Pathfinder Online Layoffs; Ryan Dancey Leaves Company

Paizo CEO Lisa Stevens has announced that Goblinworks has had to lay off nearly the entire staff of Pathfinder Online. "We knew we needed a certain amount of money to finish to build the game, and we came really damn close, but we just couldn’t find the last bit of funding that we needed. […] Last Friday, we had to lay off most of the staff. […] I couldn’t pay them anymore. We gave them lots of warning, so they all knew this was coming." Not only that, apparently Ryan Dancey left the company two weeks ago! That leaves three employees (who are continuing work on the game), who are being moved to the Paizo offices; the Goblinworks offices are being closed. The company is seeking $1-$2 million from other investors to finish the game.
Paizo CEO Lisa Stevens has announced that Goblinworks has had to lay off nearly the entire staff of Pathfinder Online. "We knew we needed a certain amount of money to finish to build the game, and we came really damn close, but we just couldn’t find the last bit of funding that we needed. […] Last Friday, we had to lay off most of the staff. […] I couldn’t pay them anymore. We gave them lots of warning, so they all knew this was coming." Not only that, apparently Ryan Dancey left the company two weeks ago! That leaves three employees (who are continuing work on the game), who are being moved to the Paizo offices; the Goblinworks offices are being closed. The company is seeking $1-$2 million from other investors to finish the game.

Pathfinder Online was being produced by Goblinworks, a new company spearheaded by Ryan Dancey and Lisa Stevens, amongst others. It has had two successful Kickstarters already - one for a million dollars, and the other for a $300K technology demo.


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Here's the full announcement from Lisa Stevens:

To the Pathfinder Online Community

From the beginning of the three year journey to create Pathfinder Online, the one constant has been the support of our community and for this I thank you. We have had ups and downs including heated debates on design, implementation and overall gameplay. We have literally battled together (or against each other) and I know you enjoy playing the game as much as I do. I also know that the community comes together during tough times, and it is probably no surprise that we are currently in a tough spot right now. There are a number of things that have occurred in the past two weeks that you need to be brought up to date on.

As we have been on this journey to create Pathfinder Online with you for over three years now, we have striven to be as transparent as possible with you. We just shared the following message with the community during our weekly Keepside Chat. In full transparency, here is a quick run down of the state of our game:

EE10.2 is on ZOG for final testing and should roll out to live on Thursday or Friday morning.

EE11 is targeted for the end of September

Ryan Dancey has had to resign from the company for personal reasons (Lisa Stevens will be acting CEO)

Finances are tight at Goblinworks, which has resulted in the layoff of the majority of Goblinworks staff

CTO Mark Kalmes, Art Director Mike Hines, and Designer Bob Settles continue to push the game forward (your monthly subscriptions are what keep these three employed and the server up)

Goblinworks is in talks with multiple game publishers to take the game on and bring it to Open Enrollment

I know that is a lot to take in, so I will share what details we can below:

Game status (EE10.2 and EE11)

We are in final testing before pushing EE10.2 to the live server with its fully revamped and improved new player experience, buy orders for the auction house as well as auction sales histories, settlement chat, and the new crystal ogres monthly event, as well as turning the previous event (The Wrath of Nhur Athemon and its Shadow counterpart) into an ongoing escalation, and making a bunch of bug fixes and improvements. The team has been working hard on this and on EE11 for most of July and August. EE11 is done in design, almost entirely done in art, and just needs a bit more programming to get it to the point where we can test. It will take settlement activities to the next level by allowing you to customize and build your settlements the way you want to. Building a settlement will be a large group task, with lots of raw materials to gather and refine before buildings can be erected. We will also have the dark elves monthly event ready, providing more PVE content for those who are focused on that aspect of the game. The core team has the goal of shipping EE11 by the end of September, and we'll keep you updated on our progress.

Ryan Dancey

Ryan Dancey needed to resign from the company for personal reasons. We were very sad that he needed to leave us, but supported his decision because it is in the best interests of Ryan’s life outside Goblinworks. In Ryan’s absence, the board of directors has appointed me Acting CEO.

