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Joined 1 year ago
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Cake day: June 12th, 2023

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  • Suppose you are an European citizen and you live in Egypt.

    I don't think that is correct. The investigation began in 2015 by Margrethe Vestager. The focus is within the EU. Valve cannot prevent geo-blocking between EU countries. They're free to use IP geo-blocking, but users within the EU must be given the ability to switch to different EU stores. I.e. a Dane must be allowed to log into the Hungary store and purchase games at the local price. This has implications for keys as well, as a Dane must not be prevented from redeeming a Hungarian key, for example.



  • That's not quite the situation here. The EU is preventing price discrimination within the EU. Price discrimination is generally disallowed in the EU single market. This is intended to foster greater synergies and efficiencies of scale, as opposed to current international trade agreements which are slow to form, and even slower to update as necessary. Part of the single market is the requirement that products and services not discriminate solely on the basis of nationality. Companies are permitted to charge differing amounts based on location and channel, but every consumer in the EU must have the right to purchase that product or service at that location or channel for the same price.

    The single market has been one of the major economic drivers for success in the EU, ensuring poor countries have been able to quickly catch up with developed nations. Poor nations can charge developed nation prices for their products and services without risk of systemic barriers or anti-competitive arbitrage. Software is no different. Harmonised access maximises competition, promotes growth, and keeps aggregate prices low. The cost is that prices will rise in some EU nations, as they fall in others.




  • They’re just different pricing models, not different verticals. Unity is still cheaper, but incurs significant risk now. Whereas Epic will take their 5% after $1M, Unity has no revenue split. However now that they’re charging per install, devs need to be sure their marginal profit clears this bar. No one is sure their pricing model works before launch, so I think this risk is unreasonable.



  • Which blows my mind. So the developer, Massive Monster, had an open-ended agreement with Unity which allowed them to unilaterally increase prices. That’s easily one of the dumbest business decisions I’ve seen in the gaming space. How can they build a game around an engine which gives the owner carte blanche to take whatever share of revenue they wish? While I think this is a crazy pricing strategy, I’m struggling to sympathise with Massive Monster. At minimum they should have had a lawyer browse their agreement prior to signing. I wouldn’t be surprised if other gems were hidden in there about IP rights.