Tuesday, June 26, 2007

Update on Update #2 to the CPotW

From DQ Legal Advisor Lee Rawles:
Unless I am mistaken, Microsoft is not publishing the Episodic content (per your Update #2). Microsoft is just the console-licensor, if you will. The announcement is akin to Microsoft providing EA, Activision or THQ $50M to publish content on their platform. Take-Two has done limited time exclusives before, but in my recollection, they never announced the value paid for that exclusive. This sounds like something different.

Absent a change in the 30-70 ratio quoted in the article, I question whether MS will be able to recoup the advance (unless it was cross collateralized against all GTA content (including packaged goods) -- which might be a possibility and would lend credance to your theory of larger Take Two issues). Alternatively, MS could be looking at this as a marketing purchase (which, arguably, is better bang for your buck that contracting with a shepard for a goat or renting out a hotel for some odd guests).

He's not mistaken--Microsoft is not the publisher for the episodic content. I was apparently having a brain freeze yesterday (which is not tremendously uncommon).

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