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Outriders Yet to Earn Developer Royalties

Outriders has yet to earn enough revenue to recoup Square Enix's publishing costs.
Outriders has yet to earn enough revenue to recoup Square Enix's publishing costs. / Courtesy of People Can Fly/Square Enix

Outriders developer People Can Fly says it has yet to receive royalties payments from publisher Square Enix, per a company report on its 2021 finances.

Although Outriders launched to decent popular success and strong sales, plus a placement on Xbox Game Pass negotiated by Square Enix, People Can Fly says it still has not recouped the costs Square Enix spent in promoting the game.

"Since the game was completed and placed on the market (which happened on April 1st 2021), the Company has been entitled to royalties payable if specific proceeds (as defined in the agreement) from its sales ensure that the publisher recovers a predetermined level of costs incurred in connection with the development, promotion and distribution of the game," People Can fly wrote in its report.

"The level of royalties depends on the amount of specific proceeds from the game's sales. The Group received no royalties from the publisher for the period to December 31st 2021, which means that as at the reporting date net proceeds from the sale of Outriders were insufficient to recover the costs and expenses incurred by the publisher to develop, distribute and promote the title.

"This was confirmed by the royalty statement for the fourth quarter of 2021, received by the Group from the publisher."

In May 2021, Square Enix said Outriders would likely be its next big franchise. It was one of only a few Western-based IP the company didn't sell to Embracer earlier this week in a deal worth $300 million.

People Can Fly and Square Enix will release DLC for the game, Outriders: Worldslayer, in June.