Tag: City of Heroes

City of Heroes Details Reimbursement


Sorry, City Of Heroes players. NCSoft has finally broken their silence over the incoming shut down of City Of Heroes, and it wasn’t to announce that the talks with Paragon Studios and player support had moved them to change their minds. Rather, the publisher announced the expected round of compensation and reimbursement.

Players who were VIP as of September 1st will remain so for the rest of the MMO’s life. Outstanding balances as of September 1st will be reimbursed, as well as Paragon Points purchased after August 24th. If your outstanding balance was purchased with a game card, you will be required to submit a support ticket and have NCSoft call you to reimburse via wire transfer. If that is not possible, players will receive a check by mail.

There are several events planned to take City of Heroes to its sunset with a bang.

(source: NCSoft)

Night Cap: Save City of Heroes, Save NCSoft


Welcome to your night cap. If you pay attention to MMO news, odds are you already know that City of Heroes will be shutting down this November 30th. That is, of course, assuming NCSoft completely dismisses the overwhelming support given by the community and Paragon Studios to keep the game running. But for all intent and purpose, let’s assume the train is already halfway over the bridge, and the bridge is out. There is no turning back, the game is over. For the sake of this conversation.

NCSoft is growing its collection of disenfranchised customers. Auto Assault was shut down rather than humoring potential buyers, Dungeon Runners had a small but loyal community who also shot back at NCSoft when the MMO shut down. And I don’t think I have to point out the vile, and rather justified, hatred over the closure of Tabula Rasa and the fraudulent firing of Richard Garriot which left a $28 million hole in NCSoft’s pocket and a big dent in their revenue.

So assuming that talks break down and NCSoft refuses to change their minds, the end result can only be even more angry ex-customers. And where does NCSoft win in this equation? If City of Heroes was not drawing a profit, well the answer is obvious. But if the game was performing well as the players and Paragon Studios would like us to believe, then the benefits for NCSoft are rather foggy. Rather than making whatever profit was to be had from City of Heroes, apparently NCSoft would rather take no income at all. Then again, as NCSoft’s markets shift back over to Korea, and the Western hemisphere has shown little signs of interest in their import MMOs (Lineage, Aion), perhaps NCSoft doesn’t put much merit into what the North American and European markets think.

I have very little doubt that someone will open up a private server, so odds are people will still be enjoying City of Heroes, whether or not NCSoft sees a dime from it. Of course, MMO Fallout does not endorse the legally grey are of the internet that is the private server.

Good night.

City of Heroes Isn't Going Down Without A Fight


NCSoft may have announced that City of Heroes is shutting down on November 30th, but that doesn’t mean the community (or Paragon Studios for that matter) are going down without a fight. Since the announcement, the community has rallied in multiple ways, from encouraging users to write to NCSoft, setting up rallies in-game and on the official forums, and signing petitions to keep the game running. The petition has so far amassed over thirteen thousand signatures.

And Paragon Studios isn’t going down without a fight either. According to a post on the City of Heroes forum:

Alpha Wolf: Sorry guys but I don’t have any new update. I know Paragon management is having discussion with ncsoft and investors. Continue get people to sign online petitions, post on game forums, and just continue to make noises so ncsoft cannot ignore players.

Naturally this isn’t a guarantee that anything will come of the talks, but it offers hope to Paragon’s longstanding community.

(Source: Titan Network)

City of Heroes Isn’t Going Down Without A Fight


NCSoft may have announced that City of Heroes is shutting down on November 30th, but that doesn’t mean the community (or Paragon Studios for that matter) are going down without a fight. Since the announcement, the community has rallied in multiple ways, from encouraging users to write to NCSoft, setting up rallies in-game and on the official forums, and signing petitions to keep the game running. The petition has so far amassed over thirteen thousand signatures.

And Paragon Studios isn’t going down without a fight either. According to a post on the City of Heroes forum:

Alpha Wolf: Sorry guys but I don’t have any new update. I know Paragon management is having discussion with ncsoft and investors. Continue get people to sign online petitions, post on game forums, and just continue to make noises so ncsoft cannot ignore players.

Naturally this isn’t a guarantee that anything will come of the talks, but it offers hope to Paragon’s longstanding community.

(Source: Titan Network)

City Of Heroes Sunsetting Later This Year


In a news post on the City of Heroes website today, Andy Belford has announced that Paragon Studios will be shutting down, and City of Heroes will be closing by the end of the year. The reason given in the article is “realignment of company focus” at NCSoft. Effective immediately, all subscription services and paragon purchases will be halted.

Thank you. Thank you for your years of support. You’ve been with us every step of the way, sharing in our challenges, encouraging us to make City of Heroes better, more than everyone else thought it could be. We couldn’t have come this far without you. I implore you all, focus on the good things of CoH and Paragon Studios. Don’t dwell on the “how” or the “why”, but rather join us in celebrating the legacy of an amazing partnership between the players and the development team.

More information will be coming within a few weeks. It appears NCSoft hasn’t picked up any (or much) of the Paragon Studios team, because Belford pitched this:

To any potential studios looking to grow your team; hire these people. You won’t regret it.

