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Is Alta Fox the reason for OGL 1.1?
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<blockquote data-quote="Steel_Wind" data-source="post: 8898118" data-attributes="member: 20741"><p>This is not accurate. Traditional toys make up about 75-80% of Hasbro's revenue (~3.7 billion). WotC is about 1 to 1.1billion. But when it comes to <u>profits, </u> WotC's profit margin is about 46% of its revenues, and 70% of Hasbro's <em>profit.</em></p><p></p><p>M:TG and 5e are both <em>extremely profitable</em> compared to the other products Hasbro sells. Profit per unit on M:TG and on 5e books and digital products are much higher than Hasbro's traditional toys and boardgames. That's why WotC drives Hasbro's overall profits.</p><p></p><p>There isn't much more room to squeeze money out of M:TG -- indeed -- 2022 releases suggest that WotC has gone too far with product offerings and is doing active harm to their overall market. D&D on the other hand, <strong>is</strong> "under-monetized". They could make more money with it as D&D players don't spend enough to play (and DMs buy 80% of the products). That is an objectively true statement.</p><p></p><p>That observation has lead us to this point with the OGL and, in part, why this week's debacle has unfolded as it has. Even then, it really isn't the reason though. Had WotC bought Foundry VTT for a pittance, say, as a stop-gap defender brand, and amended the OGL to remove VTTs from the OGL 1.0a (and left it at that) my guess is there would have been some squawking for a few days here and on discord -- and that would have been it. They would have entirely gotten away with it.</p><p></p><p>But when you start a management directive on "under-monetization" that amounts to directing your managers to go grubbing for quarters down the side of the couch -- you end up with a royalty proposal like just happened with 1.1 of the OGL. It was stupid, just STUPID that would never have earned WotC all that much money, but was all but certain to lead to this gross harm to their goodwill among gamers.</p><p></p><p>Dumb. Just.... DUMB.</p><p></p><p>To be clear, there is no evidence that Paizo received a copy of the OGL 1.1 and there is every reason to think that they <em>probably didn't.</em> They don't make products for 5e. They have released one book, to date, that fits that description (A <em>Kingmaker </em>5e Bestiary) -- though there is one more slated for June 2023 (<em>Abominations Vaults</em> 5e).</p></blockquote><p></p>
[QUOTE="Steel_Wind, post: 8898118, member: 20741"] This is not accurate. Traditional toys make up about 75-80% of Hasbro's revenue (~3.7 billion). WotC is about 1 to 1.1billion. But when it comes to [U]profits, [/U] WotC's profit margin is about 46% of its revenues, and 70% of Hasbro's [I]profit.[/I] M:TG and 5e are both [I]extremely profitable[/I] compared to the other products Hasbro sells. Profit per unit on M:TG and on 5e books and digital products are much higher than Hasbro's traditional toys and boardgames. That's why WotC drives Hasbro's overall profits. There isn't much more room to squeeze money out of M:TG -- indeed -- 2022 releases suggest that WotC has gone too far with product offerings and is doing active harm to their overall market. D&D on the other hand, [B]is[/B] "under-monetized". They could make more money with it as D&D players don't spend enough to play (and DMs buy 80% of the products). That is an objectively true statement. That observation has lead us to this point with the OGL and, in part, why this week's debacle has unfolded as it has. Even then, it really isn't the reason though. Had WotC bought Foundry VTT for a pittance, say, as a stop-gap defender brand, and amended the OGL to remove VTTs from the OGL 1.0a (and left it at that) my guess is there would have been some squawking for a few days here and on discord -- and that would have been it. They would have entirely gotten away with it. But when you start a management directive on "under-monetization" that amounts to directing your managers to go grubbing for quarters down the side of the couch -- you end up with a royalty proposal like just happened with 1.1 of the OGL. It was stupid, just STUPID that would never have earned WotC all that much money, but was all but certain to lead to this gross harm to their goodwill among gamers. Dumb. Just.... DUMB. To be clear, there is no evidence that Paizo received a copy of the OGL 1.1 and there is every reason to think that they [I]probably didn't.[/I] They don't make products for 5e. They have released one book, to date, that fits that description (A [I]Kingmaker [/I]5e Bestiary) -- though there is one more slated for June 2023 ([I]Abominations Vaults[/I] 5e). [/QUOTE]
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