Frostpunk 2, the much-anticipated sequel to the city-building survival game by 11 bit studios, has seen significant commercial success. However, the company has experienced a steep decline in its stock value, underscoring the complex dynamics between sales figures and market expectations.
While Frostpunk 2 has sold over 350,000 copies since its launch, investor sentiment remains lukewarm, largely due to unmet player engagement projections. Here’s a closer look at what has transpired since the game’s release.
Strong Sales but Unexpected Market Reaction
On September 20, 2023, Frostpunk 2 hit the market, and within days, it surpassed 350,000 copies sold. The game’s developer, 11 bit studios, announced that this figure was enough to cover the costs of production and marketing, which was an important milestone for the self-published title.
Despite the successful sales, 11 bit studios saw its stock price plunge by 38% just days after the launch. This disconnect between sales success and market performance reflects a broader challenge: the gaming industry is often driven by investor expectations that can differ sharply from actual sales numbers.
The Financials: Breaking Even and Beyond
For any game developer, breaking even is a critical marker, and 11 bit studios managed to achieve that shortly after Frostpunk 2 launched. The revenue from the game’s initial sales, along with an undisclosed payment from Microsoft for including the game in the PC Game Pass, provided enough financial support for the studio to cover its development and marketing expenses.
In a public statement, the company expressed its gratitude to fans, emphasizing that they were committed to further improving the game with updates, hotfixes, and patches. However, despite these positive financial reports, the broader market reaction was far from favorable.
Share Price Collapse: Discrepancy Between Expectations and Reality
The drop in 11 bit studios’ share price was surprising, especially given that Frostpunk 2 exceeded the peak concurrent player count of its predecessor. According to SteamDB, the sequel reached 35,533 concurrent players at its peak, outpacing the original Frostpunk’s peak of 29,361 players.
Despite this, market analysts had expected even higher engagement, with estimates ranging between 80,000 to 100,000 players. The actual numbers were seen as a “negative surprise,” as stated by Piotr Bogusz of Erste Group, further explaining why investor confidence declined so drastically.
User Reviews and Criticism
Another factor contributing to the lukewarm market reaction is the game’s reception. While Frostpunk 2 has achieved a “mostly positive” rating on Steam, currently sitting at 71%, analysts worry that lower ratings may deter potential buyers.
A rating below 80% can affect the game’s visibility on Steam, which, in turn, could have long-term consequences for its sales. Some critics and players expressed disappointment that the sequel deviates from the original, which may have further impacted early impressions.
Developer Response and Future Outlook
11 bit studios remains optimistic despite the challenges. Dariusz Wolak, the studio’s investor relations manager, addressed the concerns, emphasizing that Frostpunk 2 was intentionally designed to be different from its predecessor.
According to Wolak, the team had met its internal goals for the game’s quality and sales. However, he acknowledged that the shift in gameplay might not have been clearly communicated, contributing to some players’ disappointment. Looking ahead, the studio is committed to refining the game through feedback and patches, hoping to improve its ratings and regain market confidence.
In conclusion, Frostpunk 2 is a commercial success that has been clouded by unmet market expectations. While 11 bit studios has broken even, the game’s future success will depend on how well the company addresses player feedback and improves the game’s reception in the weeks and months to come.
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How well has Frostpunk 2 sold since its release?
Frostpunk 2 has sold over 350,000 copies since its launch on September 20, 2023. This milestone has allowed developer 11 bit studios to cover both the game’s production and marketing costs.
What are the main criticisms of Frostpunk 2?
Some players expressed disappointment that Frostpunk 2 differs from its predecessor. The game’s lower-than-expected Steam rating of 71% may also reduce visibility, potentially impacting future sales and attracting fewer new buyers.