Finances

We have always known that we would need a certain amount of money to make Pathfinder Online a reality. Some delays in getting the game to market coupled with some anticipated funding falling through have left us about 75% short of the money we need to finish the game and bring it to Open Enrollment. We knew that we could cut our burn rate (the rate at which expenses burn your cash reserves) by having folks participate in Early Enrollment and that was always the plan, though we never thought that the Early Enrollment subscribers could carry the company to Open Enrollment. We knew we needed that full investment amount to do that. We had numerous times this year where the full funding was dangling in front of us only to be snatched away at the last moment. Very frustrating, but we moved forward and kept looking for somebody to come through with the money we needed to see the game through.

Due to the commitment that you have made to the game, your current subscriptions are able to keep the core team employed and the servers live. We will continue to move the game forward with that team and keep the servers live as long as the continued financial support from the community is there. But that means we need you, the Pathfinder Online Community, to continue to support us with your monthly subscription fees. They are very literally what is keeping the servers paid for, and keeping our core team employed, working on EE11, and talking with various potential partners about purchasing the game so they can finish it. If you wish to see the game through to its finish, we need you to support it financially for the next few months, and if you know people that want to support it, encourage them to subscribe now. (During this period, we will offer only month-to-month subscriptions.)

On August 28, we had to lay off the majority of the Goblinworks staff. Continuing to push the game forward are CTO Mark Kalmes, Art Director Mike Hines, and Designer Bob Settles. We have been keeping the staff abreast of our efforts to find funding for Pathfinder Online and that we would likely have to lay them off on the 28th. We felt it was super important to give our employees warning so they could plan their lives accordingly. Their efforts to line up new jobs led to some of the rumors about layoffs. So why didn’t we announce this earlier? Because there was and still remains a chance for Pathfinder Online to get its funding and continue forward, so it wasn’t a foregone conclusion that we would have to lay the staff off until Friday, the 28th.

Future

For the past few weeks, we have been shopping Pathfinder Online to a number of other game publishers, looking for a good fit to take the game on and fund it over the finish line. There have been quite a few companies coming out of the woodwork to discuss this with us and we are in ongoing talks with a number of them about the possibilities. More companies enter the fray every day. These kinds of things take some time, though we are motivated to see them through as quickly as we can. At any moment, one of these publishers could agree to buy the game and we could quickly ramp up to full tilt again. Due to confidentiality, we can’t provide information on these negotiations. Rest assured that you will be the first people we tell when there is news we can share.

This isn’t a super rosy picture, but we aren’t dead yet! The Goblinworks team and the Pathfinder Online community have been underdogs for pretty much the entire project’s history. But we have persevered and survived. Sometimes it is darkest right before the dawn. When I was at White Wolf, we were close to having our electricity and phones shut off in the month before Vampire: The Masquerade released and became a huge hit. At Wizards of the Coast, we had to lay off the entire staff for 9 months before Magic: The Gathering launched and became one of the most successful games in history. You have my word that I will work relentlessly to find the right partner to take Pathfinder Online through to the finish line. The team has brought the ball down the field to the red zone, and now we just need somebody to punch it over the goal line.

I will be hosting another Keepside Chat on Wednesday, September 8th at its normal time of 5pm PST. You can join the chat live by going to:

Golarion.mumble.com

Port 3093

The ability for us to make Pathfinder Online has always been entirely dependent upon you, the Pathfinder Online Community and the support you have given us. I would like to thank the Pathfinder Online community for your fierce dedication, support, feedback, and drive to see this game made well. The only reason to make Pathfinder Online is you, our customer. I hope you will stay with us over the next few months as we search for that proper partner to finish the game. It is your support, literally, that will allow this to happen. Without you, there is no Pathfinder Online.

You have my eternal gratitude,

Lisa Stevens
Acting CEO
Goblinworks Inc.






Original post:
Goblinworks has laid off all but three of the Pathfinder Online staff.

