Plan for Jay Barnson
by Jay Barnson · 06/28/2005 (3:12 pm) · 5 comments
So, how important is original IP (Intellectual Property)? What about licensing IP? And how much is your IP worth? And does it make ANY difference to small, indie studios on a budget?
Stuart Roch made an argument that "Original IP doesn't sell" in the retail market. Maybe so, maybe not. But there are some great counterpoints.
Scott Miller has made SEVERAL posts about the value of owning your own IP.
Game Developer magazine this month has an article about licensed versus original IP. Interestingly enough, 34 of the 40 top games of the past decade (1994-2004) were ORIGINAL TITLES. 17 of the top 20 were original titles. GoldenEye 007 was the sole licensed IP to break the top ten.
Warren Spector gave a speech at GDC last year that was somewhat controversial about his desire to crank out licensed games (You can see some post-GDC crossfire between Greg Costikyan and Warren Spector if you hunt a little bit at www.costik.com/weblog/2003_03_01_blogchive.html)
Does this apply to indies? Sure thing. We may not be in the position to work with A-list properties, but there are still opportunities. A few months ago Orson Scott Card signed a deal with eGenesis (the indies responsible for the MMORPG "A Tale In the Desert) for a game based on his Alvin Maker series. 731 Studios recently obtained the rights to make a computer game based on the cult classic RPG "Macho Women With Guns." When I asked how he scored the license, Mario Bonassin answered, "I asked." Licensing existing IP is about marketing - its a brand that can bring you customers, make you stand out from similar but generic titles, and act as a "seal of approval" from the IP owner on your product. There are some great opportunities out there.
But switching it around - what value is there to being an IP holder? Especially as in indie when your sales are an order of magnitude below what the big boys would consider a flop. Is that even worth anything? There was a point where if someone turned around and offered me $5,000 to buy Void War - code, IP, and all - I'd have only asked where I should sign. Split it up with the team, have a pizza party, and call it good. And while the jury is still out, I think that would have been a terrible decision.

The game was not (and still isn't) a huge moneymaker. But there are a surprising number of opportunities that have come up because my company has successfully completed and sold a title, and because we own the game (and can control the fact that our company name is on it, along with everyone's name in the credits). Not all of these pan out, of course - but I'm floored by how many doors this opened, both for Rampant Games and for some of the indivuduals who worked on this project. Talking with other indies who have released games out there, I discovered I'm hardly unique. Even if you can't fully exploit the possibilities of your properties yourself - there are people out there who CAN, and by retaining those rights you are in a position to work with them, and hopefully make a little more money for everyone involved.
I think part of the reason the game development biz has started sucking so bad lately is that many professional studios undervalue their IP rights (a myth which publishers are oh-so-happy to promote and capitalize on). Likewise, a lot of beginners tend to overestimate the value of their own IP, expecting the world to beat a path to their door because they have some concept art and a blog.
In the last two years, I've had my eyes opened a bit concerning the opportunities that are out there for small, independent studios. No, they aren't easy paths to fame and wealth. It's a lot of hard work that I'm not always certain is worth it. But the potential is there. But a lot of it hinges upon you going out there and making it happen, thinking outside the box, networking with others - and seeing your projects through to completion.
Jay Barnson
Rampant Games
Stuart Roch made an argument that "Original IP doesn't sell" in the retail market. Maybe so, maybe not. But there are some great counterpoints.
Scott Miller has made SEVERAL posts about the value of owning your own IP.
Game Developer magazine this month has an article about licensed versus original IP. Interestingly enough, 34 of the 40 top games of the past decade (1994-2004) were ORIGINAL TITLES. 17 of the top 20 were original titles. GoldenEye 007 was the sole licensed IP to break the top ten.
Warren Spector gave a speech at GDC last year that was somewhat controversial about his desire to crank out licensed games (You can see some post-GDC crossfire between Greg Costikyan and Warren Spector if you hunt a little bit at www.costik.com/weblog/2003_03_01_blogchive.html)
Does this apply to indies? Sure thing. We may not be in the position to work with A-list properties, but there are still opportunities. A few months ago Orson Scott Card signed a deal with eGenesis (the indies responsible for the MMORPG "A Tale In the Desert) for a game based on his Alvin Maker series. 731 Studios recently obtained the rights to make a computer game based on the cult classic RPG "Macho Women With Guns." When I asked how he scored the license, Mario Bonassin answered, "I asked." Licensing existing IP is about marketing - its a brand that can bring you customers, make you stand out from similar but generic titles, and act as a "seal of approval" from the IP owner on your product. There are some great opportunities out there.
