranteed the whole $75 million at the time 38 Studios failed. I think they had guaranteed about half. Then the Gov. going public way too soon and saying 38 Studios was irreperably damaged killed any chance they could get any more investors and finish the game. We don't have all the facts but it seems to me RI screwed up as bad as 38 Studios.
@ggregd I think you're the first user here to make a comment that provided constructive information and actually made sense.
I rather hope there is no IP sale, more-so a sequel.
I think it adds to the mystique of the game,
that it never should have been made in the first place.
Its like some ancient force got all those people together with stardust,
doused this game with epic myth & rpg action;
and then disbanded them after such divinity was completed.
No one is leaving all that money on the table.
@ggregd True enough, there is still a hefty tab still open.
I just think they cannot take the franchise anywhere new, is all.
They went all-in when making it, and that seems to be the problem. This game could have been half the size and it would still be fun to play.
I can't think of any games like Amalur made by them off-hand, but Konami would be a good choice to continue the Amalur story. Maybe with a MGS style story and camera (may get bad responses to that but the camera in 4 worked for me) Maybe add in the 1 thing the game needed before, like co-op. (hint hint)
Great, that means one of the environments in the game is an unlockable Rhode Island metropolis! Woot!
RI gambled on Schilling's name and pitch.
Schilling's company spent somewhere over a $100 million producing a decidedly "meh" product. Generic gameplay, uber-generic lore/world, and flashy, eye-candy moves that attempted to cover up how easy and button-mashy the combat was.
I have to agree /w gilalizard. The combat was accessible & flashy, but he game world lacked the soul & lore needed to give it depth. The catoony art style, bright color palette, and "meh" character models seemed very generic to me as well. KoA did little to little to deviate from genre conventions, nor did it push the envelope in terms of action/rpg gameplay.
Well there goes that game. Being from RI and seeing how RI going downhill this game will be lost forever.
Now Rhode Island is going to create a studio and attempt to earn their money back.Sounds like a setup for a movie.
@topsemag55 why would EA want a half done mmo?
EA already sells KoA:R, so if RI sold it to EA, then they would be responsible for patching it. 38 basically said, "sorry about the lack of a patch, too busy cranking out DLCs".
It's not just the half-done mmo but the rights to the IP. KOA sold over a million as a new IP, so just think what a KOA2 could sell especially with all this free (albeit bad) publicity.
They should sell it to a US or EU company to finish up Copernicus and don't sell it to some Chinese company that'll just turn it into another generic, grind-fest MMO.
That makes two of us.
And I don't see Rhode Island ever developing a video game.
@DarthSithari Nah, Epic hired most of 38 studios employees. I think they WANTED to buy it, but obviously they didn't get the chance. :[
So they can sell it, to someone like Epic.
@DarthSithari I don't remember if the loan was payed in full, but if not RI really needs to sell the IP. Because if the loan was close to or fully payed off then RI would need some $$, as someone else has already stated.
@DarthSithari RI will be wanting to sell the rights and assets most likely so there's still a chance someone like Epic could pick them up if they wanted them.
Yes... but agian why would Rhode Island want Amalur? As far as we know it'll just be put on the shelf to collect dust.
Perhaps, but why would Rhode Island want the rights to Amalur in the first place?
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