Kingdoms of Amalur Developer 38 Studios In Trouble?
Governor of Rhode Island trying to find ways of "keeping 38 Studios solvent."
Were concerned and just doing everything possible to ensure that 38 Studios stays part of the Rhode Island community, Were working on different issues with them. When asked whether he thinks 38 Studios can be stabilized, Chafee told WPRI Were working on it.This sounds as bad as it gets, and the fact that Kingdoms of Amalur just released just a few months ago does not bode well for 38 Studios. The long term ramifications of this could be even worse than losing a good video game developer; with the looming threat that Rhode Island taxpayers might be on the hook from anywhere between $75 million to $112.6 million the industry will have a monumental task in getting tax breaks from other states. The video game industry may be in more trouble than we initially thought; the fact that a company is in financial trouble after releasing a well received RPG just three months ago does not bode well for the future of major AAA games. If companies are literally drowning themselves in debt just from making one game, something is going to give eventually and we could be headed for another video game crash.