Valve's Business Saw a 50% Increase In 2012

 Pages 1 2 NEXT
 

Valve's Business Saw a 50% Increase In 2012

image

To put into perspective just how much Valve has grown, Gabe Newell claims that a recent DotA 2 update accounted for 2% of all mobile and land internet data.

Valve is a very big company. Steam accounts for the vast majority of digital PC game sales. Team Fotress 2 and DotA 2 are two of the most played multiplayer games of all time. Steam Greenlight sees dozens of new indie titles introduced to the platform every month. So when Gabe Newell claims that its business has increased 50% over the last year, it makes sense. But it's still quite a staggering statistic.

Newell claimed that the growth had a lot to do with user-generated content, such as paid-for things like TF2 hats and DotA 2 items, as well as the hundreds of free mods available on games which utilize the Steam Workshop, like Skyrim and Natural Selection 2. "There's sort of an insatiable demand for gaming right now," Newell said. "I think our business has grown by about 50 percent on the back of opportunities created by having these open platforms."

If that statistic wasn't jaw-dropping enough, in an effort to put into perspective just how big the software (and soon to be hardware) giant has become, Newell claimed that a recent patch for DotA 2 accounted for 2% of all internet traffic. "We were generating 3.5 terabits per second during the last DotA 2 update. That's about 2 percent of all the mobile- and land-based Internet activity."

Valve recently announced that DotA 2 has the most concurrent users of any Steam game ever. If anything in Valve's library is going to take a chunk out of the internet, it's DotA 2. DotA 2 is technically still in an "invite-only" beta (although invites are selling on the Steam Marketplace for mere cents). If it's pulling these kind of numbers now, we can only imagine how big it will get when it's officially released.

The company's massive growth certainly kills dead any rumors that Valve letting go a number of employees earlier this year is a sign that it is struggling.

PS: Do I even need to say that Newell declined to comment on the status of Half-life 3 or is that just an assumed thing now?

Source: PC Gamer

Image: Art of Jin

Permalink

This is all lies. PC Gaming is dying, and Valve will burn in hell for making *gasp* PC only titles like DotA 2.

Because all other platforms will fall in the wake of the mighty iOS.

OniaPL:
This is all lies. PC Gaming is dying, and Valve will burn in hell for making *gasp* PC only titles like DotA 2.

Because all other platforms will fall in the wake of the mighty iOS.

Sarcasm?

Trolling?

On Topic:

I'm pretty sure last years numbers was a 100% increase, then again being the go-to Digital Distribution platform even a 'mere' 50% increase is still massive. Or this is a sign that market is finally becoming saturated, with everyone and their dog now having a Steam account.

Ed130:

Sarcasm?

Trolling?

Isn't sarcasm a form of trolling?

Well it figures. Valve was born from within the community and continues to thrive with its community.

Boris Goodenough:

Ed130:

Sarcasm?

Trolling?

Isn't sarcasm a form of trolling?

Bad Sarcasm could be considered trolling but it isn't necessary so.

It depends on the intent.

Ed130:

Bad Sarcasm could be considered trolling but it isn't necessary so.

It depends on the intent.

Bad sarcasm? You mean with malice or just poorly done?
Sarcasm can also be as banter. Same goes with trolling.

Boris Goodenough:

Ed130:

Bad Sarcasm could be considered trolling but it isn't necessary so.

It depends on the intent.

Bad sarcasm? You mean with malice or just poorly done?
Sarcasm can also be as banter. Same goes with trolling.

My definition of thread trolling is 'a comment deliberately designed to derail or disrupt the thread it is posted in'

OniaPL's post could by that definition be considered trolling if it was deliberate, however the post could also be considered a poor attempt at sarcasm rather than an trolling attempt. As of this point a case could be made for both, hence why I asked for clarification.

Ed130:

Boris Goodenough:

Ed130:

Bad Sarcasm could be considered trolling but it isn't necessary so.

It depends on the intent.

Bad sarcasm? You mean with malice or just poorly done?
Sarcasm can also be as banter. Same goes with trolling.

My definition of thread trolling is 'a comment deliberately designed to derail or disrupt the thread it is posted in'

OniaPL's post could by that definition be considered trolling if it was deliberate, however the post could also be considered a poor attempt at sarcasm rather than an trolling attempt. As of this point a case could be made for both, hence why I asked for clarification.

Eh, just sarcasm probably.

bafrali:
Well it figures. Valve was born from within the community and continues to thrive with its community.

It was born in the community of people who worked for Microsoft and Gabe continues to thrive in the community Michelin stared restaurant eating billionaires more like.

I have to say, that picture of Gabe is absolutely badass :D He looks like something between Superman and Jesus :D

Welp after the previous VG crash being revived by Nintendo, if we have another crash, Valve may be the company to make gaming popular again. They're less evil than the others and at the very least LISTEN to the community.

albino boo:

bafrali:
Well it figures. Valve was born from within the community and continues to thrive with its community.

It was born in the community of people who worked for Microsoft and Gabe continues to thrive in the community Michelin stared restaurant eating billionaires more like.

I meant that ıt was mostly composed of modders at start and some of their biggest succeses comes from the modding community like Counter strike and Team Fortress. Clear enough for you?

