[Raiden]

From Joystiq:

Fallout Online and several other Interplay-developed titles may be in serious jeopardy, according to a US Securities and Exchange Commission report filed by Interplay last week. Develop discovered the filing, which spells out dire financial concerns for the immediate future of the company. Multiple times, the report states:

"If we do not receive sufficient financing or income we may (i) liquidate assets, (ii) sell the company (iii) seek protection from our creditors including the filing of voluntary bankruptcy or being the subject of involuntary bankruptcy, and/or (iv) continue operations, but incur material harm to our business, operations or financial conditions. These conditions, combined with our historical operating losses and our deficits in stockholders' equity and working capital, raise substantial doubt about our ability to continue as a going concern."

Similarly worrying, the company's current cash balance is approximately $3,000 (yes, that's just three thousand dollars, seriously), and it's operating with nearly $2.9 million in debt. The filing also illuminates the company's shift from paying its developers upfront for projects to working on a "net revenue sharing model," where devs get a cut of the final sales rather than paid when their work is complete. While that model sounds hugely profitable for third-party devs, and has been sporadically successful in the movie business, it seems to signal something less than wonderful in Interplay's case.

Additionally, the company's credit agreement has ended, which Interplay says "has resulted in a substantial reduction in the cash available to finance our operations." Rather than assure investors that everything will work out, the company again warns of potential negative outcomes, saying instead, "There can be no assurance that we will be able to enter into a new credit agreement or that if we do enter into a new credit agreement, it will be on terms favorable to us."

Currently, Interplay has five known projects, ranging from a lawsuit-entangled Fallout MMO to a sparsely detailed Earthworm Jim sequel. Several WiiWare and DSiWare projects are also in the works, though the fate of all five games could be grim given the wording of the company's SEC filing.

Link here: http://www.joystiq.com/2011/05/31/fallout-onlines-future-in-doubt-as-interplay-crumbles/

To be honest I'm always suprised to hear Interplay still even exists. It's still sad though given their part in Freespace's history.

[G0atmaster]

Yeah, exactly.  What's new about this?

[BlueFlames]

It's not the first time that Interplay has been broke.  Last time, they sold/licensed the Fallout IP, and the money from that transaction has kept them afloat until now.  My guess is that they'll license or sell the IP for MDK or Earthworm Jim to keep themselves afloat for a few more years, while they cross their fingers that they can win their court battle against Bethesda to get the Fallout MMO on the market to bring in some sustainable revenue.

It's still sad though given their part in Freespace's history.

Pfft.  What's sad is that Interplay continues to soldier on.  They started spiraling the crapper when they practically killed the Descent and FreeSpace franchises by advertising them so poorly that you had to wonder if they meant to keep D3 and FS2 a secret.  They made a bunch of lousy decisions that, by all rights, should have killed the company, and I am personally still waiting for the inevitable.

[Mort]

They sooner they fold the better. Those people have no idea how to run a business

[Grizzly]

As long as they sell their licenses to... whatever publishers their former developers are at now...

[BlueFlames]

As long as they sell their licenses to... whatever publishers their former developers are at now...

They sold Fallout to Bethesda.  I think that should make it pretty clear that whatever trashy company has the most money to offer is the one that will get whatever IP they decide to sell next.  "By gamers for gamers," gave way to the company's self-preservation instinct.

[jr2]

Hey they should change leadership and get the guy that just retired from Volition for a few years... :losthopestillsmoldering:

[BlueFlames]

Hey they should change leadership and get the guy that just retired from Volition for a few years... :losthopestillsmoldering:

Something tells me that Kulas is worth a bit more than a $3,000 salary. 

[achtung]

If they totally fail, wouldnt that make FS abandonware?

[General Battuta]

If they totally fail, wouldnt that make FS abandonware?

Nope, it's sold by GoodOldGames.

[Mongoose]

If they totally fail, wouldnt that make FS abandonware?

Nope, it's sold by GoodOldGames.

That's the thing I'm most worried about in all of this.  If Interplay does go under, the status of their deal with GOG would be very uncertain, and I'd really really hate to see a fantastic source for Descent and FS dry up.

[Scotty]

Interplay goes belly-up, Freespace IP goes up for grabs, does it not?

[SpardaSon21]

But chances are it won't be THQ who snag it.

[sigtau]

Dunno about you guys, but even if FS3 isn't made by Volition (which would be heresy IMO, but eh), I'd play it anyways.  Even if it's pure suck. 

[jr2]

In other news, EA bought the rights to the FreeSpace franchise... 

[General Battuta]

In other news, EA bought the rights to the FreeSpace franchise... 

That'd actually be pretty cool and would make me very happy.

[Turambar]

In other news, EA bought the rights to the FreeSpace franchise... 

That'd actually be pretty cool and would make me very happy.

I work with EA.  Nobody would be happy.

Edit: Also, they still haven't apologized for Command and Conquer

[General Battuta]

Yeah C&C4 was a huge and awful botch.

[Liberator]

If they farmed it out to a proper studio and didn't give it to those creeps who thought a redesign was appropriate for the last game in a series...

[PsychoLandlord]

[Srsbsns] There was no C&C 4. [/Srsbsns]

Seriously. Tiberium Wars and it's slightly less awesome expansion pack where the last two entries in the franchise in my book.