No. Amazon Games is owned by Amazon. As of writing, their SEC filings indicate they have north of 60 Billion cash on hand. Keep in mind this is money they can spend right away on anything they want. But that’s not the whole picture. Long term assets they own close to 300 billion. Sure, they have 150 b in liabilities, but banks are not going to require them to pony up anytime soon.
So they have anywhere from 60 to 360 billion in assets they can play with. Sadly Amazon Games only got mentioned 1 time in 1 sentence and it was regarding they are developing a new game. That’s it. No balance sheet, no P&L. So we really don’t know how New world or AG is doing financially. My guess is they are breaking even or losing money, that’s why parent company Amazon is embarrassed to mention them at all in their SEC filings. That’s my speculation.
Whenever you open a new division/sub company or company in general, in the first few years you will likely lose money. But if you stick around, do the right things, borrow money when you need to, eventually everything will be paid off and you’ll begin to earn profits. Telsa was unprofitable for the first 10 years, but investors saw the opportunity to make a huge return say 15 years from now. Investors know almost all companies lose money in the first 3 to 5 years. They don’t care about the company’s current performance as much as their future performance.
Amazon Games has a huge advantage here. Its parent company is Amazon. They do not need to spend money to woo institutional investors. Both institutional and retail investors already invest heavily in Amazon, it’s just up to Amazon the parent company to decide how much money it is willing to provide to Amazon Games. With the departure/firing of head of Amazon Games I think 6 months ago, it is my speculation that Amazon higherups are not very happy with the direction Amazon Games is going.
So to answer your question, yes AG is either losing money or barely breaking even, and the loss of playerbase has certainly embarrased or perhaps angered Amazon parent company, otherwise they’d be bragging about AG on their SEC filings.
I’ve made many posts about my personal and perhaps professional advice for AG. I won’t say much about what I do in real life, but let’s just say I hold substantial positions on AMZN. Amazon the parent company is all about customer-centric. Founder Jeff Bezos credit Amazon’s early and still ongoing success to its obsessive customer-centric motto. Who is AG’s customers? We are. Are the decision makers at AG listening to its customers? I certainly don’t feel that way. Do I see hope in AG? Yes, but Amazon parent company must take swift action. Put customer-centric people in charge of AG. Hire more developers, solve problems and test them thoroughly before patch, no filler updates. Focus on PVE instead of PVP first. Hire more forums staff so they can assign feedback to developers and hold developers 100% accountable for the changes. If they screw up, then find better. That’s the only way AG will ever grow in my opinion, and any otherway we’re heading to you know what. There’s been many topics on predicting the demise of New World and AG, at first I didn’t pay too much attention, but with each day passing and the sub-par results of the game, it’s hard to keep faith in AG unless they begin to listen and take rapid actions.
Again, New World may have began as a “PVP” game, but in order to survive and thrive, it must be a PVE game first. Especially with huge problems in PVP (I haven’t touched PVP in months, boring, bots, bunch of toxic groups in OPR). As with any MMO, you have to have a lore, a story, New World has begun to realize this as they introduced the Tempest, however, that alone won’t cut it for me. Why is WoW still so successful after 20 years? The graphics sucks compare to NW. However, the story. Immense story. WoW’s PVP sucks too, that’s why they don’t focus much at all about it. They put all of their efforts into the story, and PVE.
Not to mention, WoW has privately learned this lesson long ago, toxic PVP player base actually is the #1 reason new and old players quit. If AG wants to see more playerbase, it’s simple, take action against toxic PVP player base. This may hurt short term, but in long term, this will greatly benefit playerbase quality and quantity. There are toxic PVE too but the lion share goes to PVP. Something about the average personality of a PVP only player - they thrive on power, and will do anything and everything to get it, constantly, and they thrive on going after people, even go as far as harassing people, belittling them, etc. That’s toxic. And nobody wants to be in a toxic environment.
