Originally Posted by Mirotvorez113
Do you know how much it costs for Valve to maintain the infrastructure? Do you know how much it costs to initialize and expand said infrastructure? Do you know how much the development of Steam costs, and I mean actual software development of a complex applications network with many complex features and not a pathetic browser like the Epic store is. Do you know how much the Valve spends on legal, municipal, licensing fees?
It seems that you know a lot, so please enlighten us with such juicy info.
Valve does not just pay hosting fees to GoDaddy once a month. There is a lot more to it, Valve runs a complex business operation. There is a huge overhead for just keeping that business running as it is and keeping it legal.
If Valve wanted to simply take that 30% cut and do nothing with it, they sure could. However, the fact is that Valve is constantly injecting the profits from the 30% cut back into the platform and directly benefits us, the gamers/consumers. If you do not recognize the benefits of everything Valve has done for PC gaming, you are either misinformed or simply blind to the facts. For example, guess which company, pretty much on their own, converted the whole of eastern Europe from pirates to paying consumers? The answer is Valve. All those consumers had no way of purchasing games legally and absolutely zero % of the illegal sales went to the developers before Valve has solved the service problem. You all sure do forget important achievements like that real quick. What has Epic Store done for us? The answer is stupid exclusives, distribution monopoly and exactly nothing more.
So is the 30% cut too much? Maybe. Is is justified in Valve's case? I think it is.
You may be amazed by this, but 30% cut was a standard before digital was a thing.
Im quite familiar with hardware, licensing, operating costs on large scale platforms. How familiar are you? What is your work experience?
Im also quite familiar with cost associated with cloud operations as well as general infrastructure costs and the like. How familiar are you? What is your work experience?
Im telling you a 30% revenue cut for hosting a game sale is nowhere near what it costs them to operate. The operating cost is literally a fraction of this.
Valve does give good incentive to end consumers, you know how else that does? The people that make the damn games....... If they can keep more of the money for their product Im all for it. So all these games you enjoy, you dont feel like the developers themselves or the publishers dont deserve a larger cut from their product, because you like Steam or dont like Epic? This is literally a market standard that is going to be extremely difficult to break and of all companies I would prefer it not be Epic to challenge it, but at the same time it has to be done by a corporation with very deep pockets.
Just because you dont directly have to deal with a 30% cut on your product doesnt mean it isnt a problem for others or the industry in general.
Valve didnt single handedly stop pirating in Eastern Europe that is a fallacy. The 30% cut was a cost to market before digital become mainstream, with a considerably larger overhead and distribution model than taking a script and a file and selling the product on a digital platform.
If you want to know more about traditional cost to market:
---Alex Pham discussed the video game prices division back in 2010 with the New York Times. We can assume that some things have changed since these statistics were gathered, but it's still a good starting point. From every $60 video game sale, we can estimate that roughly 27 of those dollars go to the publisher (Ubisoft, for instance), $15 goes to the retailer (GameStop, Target, or other stores), $7 each goes to returns (games that don't sell) and the platform (such as Xbox), and the remaining $4 goes to distribution and cost of goods.---
So a digital market place literally costs comparable to the physical production, shipping and retail of a good. From a retailer standpoint Valve is taking a much larger cut than traditional BM stores did........ for a digital marketplace.