Magicka dev’s sales are 90% digital, “We don’t really need retailers anymore”

7 July 2011

Speaking with PC Gamer, Paradox Interactive CEO Fredrik Wester reveals that 90% of the company’s revenue comes from online distribution of titles like Magicka, Mount and Blade, and King Arthur, with additional retail sales just “a bonus”.

“This year we’re close to ninety percent of our revenue being digital,” he says. “Retail sales are like a bonus for us now. We don’t really need retailers any more and that is a release because retailers have not been good for the industry. They’ve not been good for the creative part of the industry, for finding new cool games.

“People complain to publishers that there are only sequels on the market, but that’s because retailers want to see sequels, because they can do their chart diagrams for how things sell and things like that. So one of the things preventing more creative gaming has been the retail challenge.

“I can only say this now because we’re not depending on them, so it’s really relieving to be able to say that,” he adds.

The developer’s most recent release, Magicka, has already sold 600 000 copies since launching in January, and is expected to hit 1 million by the end of the year.

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