Epic Games, which releases both free and exclusive games to take the lead in its competition with Steam and attract more players to its store, has revealed the money it has transferred to these games. Epic Games made more than $300 million in losses from games in its store, according to the report.
Epic Games balances its losses with Fornite
Epic Games exclusively releases games that aren’t on the rival platform to take the lead, given Steam’s massive user database. While these games are offered to users for a fee or free of charge, the agreements bring just as much cost to the company. All these privileges can also cost the company a lot of money.
In 2020, Epic Games paid third-party gaming companies and games about $444 million for minimum warranties for its store Epic Games Store, pc gamer reported. These games counted about $265 million during the year. These game deals include Control with MetroExodus, as well as non-Steam games such as Total War Saga: Troy. Epic lost $181 million in 2019 and has a total loss of more than $300 million.
Apple, which is in the process of suing Epic over Fortnite, also claimed the store would lose about $600 million in late 2021. Epic said the store would become profitable by 2023. Apple insists Epic Games is losing money, but the company is avoiding all this with statements that its store has gained value over the past two years and is the right investment.
Despite losing so much money, Epic Games seems to be balancing its finances with the big money it makes on Fortnite.