Alan Wake 2 has been a sales success, but it is still losing money

Alan Wake 2 is one of the most critically and commercially successful games of 2023, and yet, somehow, it has also been a financial failure for its studio.

Under capitalism, there is an almost comical paradox: you can have a tremendously successful product and still lose money. Selling a lot, receiving praise from critics, and being nominated for game of the year is no longer enough for many video games. They need to break all unimaginable scales to justify their costs. Something that happened to one of the best games of last year: Alan Wake 2.

Alan Wake 2 DOWNLOAD
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In 2010, a video game broke all the schemes and offered a unique experience like we had never experienced in the survival horror genre.

According to Remedy’s latest financial report, Alan Wake 2 has not yet recouped its development and marketing costs. Having sold 1.2 million copies as of February 2024, it has not been enough to cover the game’s production costs. Even though it brings them close to doing so, as confirmed last month.

All of this leads us to an apparently contradictory situation, but not necessarily negative for Remedy. Their revenues decreased by 22.2% in the final stretch of 2023, but at the same time, Tencent has increased its stake in Remedy to 15% of its shareholding. Something that probably has to do with the fact that they have four games in production. Of which we know all the details of their production status.

The reasons for this monetary failure, at least for now, have contributed to the relatively limited distribution of the game. Having been released on PlayStation 5, Xbox Series S, Xbox Series X, and PC, the fact that it was exclusively a digital release and only available on the Epic Games Store may have harmed its sales numbers. This could change if a physical edition is released in the future and/or if it is also released on other digital platforms with a larger user base, such as Steam.

That’s why while Alan Wake 2 is one of the big hits of 2023, it seems that it is still on track to be a resounding success. Something that we have no doubt will end up being, given its high quality and that we will continue to talk about it in the months and years to come. Even if it is a bit demoralizing to discover that it is no longer enough to just succeed. You have to explode the market.

Alan Wake 2 DOWNLOAD
4
In 2010, a video game broke all the schemes and offered a unique experience like we had never experienced in the survival horror genre.

Remedy confirms the status of all their games after Alan Wake 2.

Remedy continues to work hard following the success of Alan Wake 2, confirming the status of its next four projects to its shareholders.

Alan Wake 2 is one of the great games of 2023. That kind of games that cause waves and have an influence beyond their release. That’s why it’s not surprising that at Remedy, its development studio, they are happy and have decided to continue with several of their projects. They now have the money to take things calmly and with the interest they need. Something they have confirmed in an investor presentation, where they have detailed the status of all their projects.

Before going into details, it is important to remember that all these games have already been announced. There are no big surprises here, but there are interesting updates about their status. Because some of these games are closer than we imagine.

The next game has the codename Condor and is a multiplayer PvE game set in the Control universe. It has already entered full production, this is the final stage of development before its release. According to Remedy, internal gameplay tests indicate that the core gameplay is appealing and the game adds a unique touch typical of the studio to its genre. Therefore, it would not be surprising if we see the first images of the game before the end of the year.

Another game that is coming soon is Max Payne 1&2 Remake. Although it is in a pre-production state, Remedy expects it to move into full production during the second quarter of 2024. This confirms what they already said last February, that they wanted to accelerate the development of this game.

Alan Wake 2 DOWNLOAD
4
In 2010, a video game broke all the schemes and offered a unique experience like we had never experienced before in the survival horror genre.

The other two games they are developing, unfortunately, will take even more time. Control 2 is in the concept testing phase, defining the mechanics, graphic quality, and game world, although they expect it to move to the production preparation phase during the second quarter of 2024. Therefore, we would not see the game, at least, until 2026. The case of the game with the codename Kestrel is even more tragic, a game with a strong multiplayer cooperative component, which was restarted at the end of 2023. Kestrel is still in the conceptual phase, the first of the production phases, with no date to move to the next one.

It is worth remembering that the production phases of Remedy are the conceptual phase, the proof of concept, the production preparation, and the production. Each of these phases can last between three months and a year and a half.

Although we don’t know if they are working on the inevitable Alan Wake 3, we do know that Tencent, the Chinese multinational, has increased its stake in the company. Going from 5.01% to 14.8% of the shares, it now has a greater presence within the Finnish studio. Something that, we hope, will help Remedy to continue working with the transparency and good work they have been demonstrating for decades.