TechCentralTechCentral
    Facebook Twitter YouTube LinkedIn
    Facebook Twitter LinkedIn YouTube
    TechCentralTechCentral
    NEWSLETTER
    • News

      Standard Bank IT spending tops R10-billion in six months

      19 August 2022

      Hungry Prosus to splurge up to R30.7-billion on iFood stake

      19 August 2022

      Koeberg unit shut down due to mechanical fault

      19 August 2022

      Blue Label expects robust full-year earnings growth

      19 August 2022

      Sarb tells banks they should work with crypto exchanges

      18 August 2022
    • World

      15 September pegged as target date for ethereum’s big ‘Merge’

      19 August 2022

      Qualcomm gets serious about servers

      19 August 2022

      China blasts US over ‘discriminatory’ Chips Act

      18 August 2022

      Tencent reports first-ever sales decline

      17 August 2022

      Chip makers are flashing a big warning for the global economy

      17 August 2022
    • In-depth

      Are you a chronic procrastinator? Read this!

      18 August 2022

      Semiconductor boom turns to bust

      16 August 2022

      African unicorn Flutterwave battles fires on multiple fronts

      11 August 2022

      The length of Earth’s days has been increasing – and no one knows why

      7 August 2022

      As Facebook fades, the Mad Men of advertising stage a comeback

      2 August 2022
    • Podcasts

      Qush on infosec: why prevention is always better than cure

      11 August 2022

      e4’s Adri Führi on encouraging more women into tech careers

      10 August 2022

      How South Africa can woo more women into tech

      4 August 2022

      Book and check-in via WhatsApp? FlySafair is on it

      28 July 2022

      Interview: Why Dell’s next-gen PowerEdge servers change the game

      28 July 2022
    • Opinion

      How AI could transform financial services in emerging markets

      19 August 2022

      No reason South Africa should have a shortage of electricity: Ramaphosa

      11 July 2022

      Ntshavheni’s bias against the private sector

      8 July 2022

      South Africa can no longer rely on Eskom alone

      4 July 2022

      Has South Africa’s advertising industry lost its way?

      21 June 2022
    • Company Hubs
      • 1-grid
      • Africa Data Centres
      • Altron Document Solutions
      • Amplitude
      • Atvance Intellect
      • Axiz
      • BOATech
      • CallMiner
      • Digital Generation
      • E4
      • ESET
      • Euphoria Telecom
      • IBM
      • Kyocera Document Solutions
      • Microsoft
      • Nutanix
      • One Trust
      • Pinnacle
      • Skybox Security
      • SkyWire
      • Tarsus on Demand
      • Videri Digital
      • Zendesk
    • Sections
      • Banking
      • Broadcasting and Media
      • Cloud computing
      • Consumer electronics
      • Cryptocurrencies
      • Education and skills
      • Energy
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Motoring and transport
      • Public sector
      • Science
      • Social media
      • Talent and leadership
      • Telecoms
    • Advertise
    TechCentralTechCentral
    Home»Sections»Entertainment and reviews»Cyberpunk 2077 debacle costs founders R15-billion

    Cyberpunk 2077 debacle costs founders R15-billion

    Entertainment and reviews By Agency Staff15 December 2020
    Facebook Twitter LinkedIn WhatsApp Telegram Email

    The technical glitches plaguing CD Projekt Red’s Cyberpunk 2077 game have cut more than US$1-billion (R15-billion) off the wealth of the company’s founders. Perhaps more seriously, the quality-first image of the studio has been shaken, and may not be easy to win back.

    CD Projekt shares plunged by a third over the past six days as the number of bugs plaguing the highly anticipated futuristic game prompted an apology from the firm and an offer for refunds of gamers on previous-generation consoles. Short sellers have also started targeting the stock, with short interest up from less than 1% of free float in September to 8.3% on Monday, according to Markit data.

    The story of college dropouts who built one of Europe’s biggest gaming studios has inspired other Poles to try and emulate them, flooding the Warsaw Stock Exchange with similar offerings. The founders’ joint 34% stake was valued at about $3-billion on Tuesday’s market value.

    The story of college dropouts who built one of Europe’s biggest gaming studios has inspired other Poles to try and emulate them

    The three executives, Marcin Iwinski, Adam Kicinski and Piotr Nielubowicz, along with a fourth major owner, Michal Kicinski, have joined the ranks of the wealthiest Poles thanks to the stellar rally in CD Projekt shares. However, they now face a fight to salvage the studio’s reputation and prove that Cyberpunk will also be playable for owners of older-generation consoles, which are much more common than the just-released new ones.

    “There is now huge scar on the reputation of both the studio and its management,” Tomasz Rodak, an analyst at BOS Bank said in an e-mail. “In only a couple of days, CD Projekt fell from the most adored studio to the most hated one. Restoring trust is not impossible, but would need much time and effort.”

    Bug hunt

    Analysts vary on their assessment of long-lasting consequences for the studio, which is relying heavily on the new title. They agree that the pace of fixing bugs will be crucial for revenue, even as opinions about the PC version look much better. The average forecast for 12-month sales fell to 25.6 million copies from almost 30 million copies expected before the 10 December release, based on nine refreshed estimates. The stock stopped its freefall on Tuesday, rising 2.5% at 2.02pm in Warsaw.

    The problems are particularly acute on older-generation consoles — Sony’s PlayStation 4 and Microsoft’s Xbox One — with reports indicating the game’s engine isn’t working smoothly on weaker machines.

    The PS4 and Xbox One versions of the game have been panned

    “If your only option right now is playing Cyberpunk 2077 on either of the base console platforms, I highly suggest you don’t play at all until its many terrible performance issues are fixed,” the popular games website IGN said, recommending that players apply for a refund. The site separated its mostly positive PC review from the negative console-version assessment, saying it’s “a different game entirely”.

    Brokers including Morgan Stanley and Barclays are now predicting that a multiplayer component of Cyberpunk, crucial for long-term sales, may take longer to prepare. The studio plans to release a strategy update in the first quarter of 2021.  — Reported by Konrad Krasuski, (c) 2020 Bloomberg LP

    Adam Kicinski CD Projekt Red Cyberpunk 2077 Marcin Iwinski Piotr Nielubowicz top
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email
    Previous ArticleIn crypto land, it’s been the year of ethereum
    Next Article Digital sector regulators, SOEs to be merged in rationalisation drive

    Related Posts

    Standard Bank IT spending tops R10-billion in six months

    19 August 2022

    Hungry Prosus to splurge up to R30.7-billion on iFood stake

    19 August 2022

    Koeberg unit shut down due to mechanical fault

    19 August 2022
    Add A Comment

    Comments are closed.

    Promoted

    Does your contact centre have the CX factor?

    19 August 2022

    Entelek, A2pay to roll out 2 500 free Wi-Fi sites in South Africa

    18 August 2022

    Companies are drowning in data – but solutions are at hand

    18 August 2022
    Opinion

    How AI could transform financial services in emerging markets

    19 August 2022

    No reason South Africa should have a shortage of electricity: Ramaphosa

    11 July 2022

    Ntshavheni’s bias against the private sector

    8 July 2022

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2022 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.