 

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While this is entirely possible, I have to admit that I seriously doubt this. The CEOs and companies of the world have cried Wolf way, way, way, way too many times for any of us to believe this any more.

Said every politician bailing on a disaster...ever. Maybe it's pure incredible coincidence that he leaves for personal reasons a mere 2 weeks before the entire company runs out of money and implodes...but all you have to do is ask yourself this: but-for his personal issues, would he still have a job today at the company?

Yeah, it's certainly possible that Dancey bailed a sinking ship or was "encouraged" to leave rather than having real personal issues to deal with. But why assume the worst? It's not like Paizo and Goblinworks are high up on the "evil corporations that love to deceive the populace" list and have given us any reason to doubt what they release publicly. I choose to take them at face value. You choose to see something foul smelling underneath the surface.

While I don't disregard the possibility not all is as amicable as Goblinworks has told us, ultimately, I'm not going to waste mental energy on trying to see harm floating beneath the surface. Why? While it's sad that a pile of folks lost their jobs, it happens every day to good people who recover from such setbacks. And it's in an industry where such job losses are more common than long-term careers with any given company. And the general (gaming) populace, what have we lost? A game. We'll have to move on and play other games.

I hope that all affected by the disintegration of Pathfinder Online and Goblinworks land on their feet and move on to good things, including Ryan Dancey.
 

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Not forgetting that at all, but that wasn't my point. The d20 license ended up not so good for WotC, the company he worked for. When they created it, it was meant for adventure creation.

That's not it at all. As Dancey said at the time, the intent was to secure the 3.x rules base in case of capricious decisions by the IP owners at a later date. His aim was to keep the game alive forever. It did exactly what he intended, and it still lives as Pathfinder. This was intended behaviour.

He and Adkison, etc., had their exit strategies. They built 3.x, sold it to Hasbro, and exited having secured it as a perpetual open game. They batted (I have no idea how that colloquialism works*) 100-1.


*Not a request for explanations.
 


That's not it at all. As Dancey said at the time, the intent was to secure the 3.x rules base in case of capricious decisions by the IP owners at a later date. His aim was to keep the game alive forever. It did exactly what he intended, and it still lives as Pathfinder. This was intended behaviour.

That's the OGL, I was talking about the d20 license in that quote.

But as for the OGL, I'm not sure the heads of WotC sat around the table thinking it would be good for another company to some day outsell them with what is fundamentally their own game. But if they did, yes, mission accomplished, I guess.
 

This is one of the reasons that I NEVER back software projects on Kickstarter. They fail, more often than not. Tabletop RPG companies need to quit trying to get into the MMO market.

These days, I really only back rpg Kickstarter projects where the writer/designer has essentially finished the product and is just looking for money for additional art and/or printing. I never back anything done by an person who has EVER run a Kickstarter project that funded but was never delivered (or delivered less than promised), either.
 

This is one of the reasons that I NEVER back software projects on Kickstarter. They fail, more often than not. Tabletop RPG companies need to quit trying to get into the MMO market.

WotC seems to have succeeded. Twice. DDO and Neverwinter. Plus a non-MMo (SCL) coming up.

Tabletop RPG companies totally need to keep trying various things. Video games, MMOs, board games, card games, mobile apps, the lot. Hell, movies and novels and comics too!
 

Yeah, it's certainly possible that Dancey bailed a sinking ship or was "encouraged" to leave rather than having real personal issues to deal with. But why assume the worst? It's not like Paizo and Goblinworks are high up on the "evil corporations that love to deceive the populace" list and have given us any reason to doubt what they release publicly. I choose to take them at face value. You choose to see something foul smelling underneath the surface.

Any way you look at it 8,732 fans had invested over a million dollars in that company through kickstarter and are having the promise to complete this game by June of 2014 broken. They read the "Risks and Challenges" section of the Kickstarter that Ryan Dancey wrote which (in his words) made it seem like there was only a "very small chance" the game would not be released. A lot of those people were friends of mine, and peers, and fellow gamers. Millions were also invested by private investors and their money was thrown away as well. We're already long past "reason to doubt" - that IS reason to doubt what's been said publicly. That doubt was earned in this case - they had the positive karma two and a half years ago, but lost that karma on their own and not through the actions of anyone else. And then on top of that, he said the two things I described above. Giving the benefit of the doubt is fine when there is still doubt - but they already showed the doubts were real with what's happened so far.

