

And the thing is… Because Steam is better for the user, it becomes better from the developer. 70% of your game’s Steam revenue will always be bigger than 100% of your Epic revenue. It’s probably bigger than 300% of your Epic revenue. That’s why Steam doesn’t need to buy exclusives or run loss leaders or try to lock you in with “free!” promos. Epic needs to pay developers up front to get them to not go to Steam, because in every case a dual Steam/whatever-else release is better than a whatever-else release. So Epic needs to pay the indie game studio that made a $10 game a million dollars for timed exclusivity, which allows the studio to not worry about losing their Steam revenue from selling 130,000 copies. Then they release it on Steam later anyway.
If it was as simple as “cutting out middlemen” or using cheaper middlemen, devs would just be selling you exe files. CDN costs wouldn’t come close to 30% of revenue, after all. People like buying games on Steam. People buy games on Steam that are cheaper and DRM-free on GOG or Itch. People buy games on Steam that are free downloads like Dwarf Fortress. People buy games on Steam that are free browser pages like Cookie Clicker. Epic wants people to be invested in their “free!” libraries enough to actually be like “oh I mean I’ve got the Epic account, may as well buy this game here because it’s cheaper or more of my money goes to the devs or because it’s a timed exclusive…” And people simply aren’t doing it.
The GAAS crashouts are the modern equivalent. Shareholders were sold the idea of “our own Fortnite! Infinite money forever!”. What they got was Concord. Anthem. Marathon. There’ll still be cash-grab GAAS out there, but eventually investors are going to put it together that it’s not a safe gamble.
But unlike the ET “moment”, video games as an industry, product, and art medium are here to stay. Making the things is too accessible now for the entire concept to ever be at risk again. The ET moment didn’t just threaten Atari, it threatened the concept of home consoles. Trying to imagine a single steaming pile of shit or even industry trend “threatening video games” now is like imagining a movie so bad that it kills cinema. Even if every single shareholder-backed games studio got rugpulled tomorrow, there are plenty of other studios out there to pick up the slack.