City of Heroes launched in 2004 as the first, and in many minds the best, super hero MMO. Since then it has gone on to release 22 issues (major updates), and three expansion packs. In June of last year, City of Heroes adopted a free to play model.

(Source: Paragon Studios)

NCSoft Q2 2012: Profits Down, Revenue Up


NCSoft has released its finances for the second quarter of 2012, and considering that the major MMO news sites suddenly care enough to report on it, I can only assume that there is some drama to be had. Compared to last quarter, revenues are up thanks to solid Lineage sales and royalties, however NCSoft is in the red on operating profit and net income due to what the company refers to as “one-off labor costs.” Here are the bullet points of important details to explain why NCSoft’s profits sunk so low:

  • Lineage sales were strong Korea, however Aion sales tanked due to “scaled back in-game item sales.”
  • Labor costs surged 27% this past quarter due to severance-pay.
  • Royalty expenses increased 35%
  • Marketing expenses were up 112% over last quarter due to Blade & Soul
  • D&A increased 28%
  • NCSoft’s acquisition of Ntreev also ended up being a major cost.

While sales in Korea and Japan held strong, sales in North America continued a slight decline over last quarter. Europe has been hit the hardest, with sales decreasing to virtually nothing (less than 1% of sales for the quarter).

The launch of Guild Wars 2 is expected to make up for any losses incurred this quarter.

NCSoft Q1 2012: Aion/Lineage Up, Lineage 2 Down


NCSoft has published their first quarter finances, and as always there is good news and bad news.

  • Quarterly sales were up, although profits were down nearly 20% due to increased labor cost, royalty expenses, and other factors.
  • Korea grew due with sound in-game item sales, while Japan dropped.
  • Aion and Lineage performed strongly.
  • Lineage 2 saw a notable loss in sales due to a “weakened user base,” according to the report.
  • City of Heroes also dropped in sales, while Guild Wars saw an increase.

The data above is sourced from the official NCSoft earnings releases and is presented in a more digestible form.

City of Heroes Dropping Localization In France/Germany


Community Manager Andy Belford over at Paragon Studios would like to thank you all for the tremendous support of the European communities ever since City of Heroes went live, and subsequently free. That is, except for the French and German communities who have not “seen rapid growth” in the past. As a result, Paragon Studios has announced that starting immediately, City of Heroes will begin phasing out support for French and German communities.

Official support for the French and German clients will end when Issue 23 is released, and players will be required to use the English language version.  The French and German servers (Vigilance and Zukunft) will not be closed down, however the content will be changed to English. In addition, all support tickets will still be answered in French or German.

(Source: City of Heroes website)

NCSoft Q4 Finances: Sales/Profit Down


NCSoft has posted their fourth quarter finances. Sales were hit with a 6% loss since the last quarter, with operating profit reportedly taking a 51% hit and net income down 42% since last quarter. NCSoft attributes the decline in sales and profits due to scaled back in-game item sales.

Year over year sales from 2011 compared to 2010 saw a similar drop in revenue by 7%, operating income by 24%, and income by 21%, due to what NCSoft refers to as a weakened user base, and an expansion in research and development. Labor costs increased 9%, marketing increased 25%, and variable expenses grew 7%.

You can see from the chart above that Lineage has continued its dip in sales, which NCSoft attributes to a lack of item sales in-game. Lineage II’s sales opened up somewhat, attributed in the release to “roust sales in Japan.” Aion saw a dip in sales of about 8%, as did Guild Wars (22%), and City of Heroes has shown a 22% increase in sales over Q3.

In terms of regional breakdown, Korea’s stake in NCSoft dived from 69% in Q3 to 60% in Q4. North America rose from 4% to 5% while Europe dipped from 3% to 2%. Japan almost doubled its share, from 12% to 21%, while Taiwan lowered its share from 3% down to 2%. Royalties increased to 10% from 8%.

City of Heroes and Lineage II went free to play recently, with Aion moving free to play in Europe.

(Source: NCSoft Finances)

NCSoft Third Quarter Finances: Profit/Revenues Down


NCSoft has released its financial documents for the third quarter, and the report starts with “Revenue and Operating Income came down due to soft promotions for in-game items sales versus Q2.” In fact, the publisher is reporting a 22% loss quarter over quarter and 32% year over year loss in operating profit, as well as a 12% loss in sales over last quarter, and a 33% loss in net income over the same quarter.

Income from Aion rose slightly over the last quarter, with Lineage coming down from its big jump. Lineage 2 lost less than it did last quarter, while income from Guild Wars continued its decline and City of Heroes increased slightly. Lineage’s loss of revenue is noted as being related to scaling back of cash shop items in the game’s Korean and Taiwan distributions. The quarter over quarter expense increase is due to NCsoft’s Japan donation.

Now to talk region distribution. North America’s share dropped 10% over last quarter, with Europe dropping 6% of its sales. Japan’s share increased 6% over last quarter, with Korea dropping 13% and royalties taking a dip as well.

Next quarter will see a dramatic rise in sales by City of Heroes, and hopefully Aion with the number of content updates. The announcement of Lineage Eternal should bring some interest to the other two games.