Interplay Posts Q2 Earnings, Still Focusing on Fallout MMO

In an SEC filing Tuesday, enfeebled publisher Interplay reported its second quarter fiscal year 2008 results, detailing a net income of $5.46 million for the quarter due mainly to the sale of the Fallout license to Bethesda Softworks. The company also stated its continued imperative of developing an MMO based on the Fallout license through a special agreement with Bethesda.

"The Company is focused on securing funding for development of a Massively Multiplayer Online Game (MMOG) based on the popular Fallout franchise," Interplay CEO Herve Caen wrote in the filing. "Along with its strategy of leveraging its existing portfolio of intellectual gaming properties, the Company intends that Fallout MMOG will play a key roll (sic) in the future of the Company."

Interplay received $4 million from Bethesda during the second quarter for the Fallout license and will receive the remaining $1.75 million during the fourth quarter of the current fiscal year. But unless Interplay receives funding from other sources during the third and fourth quarters, it's unlikely the company will remain in operation.

As detailed in the SEC filing, a petition by Interplay's creditors and other parties--among them Mass Effect developer BioWare--for involuntary bankruptcy was dismissed in July, with the company paying its creditors a combined $2.9 million.

With all the company's assets tied up in repaying debts, the filing doesn't paint a promising picture for Interplay's future. "We currently have no cash reserves and are only able to pay current liabilities," the filing reads. "We cannot continue in our current form without obtaining additional financing or income."

As Shacknews reported earlier this year, Bethesda has laid down regulations for Interplay in developing the Fallout MMO, starting with bringing in $30 million in funds and beginning work on the project within two years.

"We are planning to exploit the License Back of 'Fallout' MMOG and are reviewing the avenues for securing financing of at least $30 million to fund its production," the filing states. "Currently the Company has no internal development of new titles."

From The Chatty
  • reply
    August 15, 2007 11:40 AM

    I love the Fallout games but an MMO really doesn't seem like a good fit for the IP.

    I'm sure that if they drape Fallout's visuals over World of WarCraft mechanics they'll be able to secure and maintain a healthy userbase, but the Fallout RPGs have been largely about isolation. They've done that solo gameplay so well that suddenly having 30 people running around the outskirts of a small town all killing the same irradiated dogs in order to level up and secure a random-drop quest item to return the local NPC in exchange for an underpowered handgun, shotgun or two-handed axe might not be the version of Fallout that longtime fans of the franchise want to be a part of.

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      August 15, 2007 11:54 AM

      Maybe if it was done where the outdoor areas all instanced for groups, and the major hubs, like The Hub, are populated.

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        August 15, 2007 12:26 PM

        Yeah, you could do that. I'd also like to see a healthy PvP element in a world like Fallout's.

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        August 15, 2007 1:38 PM

        Like guild wars?

        Maybe, but I still think it'd be lame.

        They'd have to seriously reinvent the MMO to make it 'feel' like Fallout. Which I'm sure would be awesome, but I have no hopes of this happening.

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      August 17, 2007 1:11 AM

      There is no rule that says all MMO games have to be like this, companies just think there is. A generic MMO with the fallout license would probably feel worse than one without it. A game with hundreds of players trying to survive and thrive in the wasteland with real consquences for their actions? Could be gold if it didn't suck.

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      November 13, 2007 2:49 PM

      Of course you can paint any scenario as a bad one.

      I think you can make any IP successful in terms of fun, would it be popular enough to turn a profit?

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