Steven Bogos:
Team Fotress 2

I don't believe I've ever heard of Team Fotress 2. I wonder what it is like.

This is incredible. While other companies try to increase their profit by screwing over their customers and rushing games for release, Valve is constantly growing by being nice and letting us do business for them. Beautiful.

It's almost like Valve treats it's community like creative, intelligent people; instead of dirty criminals and/or sheep!
Weird.

The day Valve releases Half Life 3, they'll take over the internets and become gods of PC gaming.

And I couldn't wish for a better overlord.

It's weird. Despite the state of the industry being what it is, thus putting Valve in a very good light, I feel that I must be brainwashed to think that about Valve... but honestly, I don't care.

Ive seen that image before but I like it so much its now my wallpaper

Vault101:
Ive seen that image before but I like it so much its now my wallpaper

I do believe it's the Glorious PC Gaming Master Race, lording it over the dirty console peasants :D

image

Great picture.

I for one welcome our Valve overlords

I am proud to be counted among Gabe's ranks. The hair is a nightmare to keep, though.

Just to clarify, what exactly does it mean for "business" to increase by 50%?

Does that mean a 50% increase in revenue or profit?

A 50% increase in the company's net worth?

A, uh... 50% increase in bandwidth use?

What?

TF2 is the most played shooter of all time? My fellow gamers, I am proud of you. If asked I would certainly have said CoD or Halo but when I think that those games are all fragmented apart in yearly installments it suddenly becomes believable.

Anywhere I can go to see all-time stats for TF2? Like headshots made, ubers popped, bullets fired, players gibbed, etc?

Well, Valve is doing great, others are failing and even the giant EA is struggling.
I wonder why? Can't be about treating customers the right way and sweetening bitter DRM pills (Steam is still DRM despite being much more acceptable than ubi/ea etc.) with great deals and community features people are actually using, right?

I mean who doesn't enjoy getting their DRM crammed in via a suppository and not even getting a lolly for it?

Here's the thing, though... The last 7 years have been 100%+ increases.
So while Valve is by no means struggling, things are starting to slow down a bit.

Zhukov:
Just to clarify, what exactly does it mean for "business" to increase by 50%?

Does that mean a 50% increase in revenue or profit?

A 50% increase in the company's net worth?

A, uh... 50% increase in bandwidth use?

What?

I would assume a 50% increase in revenue, so that might not represent an increase in profit. Still, with them taking on new games at record rates with greenlight and EA proving once again they hate their customers it is no surprise valve are thriving. If only they would take this increased revenue and release half life 3. Maybe they are waiting for the internet to be upgraded so we don't break the entire net all downloading it at once?

omicron1:
Here's the thing, though... The last 7 years have been 100%+ increases.
So while Valve is by no means struggling, things are starting to slow down a bit.

Could just be a result of the general market downturn last year. Retail sales in 2012 for the industry were down what? More than 20% I think. Can't remember the exact numbers. But if it's indicative of a general downturn for the industry as a whole, I'd say increasing by 50% while everyone else is falling 20+% is pretty good.

Point is though, we won't really know until a few years from now when this data point is either an anomaly or part of a clear trend.

Daedrin:
It's almost like Valve treats it's community like creative, intelligent people; instead of dirty criminals and/or sheep!
Weird.

This is actually more true if you think about it. They found a way to profit from the creativity and skill of the community thanks to the workshop. You make a neat DOTA2 itemskin and they adapt it. And to make you want to do that they give you 25% of the money made from it.

I may just point out that the most successfull contributor managed to get ~500.000$ in the year 2012 from the workshop.

It just seems that Valve knows when to adapt which ideas to great effect.

Daystar Clarion:

Vault101:
Ive seen that image before but I like it so much its now my wallpaper

I do believe it's the Glorious PC Gaming Master Race, lording it over the dirty console peasants :D

image

Great picture.

Hmmmmm.....

Good depiction, but I think the whole story is better summed up by VG Cats

image

OT:
Good stuff I suppose.

I still worry when one company has virtual control, be it an awesome company or not.

I think I'm glad to hear that any portion of the video game industry is doing well. I'll admit I like Valve better than many others, and that that's a common sentiment probably has a lot to do with their bottom line.

Valve are astonishingly successful as a business. They've seen an uninterrupted 50% increase in their business *every year they've existed* since 1996.

Boris Goodenough:

Ed130:

Sarcasm?

Trolling?

Isn't sarcasm a form of trolling?

Nah sarcasm is just the natural form of communication for asshole kids who grew up in an era where all socialization was done face to face, or at least over the phone with actual speaking.

rasputin0009:
Gabe Newell is fat. Like REALLY fat.

There, that's my contribution.

Great, you just delayed Half Life 3!

Valve could make millions if they gave lessons to gaming executives on how to not be utter shits to their customers. Obviously Gabe prefers to lord it over the lesser companies though.

 Pages 1 2 NEXT

Reply to Thread

Log in or Register to Comment
Have an account? Login below:
With Facebook:Login With Facebook
or
Username:  
Password:  
  
Not registered? To sign up for an account with The Escapist:
Register With Facebook
Register With Facebook
or
Registered for a free account here