But switching it around - what value is there to being an IP holder? Especially as in indie when your sales are an order of magnitude below what the big boys would consider a flop. Is that even worth anything? There was a point where if someone turned around and offered me $5,000 to buy Void War - code, IP, and all - I'd have only asked where I should sign. Split it up with the team, have a pizza party, and call it good. And while the jury is still out, I think that would have been a terrible decision.

The game was not (and still isn't) a huge moneymaker. But there are a surprising number of opportunities that have come up because my company has successfully completed and sold a title, and because we own the game (and can control the fact that our company name is on it, along with everyone's name in the credits). Not all of these pan out, of course - but I'm floored by how many doors this opened, both for Rampant Games and for some of the indivuduals who worked on this project. Talking with other indies who have released games out there, I discovered I'm hardly unique. Even if you can't fully exploit the possibilities of your properties yourself - there are people out there who CAN, and by retaining those rights you are in a position to work with them, and hopefully make a little more money for everyone involved.
I think part of the reason the game development biz has started sucking so bad lately is that many professional studios undervalue their IP rights (a myth which publishers are oh-so-happy to promote and capitalize on). Likewise, a lot of beginners tend to overestimate the value of their own IP, expecting the world to beat a path to their door because they have some concept art and a blog.
In the last two years, I've had my eyes opened a bit concerning the opportunities that are out there for small, independent studios. No, they aren't easy paths to fame and wealth. It's a lot of hard work that I'm not always certain is worth it. But the potential is there. But a lot of it hinges upon you going out there and making it happen, thinking outside the box, networking with others - and seeing your projects through to completion.
Jay Barnson
Rampant Games
About the author
Jay has been a mainstream and indie game developer for a... uh, long time. His professional start came in 1994 developing titles for the then-unknown and upcoming Sony Playstation. He runs Rampant Games and blogs at Tales of the Rampant Coyote.
#2
This is true. HOWEVER - I had guys on my team gain new money-making contracts (and full-time job offers) based on their work on Void War. Look at how Bioware has managed to create its own IP based on its work on licensed products. Working with licenses opens doors, too. If you can attach your name to a popular, winning property, you can potentially leverage that to new things (In Bioware's case, they achieved brand recognition from their stellar work on the Baldur's Gate, Neverwinter Nights, and Knights of the Old Republic series).
I've also had opportunities that have kinda opened up with a "you scratch my back, I'll scratch yours" agreement. Nothing really huge has developed from those yet, but if you have an artist who needs a programmer, and you are a programmer who needs an artist, there CAN be some trading back-and-forth that can be very beneficial to both parties.
I'm still kinda exploring what's possible on my end - and I KNOW I haven't pushed it as much as I could have. I just wanted to let people know that there's light at the end of the tunnel - even if your game isn't a blockbuster Halo-killer - and to remind people not to sell their IP for a mess of pottage. It certainly has its price (I'd still sell Void War clean & clear in a heartbeat if the price was right!), but its higher than many developers give it credit for.
06/28/2005 (4:25 pm)
Joshua - This is true. HOWEVER - I had guys on my team gain new money-making contracts (and full-time job offers) based on their work on Void War. Look at how Bioware has managed to create its own IP based on its work on licensed products. Working with licenses opens doors, too. If you can attach your name to a popular, winning property, you can potentially leverage that to new things (In Bioware's case, they achieved brand recognition from their stellar work on the Baldur's Gate, Neverwinter Nights, and Knights of the Old Republic series).
I've also had opportunities that have kinda opened up with a "you scratch my back, I'll scratch yours" agreement. Nothing really huge has developed from those yet, but if you have an artist who needs a programmer, and you are a programmer who needs an artist, there CAN be some trading back-and-forth that can be very beneficial to both parties.
I'm still kinda exploring what's possible on my end - and I KNOW I haven't pushed it as much as I could have. I just wanted to let people know that there's light at the end of the tunnel - even if your game isn't a blockbuster Halo-killer - and to remind people not to sell their IP for a mess of pottage. It certainly has its price (I'd still sell Void War clean & clear in a heartbeat if the price was right!), but its higher than many developers give it credit for.
