Hello all! I have been lurking for some time, and am considering going all the way here with SI (though lifetime membership is now $200!!! Yikes!). I have recently decided to go back to school and am working on dual MS in finance and accountancy.
Enough about me :)
Having read this board for a while, I can firmly say that I agree with everyone! Eidos does have the best product in the pipeline, the stock is undervalued, and the acquisition thing is not a good sign.
Regarding the possibility of an acquisition: why do it? I don't see the logic in buying out anybody UNLESS they have a franchise title (s). When ERTS bought Origin, they got Ultima and Wing Commander and some simulations (strike commander, etc). To this day they have built the franchises: Ultima online, Wing Comm. the movie, and the simulations have resulted in the best flight sims on the market with the well respected Janes label. THAT is what an acquisition should look like.
If EIDSY buys Rage, what do they get? Incoming? Don't say development talent, because we all know that they will either become too expensive or walk. Psygnosis would just be way too expensive. So what is left? Want to hear something crazy? Microprose! Yes, I am certifiably insane :P At least they would be buying franchises, though they made it clear that they don't want to mess with simulations.
Here is the real solution: publishing. Sure margins are lower. Sure someone else may buy out these development houses. But why be locked down into buying when you can lease :) Naturally, a decision would be based on crunching a lot of numbers to which we are not privy. But why buy an Ion Storm when you just KNOW that your top talent will boogy away whenever they want? Could Id keep Romero? Could ERTS keep Spector? Did ERTS get to keep Molyneux a year after they bought Bullfrog? Did Core not lose some talent after TR1? Talent comes and goes; franchises can be built and milked for a long time.
EIDSY should continue to build its distribution might, keep working its marketing machine, and sign multi-game deals with solid designers. If they can make a cherry of a deal and get some genuine commitments from the talent, then great. We all know that anything technology driven comes down to the "big 3" (or the "big one"- the gorilla) and I want Eidos to be there. Just want them to be smart about it...
Great to meet you,
Jeff |
