Game Discussions Star Citizen Discussion Thread v12

It means quite a lot because CIG pledged to reinvest all revenues back into development. Once the game was released all bets would be in principle off and CIG would be free to do as they saw fit obviously. But they seem to be doing exactly that now though, which would suggest that either

a) the product is released or
b) they are just going back on their promise of reinvesting all proceeds in the development and profiting personally from backers money given in good will for development only.
So you are saying CIG consider the job done ?
 
So if I buy a ship today it isn't added as part of a package I may already have. Because when I bought further ships way back prior to refund, they were all added to my package as a whole. Has that changed then ?
You need a game package to play SC...any ships purchased subsequent to that are added to your user account to use in game...released or otherwise. Your user account may contain more than one game package containing the digital download of SC and/or Sqn 42 depending on the package(s).... You can also purchase concepts of ships not yet flyable...jpegs of future intent by Ci¬G.

I have 2 game packages...one with a single ship which contains the basic SC digital download plus extras and one with several ships which contains the SC and Sqn 42 digital downloads plus more extras.
 
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In the past we could melt ships down, basically change a ship for another (with price difference either way). It was still part of the whole package.
It´s either a) or b) pretty much. Which one do you think is the right one?
It's certainly not released as intended from some years ago.

Has that changed ?
Maybe no one is asking anything.

Wife had a very quick scan through, she really isn't interested, but she knows the product isn't released (well as I see it, she is only working from that), therefore she said ''interesting accounting'' with a smile, from a bonafide accountancy view no dividends until, at least, released and therefore a time period after that before dividends. There isn't any profit as such...
Seems they are running it more like a bank or financial institution.
 
Put it this way.. Until questioned they'll get away with more or less anything. Especially if they are working with an associated (to the business) accountant. Which is what it looks like.
 
It´s either a) or b) pretty much. Which one do you think is the right one?
They're lining their own pockets...Star Citizen isn't about a space game... except superficially...as a business, it's become an online digital marketing venture...which is what the Calders bought into. It's not that hard to work it out. Too many people get stuck on the space game bit and can't seem to see the wood for the trees.

The only interesting part in the business model is CR...he actually thinks he's making a space game. The money folk behind Ci¬G are more than happy to pat him on the back and humour his dreams whilst the money keeps rolling in :)
 
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Not correct the game isn't out there. Not the finished game, which is what I bought into and why I refunded.
@Xink is right though...we as gamers or players are already playing the game as a live service, as is, with no guarantees that it'll ever reach a final released state at any point...Ci¬G as developers are continually making it but that's not the business. The business itself is an online marketing venture selling digital goods for profit.

Sqn 42 is a different story, there may well be a final released product at some point but if I'm generous, 90% of the copies that will ever be sold have already been bought and paid for by current backers as part of the whole Star Citizen package....it won't ever be selling millions of copies outside of what Ci¬G have already sold, certainly not enough to generate any significant revenue for Ci¬G as a company.

The live service game is where the money is at, it's also funding CR's pet project of Sqn 42 as long as it continues.
 
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@Xink is right though...we as gamers or players are already playing the game as a live service, as is, with no guarantees that it'll ever reach a final released state at any point...Ci¬G as developers are continually making it but that's not the business. The business itself is an online marketing venture selling digital goods for profit.

Sqn 42 is a different story, there may well be a final released product at some point but if I'm generous, 90% of the copies that will ever be sold have already been bought and paid for by current backers as part of the whole Star Citizen package....it won't ever be selling millions of copies outside of what Ci¬G have already sold, certainly not enough to generate any significant revenue for Ci¬G as a company.
If you consider the job done @Mole, good for you, even better for them and their dividends ;)

The dividends thing, is quite shocking to be honest (seriously). But hey, if you can get away with it..
There isn't a profit to pay dividends on, that is simply fact in this case.
By his (CR) own statement, if correct, 'all proceeds go to furthering the project'. Dividends aren't furthering anything other than their income.
 
CIG UK financials released

Source: https://www.reddit.com/r/starcitizen_refunds/comments/q93wti/cloud_imperium_uk_group_financials_1007559_paid/


Worth keeping in mind this does not show the whole picture, its UK only. If CIG were to release their full financials there are no obligations to do so for the US company and no obligations for them to get them audited by a third party.

