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Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

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Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#131
post #91

Earlier quoted context omitted.

They were also making 14-15K per month before that (it's mentioned in the post), so they were already extraordinarily successful as far as 2-person indie gamedev teams go.

From what?

Donations. They have a patreon and have had paypal donations long before that with the occasional donation drive to pump up numbers.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#132

Glad to see this, because they have worked long and hard on this game. For the optimistic, divide ~$4m (post-tax) by team of 2 for ~20 years (they started work in 2002). They've made some money in the meantime obviously, but seeing the final profit doesn't accurately capture the overall investment. Just in case you were thinking of quitting your day job to become an overnight millionaire making indie games.

> divide ~$4m (post-tax) by team of 2 for ~20 years So about $100k per year, per person (after taxes) I know that this is nothing out in Silicon Valley, but for reference, the median income in the US is $19k (net) per year, and about $15k (net) per year in Europe (if you include eastern Europe). I can't tell from your comment whether you feel 100k is high (hence the "optimistic") or low (hence the warning at the end)…

> I know that this is nothing out in Silicon Valley, but for reference, the median income in the US is $19k (net) per year, and about $15k (net) per year in Europe (if you include eastern Europe).

Your (net) number in the US is way too low.

The real (aka inflation adjusted) median earnings for US workers is around $42K before taxes.

Tax rates at the lower end of the income spectrum in the US are very low. Federal income tax is effectively 0% for the bottom income brackets, though they’ll have to pay some payroll taxes, state taxes, sales taxes, and others along the way. Even considering that, there’s no way to go from the >$40K median earnings to your $19K net income figure.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#133
post #91

Earlier quoted context omitted.

They were also making 14-15K per month before that (it's mentioned in the post), so they were already extraordinarily successful as far as 2-person indie gamedev teams go.

From what?

Probably from their Patreon: https://www.patreon.com/bay12games

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#135

Glad to see this, because they have worked long and hard on this game. For the optimistic, divide ~$4m (post-tax) by team of 2 for ~20 years (they started work in 2002). They've made some money in the meantime obviously, but seeing the final profit doesn't accurately capture the overall investment. Just in case you were thinking of quitting your day job to become an overnight millionaire making indie games.

Perhaps if they'd put it on steam 10 years ago the numbers would look better.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#136
post #83

Earlier quoted context omitted.

> Had DF monetized in 2006 instead of going free, and played the industry game as others do, I would not be surprised to see DF at $100M in 2023. I don't DF would have existed then, it would be hard to see it gather the same community and the creators probably wouldn't have felt as free to explore their own ideas if they felt it needed to be commercially viable. The thing that made DF's current commercial success is…

We are in a post-Minecraft world, so I don't think your criticism has any merit. Minecraft was a sandbox single-dev game that broke every mold and trope, and sold for $4 billion. Me claiming that DF could be worth $100M in a world where Minecraft was worth $4B and is likely worth much more now... not a crazy take.

Minecraft is also stupidly accessible.

The only dwarf fortress players I know IRL are also skilled with and interested in computers. Normies aren’t sinking 6 weeks (what it took me) to ramp up on DF, and certainly wouldn’t have in 2013

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#137
post #107

Earlier quoted context omitted.

> divide ~$4m (post-tax) by team of 2 for ~20 years So about $100k per year, per person (after taxes) I know that this is nothing out in Silicon Valley, but for reference, the median income in the US is $19k (net) per year, and about $15k (net) per year in Europe (if you include eastern Europe). I can't tell from your comment whether you feel 100k is high (hence the "optimistic") or low (hence the warning at the end)…

So much depends on how you measure it. But median individual income in the US is quite a bit higher than 19k no matter how you measure it. Real, adjusted, individual including non working and part-time population above 15yo: $38k/yr Including only full-time workers: $57k Median household income: $71k The US has enough problems, no need to make up much smaller income numbers than the reality. https://fred.stlouisfed.o…

I found this figure: https://upload.wikimedia.org/wikipedia/commons/b/bc/Median_p... (from https://en.wikipedia.org/wiki/Personal_income_in_the_United_...). The individual median net income was $19k around 2005-2006, maybe they were just using outdated numbers? Or it could've been a typo or misreading, as the current median net income is $29k. In any case, their point still stands with the $29k figure.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#138
post #83

Earlier quoted context omitted.

> Had DF monetized in 2006 instead of going free, and played the industry game as others do, I would not be surprised to see DF at $100M in 2023. I don't DF would have existed then, it would be hard to see it gather the same community and the creators probably wouldn't have felt as free to explore their own ideas if they felt it needed to be commercially viable. The thing that made DF's current commercial success is…

We are in a post-Minecraft world, so I don't think your criticism has any merit. Minecraft was a sandbox single-dev game that broke every mold and trope, and sold for $4 billion. Me claiming that DF could be worth $100M in a world where Minecraft was worth $4B and is likely worth much more now... not a crazy take.

Minecraft was 2009 and had a graphical interface.

I doubt that in 2006 a game with an ASCII-Interface would have been a great success if people had to pay for it.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#139
post #107

Earlier quoted context omitted.

So much depends on how you measure it. But median individual income in the US is quite a bit higher than 19k no matter how you measure it. Real, adjusted, individual including non working and part-time population above 15yo: $38k/yr Including only full-time workers: $57k Median household income: $71k The US has enough problems, no need to make up much smaller income numbers than the reality. https://fred.stlouisfed.o…

Pretty sure GP is talking about net income.

That would require greater than 50% taxation, which isn’t realistic at all in the United States.

The federal income tax rates for lower income brackets reach 0%. State, sales, payroll, and other taxes aren’t going to come anywhere near 50%.

The real, net, median income in the United States is significantly higher than what the OP quoted.

Re: Bay 12 Games has made $7M from the Steam release of Dwarf Fortress

#140
post #83

Earlier quoted context omitted.

> Had DF monetized in 2006 instead of going free, and played the industry game as others do, I would not be surprised to see DF at $100M in 2023. I don't DF would have existed then, it would be hard to see it gather the same community and the creators probably wouldn't have felt as free to explore their own ideas if they felt it needed to be commercially viable. The thing that made DF's current commercial success is…

We are in a post-Minecraft world, so I don't think your criticism has any merit. Minecraft was a sandbox single-dev game that broke every mold and trope, and sold for $4 billion. Me claiming that DF could be worth $100M in a world where Minecraft was worth $4B and is likely worth much more now... not a crazy take.

BTW the view on Minecraft is survivorship bias.

How many developers with better games failed?

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