#3
I had a reply that I spent about 40 minutes writing, but it disappeared when I hit submit. Unfortunately, this isn't the first time that has happened. =(
(edit)
Anyway, to make this reply not entirely useless...
From purely a game design point of view, I tend to agree with Warren Spector (it's been a while since I read this debate) that any good developer can create a good game, regardless of the property. I think it's probably easier to innovate with game mechanics, though, if you're not restricted by someone else's vision. (e.g. "Jedi's don't burrow!") The danger of using someone else's IP is that it can be too tempting to slap the theme onto the same-old FPS or RTS gameplay (see "Age of Star Wars".) Of course, business-wise, that might be good enough.
06/28/2005 (6:54 pm)
Interesting thread. I had a reply that I spent about 40 minutes writing, but it disappeared when I hit submit. Unfortunately, this isn't the first time that has happened. =(
(edit)
Anyway, to make this reply not entirely useless...
From purely a game design point of view, I tend to agree with Warren Spector (it's been a while since I read this debate) that any good developer can create a good game, regardless of the property. I think it's probably easier to innovate with game mechanics, though, if you're not restricted by someone else's vision. (e.g. "Jedi's don't burrow!") The danger of using someone else's IP is that it can be too tempting to slap the theme onto the same-old FPS or RTS gameplay (see "Age of Star Wars".) Of course, business-wise, that might be good enough.
#4
06/28/2005 (9:42 pm)
I think it's good to have both. Original and refried. :)
#5
I needed art terribly, and found an artist who needed some code. Well, having only worked with TGE for a month or so, the code was beyond my abilities. Several TGE experts had tried and failed to do the player rewrite... I took it anyways, knowing that I don't give up easily.. A month or so later I completed the mod and secured half the art or so for my game... I could not have gotten the art any other way.
06/29/2005 (8:09 am)
"but if you have an artist who needs a programmer, and you are a programmer who needs an artist, there CAN be some trading back-and-forth that can be very beneficial to both parties. "I needed art terribly, and found an artist who needed some code. Well, having only worked with TGE for a month or so, the code was beyond my abilities. Several TGE experts had tried and failed to do the player rewrite... I took it anyways, knowing that I don't give up easily.. A month or so later I completed the mod and secured half the art or so for my game... I could not have gotten the art any other way.

Torque Owner Joshua Dallman
Default Studio Name
I too saw the article in this month's issue (I also noticed your favorite full-page ad towards the back!). a lot of stuff in gdmag is hard to relate to the indie scene, so I love this kind of discussion.
first of all, ip discussion aside, it's very encouraging to hear what doors unknown have opened as a result of getting your game out there. it makes me ache to complete a title myself. and it's also great to hear that it's opened opportunities for your team members, as with as little as I can pay that's definitely part of the benefits of working on a project -- that it will lead to bigger and better things for everyone.
another little side-track re: ip... let's not forget the classic "star wars" example, which is so famous I don't even have to repeat it. but imagine if he didn't see the value of his IP...
I like your $5k example, it's like, you can eat your profits, and then you have some satisfaction while eating, or you can grow your children, and their children can grow, and their children... then eventually you can eat those, and there's plenty more. ok, wierd example, but you get the gist of it. maybe void war won't have any children. but it got some pretty darn good reviews, especially in the gameplay department. maybe one day you're inspired to do a VW2, clean it up, add sweet shaders, keep it casual, bust out features and hidden extras, and suddenly you have a hit. or maybe you do a void war animated film, or comic book, or who knows what. you keep your IP and you keep your options.
now, I'm not excited and a half about post-shelled opportunities, but there's plenty. 2d cellphone game (3d cellphone game?), flexarcade, zodiac, pvc tanks... heh... same with nutcracker's revenge: comic book, animated film, clara plush doll... there's lots of possibilities
conversely, I've considered going after small-time/indie/underground IP to approach with game offers, but (1) don't want the legal headaches, and (2) why develop someone else's IP when your return can never truly be long term? just feels like one step away from no longer being indie... so I'm resolutely against using the IP of others just for a quick buzz. because when the high wears off, you're left with someone else's property.