How about you give fans some benefit of the doubt at this point in having legitimate issues with all this? Have a shred of sympathy for people who were burned here. Ryan Dancey has some responsibility for his own actions, at some point, doesn't he? I mean, I think it's wrong to hate on him. He's a fellow gamer, he's done some good in this industry by fans as well, and he certainly doesn't deserve any personal issues if those turn out to be real - but you taking issue with people having a hard time (after all this) getting lots of sympathy going for him? Cut people some slack here.

I hope that all affected by the disintegration of Pathfinder Online and Goblinworks land on their feet and move on to good things, including Ryan Dancey.

As do I.
 
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Any way you look at it 8,732 fans had invested over a million dollars in that company through kickstarter and are having the promise to complete this game by June of 2014 broken. They read the "Risks and Challenges" section of the Kickstarter that Ryan Dancey wrote which (in his words) made it seem like there was only a "very small chance" the game would not be released. A lot of those people were friends of mine, and peers, and fellow gamers. Millions were also invested by private investors and their money was thrown away as well. We're already long past "reason to doubt" - that IS reason to doubt what's been said publicly. That doubt was earned in this case - they had the positive karma two and a half years ago, but lost that karma on their own and not through the actions of anyone else. And then on top of that, he said the two things I described above. Giving the benefit of the doubt is fine when there is still doubt - but they already showed the doubts were real with what's happened so far.

How about you give fans some benefit of the doubt at this point in having legitimate issues with all this? Have a shred of sympathy for people who were burned here. Ryan Dancey has some responsibility for his own actions, at some point, doesn't he? I mean, I think it's wrong to hate on him. He's a fellow gamer, he's done some good in this industry by fans as well, and he certainly doesn't deserve any personal issues if those turn out to be real - but you taking issue with people having a hard time (after all this) getting lots of sympathy going for him? Cut people some slack here.

Nobody got "burned", no promises were broken. I have no sympathy for those who feel burned, although I'd rather the project worked out for fans and for Goblinworks. All those folks invested in a project that failed. That's what happens sometimes when you invest money into something. Saying that folks were burned implies bad action on the part of Goblinworks, of which there is no evidence. And by "bad action", I don't mean incompetence or making mistakes, but a deliberate attempt to deceive and scam folks out of money. So, yeah, I got no sympathy for "burned" fans or investors.

Did Dancey, and other Goblinworks employees, hype up their project? Yes, of course they did! Where they dishonest about it? Or simply believed in their own hype? You and I don't know for sure, but without any evidence to the contrary, I'm going to assume that Dancey et all were 100% honest with their backers and truly believed in the promise of their project. The fact that the project failed doesn't change that.
 

But as for the OGL, I'm not sure the heads of WotC sat around the table thinking it would be good for another company to some day outsell them with what is fundamentally their own game. But if they did, yes, mission accomplished, I guess.

Other than, potentially, a brief window where WotC wasn't actually putting out any significant D&D product, there never has been a third party company that has outsold them.

But anyway, whether the OGL/d20 licenses were a success or not depends on who you talk to. Were they a failure for Dancey? Were they a failure for the fans? How about for the many small game companies that profited off the licences? And of course, was it a success for WotC? And really, different layers of management over at WotC/Hasbro, and different management teams over time, might also have different opinions on whether OGL and d20 was a success.

I'd argue that the licences were a stupendous success for the fans, for small game companies, and for Ryan Dancey. I'd argue that the folks over at WotC during the 3E era were happy with some of the results of the license, but unhappy with some of the unforeseen side effects. Which is why, during 4E, we got a different, more restrictive license. But I also think all this arguing about the granular details of success is a bit silly and just more fan crankiness.
 


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