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GOG Narrowing Focus to Save Money

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The DRM-free PC gaming platform is bleeding money.

Among the big names in PC gaming platforms and retailers, CD Projekt’s Good Old Games, better known as GOG, maintains a place as the platform of choice for many due to its user-friendly nature. Unlike platforms like Steam or the Epic Games Store, games purchased from GOG are DRM-free, not requiring any kind of launcher to play. Users can just buy the game and download the game’s files directly, which for many provides a more tangible sense of ownership.

Unfortunately, despite its attractive model, GOG is currently bleeding money. Steam is still the biggest name in PC gaming, DRM or not, and CD Projekt’s own game releases, specifically the infamous release of Cyberpunk 2077, haven’t exactly done much for their bottom line. This past quarter saw a net loss for GOG of $1.14 million, bringing the total loss of the past three quarters to around $2.21 million versus a $1.37 million profit this time last year.

In order to keep themselves above water, GOG has decided to tighten its belt and focus more toward specific, “handpicked” games rather than trying to compete with the massive selections offered on other platforms. Additionally, some of the company’s staff that were working on GOG will be transferred to other sectors and projects.

“Regarding GOG, its performance does present a challenge, and recently we’ve taken measures to improve its financial standing,” CD Projekt CFO Piotr Nielubowicz said in a quarterly earnings call. “First and foremost, we’ve decided that GOG should focus more on its core business activity, which means offering a handpicked selection of games with its unique DRM-free philosophy. In line with this approach, there will be changes in the team structure.”