Two Steam games generated $560,000 across 135,000 sales, but the co-creator only took home $15,000 annually
Game developer explains how $560,000 in Steam sales gets reduced to $146,000 in pockets — breakdown highlights harsh realities of gaming business
In the gaming industry, the vast sums reported for blockbuster games often mislead people into thinking that success results in immediate wealth. However, for indie developers like Omer Develioğlu of Northend Games, the reality is quite different. Despite generating $560,000 over five years from sales of two titles on Steam, Develioğlu only took home $15,000 annually.
The $560,000 gross figure pertains to sales of two games, Northend Tower Defense and Deepstone Rift (Early Access), totaling 135,000 units sold. The breakdown reveals several significant deductions. A substantial 53.3% of sales come from China, with a high refund rate of 22%, amounting to $134,000. Additionally, a 30% Steam cut equals $127,000, followed by a 5% U.S. withholding tax, leaving $287,300.
The Asian publisher, handling PR, distribution, and marketing, took $115,000, leaving a take-home of $172,000 before local taxes. Lastly, 15% goes to Thailand’s offices, leaving Northend Studios with $146,000. Splitting the remaining amount 50/50 with his co-founder results in a personal total of $73,000 over five years, or roughly $15,000 per year.
Despite earning half a million in sales, Develioğlu still drives a 2012 Mazda, highlighting how far the earnings fall short of a luxurious lifestyle.
Written by urgent.news from Tom's Hardware's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