UK has only 4 million in cash but this doesn't mean much since CIG has a load on companies and can move money between them. Most likely this is their slush fund for running the company in the UK. If they were holding a majority of their reserves in the UK then it would paint a very bleak picture, but that's not likely.

I am very curious about this line though



What don't CIG want people to know?

Still getting UK tax credits for being a "British" game - lol, the barefaced cheek. 5 million!

Erin signed it, so he's still alive.

1 million in dividends paid to shareholders. Worth keeping in mind, this is backers money going into the pockets of shareholders and its not salaries. Its discretionary, the board voted to given themselves this money. Assuming this was done based on % of shares, the Roberts family just took for themselves the better part of 1 million.

Highest paid director (presumably Erin?) salary was close to 300,000 pounds. Nice gig.

Looks like CIG UK is the parent company for CIG Germany. Didn't know that.

432 employees - wow, that means UK/Germany has more employees than the US if CR's 700 people working on SC number is right, although we don't know if it includes third parties or not.

Worth comparing with previous years. As I understand it cash on hand and equity are way down from 2019 - burn rate probably massive now with so many employees.

Hmm.. not sure if the same as dividends, but mention of 1 million from shares moved to profit and loss. Did someone cash out?

Is there an accountant in the house? @Yaffle - you up for it?
Interesting read .... Dividends seem a little premature to me, I guess they do indeed consider the game released.

Cant wait to see the filing for this year in a years time!
 
Seems they are running it more like a bank or financial institution.
I think Chris is running it like a scam.

There isn't a profit to pay dividends on, that is simply fact in this case.
Huh, I have no experience in business, but I think that if CIG earns more than it spends, then it's making profits. Regardless the lack of promised product.

as Silicon Valley TV show said:
Jack Barker: Richard, I don't think you understand what the product is. The product isn't the platform. And the product isn't your algorithm either. And it's not even the software. Do you know what Pied Piper's product is, Richard?
Richard Hendricks: Is it - is it me?
Jack Barker: Oh, God, no. No. How could it possibly be you? You got fired. Pied Piper's product is its stock.
Richard Hendricks: Its stock?
Jack Barker: And whatever makes the value of that stock go up, that is what we are going to make.

Hah, no profit. What do you call 31,762,819 pounds turnover from sales? Chump change?
Chris Roberts: I call it 'pocket money'. Pockets the money and rides away on his yacht. "Backers will never know" (tm)
 
Until hearing of dividends payout, I was fully of the opinion it isn't/wasn't a scam.

Now I think at best, its border line, with a full and proper look at the accounts by a legal eagle, it may be something much worse. They have fallen into something not at all ethical or perhaps legal, probably through greed and the right accountant.
We humans are very fickle where money is concerned.

Honestly it really isn't good.
Phew glad I'm out.. Well I still have an Aurora, but I was in for quite some money at one point.
 
If you consider the job done @Mole, good for you, even better for them and their dividends ;)

The dividends thing, is quite shocking to be honest (seriously). But hey, if you can get away with it..
There isn't a profit to pay dividends on, that is simply fact in this case.
By his (CR) own statement, if correct, 'all proceeds go to furthering the project'. Dividends aren't furthering anything other than their income.
I don't consider the job done by any means...but let's say I'm less concerned by how Ci¬G make their money than some are. Business is business and by that description, only of interest to business analysts or accountants in a professional sense. I play games as a hobby, occasionally discuss them on t'interweb among friends and my interest in the financial side of Ci¬G stops there. I'm not blind to it...I just don't really care that much 🤷‍♂️
 
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The only interesting part in the business model is CR...he actually thinks he's making a space game. The money folk behind Ci¬G are more than happy to pat him on the back and humour his dreams whilst the money keeps rolling in :)
The “money folk” behind CIG are primarily Chris Roberts and his good friend and business partner Ortwin Freyermuth. CR may also believe he’s making a game, but the pair have a long history of lining their own pockets with other people’s money. It’s just that they’ve skipped the middle (tax) manor the most part, and are now bilking people directly.
 
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