Viacom Seeking Refund on Bonuses Paid to Rock Band Devs

**Valigarmander** · 02-12-2010, 05:05 PM

Quote:

MTV Games' parent company Viacom has a nearly unfathomable amount of money invested in the Rock Band franchise, and now that the once-burgeoning rhythm genre isn't doing so hot, they're looking to get some of that money back.

Gamasutra reports that Viacom plans on seeking a partial refund on the $150 million, performance-based bonus they paid out to developer Harmonix back in 2008. "At December 31, 2009, we believe that we are entitled to a refund of a substantial portion of amounts previously paid, but the final amount of the earn-out has not yet been determined," reads a Viacom filing with the U.S. Securities and Exchange Commission.

Shortly after these bonuses were originally distributed, Viacom spokesperson Kelly McAndrew was quoted as saying, "We may not have anticipated the payment would be that high, but it's based on what they have achieved. If they are making more money for us and we have to give a little back, that's OK."

That statement was made around the end of 2008 -- a time when the first Rock Band had sold over 7 million copies, 26 million song downloads, and Rock Band 2 was launching to positive reviews. Viacom has since blamed weak revenues on declining Rock Band sales, and the company is expected to dish out upwards of $40 million for the rights to The Beatles' music.

It's difficult not to interpret all the recent news as surefire signs of the downfall of the music game industry. Even Harmonix's competitors at Activision have been forced to react to the changing retail landscape. The number of Guitar Hero games planned for this year? Just one -- a significant drop from last year's 25 individual retail SKUs. And once this year's game is finished, Activision plans on nixing the entire Guitar Hero team over at Neversoft.

While it's doubtful that 2010 will go down in history as the music game apocalypse or anything like that, it's already shaping up to be a transitional year for the genre. We'll see how things shape up in the coming months as developers put the finishing touches on games like Guitar Hero 6 and Green Day: Rock Band.

WOO HOO HOO HOO.

Metal Man · 02-12-2010, 05:13 PM

They may as well refund the rhythm game hype entirely at this rate.

Robotazy · 02-12-2010, 05:38 PM

About time.

I'd love to see what ~~milking~~ whoring Activision attempts to do in the future.

02-12-2010, 05:13 PM	#2
Metal Man Fairy-Slaying Maniac Join Date: Apr 2000 Location: 1592 Miles Away From Here Gender: Posts: 18,062 Thanks: 148 Thanked 683 Times in 482 Posts	They may as well refund the rhythm game hype entirely at this rate.

02-12-2010, 05:38 PM	#3
Robotazy PRESS ANY KEY TO PANIC! Join Date: Sep 2000 Location: A Tiny Shed Gender: Posts: 16,483 Thanks: 529 Thanked 1,254 Times in 897 Posts Blog Entries: 46	About time. I'd love to see what ~~milking~~ whoring Activision attempts to do in the future.