This week’s episode of I’m Just Playin’, we discuss Gamestop’s Circle of Life program and Oculus paying out $500 million. As far as news goes, it’s safe to say the early year news drought is over as things are starting to pick up.
Gamestop’s Circle of Life
Gamestop are under fire as they’ve been encouraging employees to lie to customers asking for new games. With higher profits coming from used games, Gamestop wants their employees to make up for selling a new game by increasingly pushing their used games selection. Due to the fact that stores decide on the prices of used games and sell them for double what they pay for when a customer brings one in. It’s a shady move that numerous employees of stores across America have been reporting.
The program, called “Circle of Life,” gives each GameStop store different percentage quotas for 1) pre-orders; 2) reward card subscriptions; 3) used game sales; and 4) game trade-ins. Each of these quotas is based on the store’s total transactions. Pre-orders and reward cards subscriptions are based on the number of transactions, while used game sales and trade-ins are based on the total dollar value of transactions. If a store’s quota for used game sales is 30%, and the store sells $1,000 worth of merchandise, GameStop expects at least $300 of that merchandise to be pre-owned.
Oculus Pays out $500million to Zenimax
A judge has ruled that Oculus is to pay out $500 million for the the breaking on an NDA. Zenimax media is pursuing a lawsuit to stop the sale of Oculus Rifts. This all comes from John Carmack leaving Zenimax and taking trade secrets with him when moving to Oculus. In awarding ZeniMax $500 million, the jury also said that Oculus did not misappropriate trade secrets as contended by ZeniMax.
Of the $500 million, Oculus is paying out $200 million for breaking the NDA and $50 million for copyright infringement. Oculus and Luckey each have to pay $50 million for false designation. And former Oculus CEO Brendan Iribe has to pay $150 million for the same, final count.