Schilling's 38 Studios struggling to stay solvent

Kingdoms of Amalur: Reckoning developer 38 Studios is in financial strife, if local media is to be believed. Rhode Island state officials have met with the company in recent weeks, hoping to keep the game developer afloat.

[img_big]center,52,2012-04-10/reckoningdlc2_pteryxfight04.jpg,Kingdoms of Amalur: Reckoning[/img_big]

The news is concerning to many Rhode Island residents, who feel they are owed something by the developer. Back in 2010, 38 Studios was lured from its home state of Massachusetts to Rhode Island, after state officials put a US$75 million loan on the table.

At the time, the state claimed that the company would bring “hundreds of jobs” to Rhode Island, as well as “millions of dollars of tax revenue”.

That was then. Now, things seem a little different, with governor Lincoln Chafee admitting “We’re working with 38 Studios38 Studios, on the other hand – who just two months ago hyped a new release for later this year – had no comment.

Local media reports that 38‘s 2012 release Kingdoms of Amalur: Reckoning has sold quite well, but then references sales of just 410k copies across all three platforms. In gaming terms, that’s pretty miserable.

Following the studio move, former Red Sox pitcher Curt Schilling, owner of 38 Studios, spoke to local media to explain what the taxpayer guarantee was all about.

The only way taxpayers lose is if the company failed.

…hopefully, Rhode Island residents don’t learn that one the hard way in coming weeks.

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