LawBreakers' publishers have written it off, and they blame PUBG | PCGamesN

LawBreakers' publishers have written it off, and they blame PUBG

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LawBreakers publishers Nexon have written off the entire value of the hero shooter, and blamed its failure - at least partially - on PlayerUnknown’s Battlegrounds.

What else could have gone wrong? Check out Cliffy B's competition: the best shooters on PC.

In a Q&A session with investors, Nexon’s CFO Shiro Uemura says “we will not be accruing any other impairment loss pertaining to Lawbreakers in the future.” Impairment loss is a decrease in an asset’s book value that is greater than its predicted cash flow, so for Nexon to say they will not incur any further such losses means they have written off LawBreakers’ value on their balance sheet.

Nexon didn’t say exactly how much money they lost on LawBreakers, but said it “accounts for the majority” of their Q3 expenses, which totalled roughly $32.6 million.

That’s a pretty spectacular failure in any assessment. By way of explanation, Uemura says:

“Our results in North America in the third quarter were below our outlook, mainly due to the sales from Lawbreakers being below our expectations. Lawbreakers is a unique FPS developed for core users. We had very high expectations for its launch; however, the timing of its launch turned out to be unfortunate, specifically the blockbuster PC online game PlayerUnknown’s Battlegrounds came out right about the same time, making the market environment very tough for first-person shooters in general and for Lawbreakers.”

PUBG isn’t an obvious competitor for Lawbreakers, as they’re very different types of shooter. Still, there is at least some overlap in their audiences, and such was the scale of PUBG’s success that perhaps it cast a wider shadow than one might think.

You can peruse Nexon's quarterly financial presentation here.

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SethSamson avatarQDP2 avatarThe Great Gratzby avatarCursedNaruto avatarWeilan avatar
The Great Gratzby Avatar
146
3 Months ago

While I don't disagree with the spirit of the other comments, it's worth highlighting that it's Nexon's CFO issuing these statements, not Bleszinsky.

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SethSamson Avatar
3
3 Months ago

HA HA HA HA HA they only can blame themselves for pissing on players announcing the game first as F2P and then changing to B2P P2W .. oh Cliff Cliff

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CursedNaruto Avatar
29
3 Months ago

I think we can all agree publishers don't care about players but players money and developers need to grow back bones and not cripple their games with in-game purchases

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Weilan Avatar
2
3 Months ago

The game was never anything extraordinary, it released at a bad time, it released as B2P. Too bad but that's how stuff is.

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QDP2 Avatar
961
3 Months ago

Why did our shooter fail? Clearly the failed investments are because someone made too good a game.

Wow. I mean come on Cliffy, at least admit defeat gracefully. You're really going to go out naming excuses for why there was no player retention? People happily play two games at once, the flaw was that very few felt excited to play more of the game. PUBG gives you a definitive solo score to improve on, LawBreakers doesn't. There's little to no satisfying reason to actively play your niche slot. It's the same reason why Quake and Unreal Tournament disappeared for so long.

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