LOTRO: We’ll Always Have the Books
I was cautiously optimistic when EG7 acquired Daybreak Game Company in December 2020. I found the various communications by CEO Robin Flodin to be quite encouraging. I got the impression that EG7 were facilitators and planned to provide the resources that developers such as Standing Stone Games required to move their portfolio of games forward. For the first time in ages, I felt that there was a positive future for the MMORPG The Lord of the Rings Online. The arrival of a new Producer, Oleg Brodskiy (AKA Raninia), certainly appeared to address the community communications vacuum that has existed for several years. However, it would appear that Robin Flodin has been removed as CEO. Apparently he had a poor interview recently with Dagen Industri in which he had “difficulty answering questions about the difference between total revenues and net sales during the quarter”. This followed an interim business report that was not well received with the market and led to a drop in share prices by 25%. Hence he was removed by the EG7 board.
In the meantime, Ji Ham has been appointed acting CEO, while EG7 searches for a permanent replacement. Ji Ham being the CEO of Daybreak Game Company. It all appears rather arcane to the layman. According to Robin Flodin, EG7 had increasing sales during the second quarter of 2021. The company, which has made numerous acquisitions in recent years, still reported higher profits. Yet shares prices have fallen and perhaps there are widers concerns about expanding too quickly and overreaching. Certainly there is consternation within the company and hence the change in CEO. It now remains to be seen as to whether this has any impact upon the various studios that EG7 own. Will the acting or new CEO make any radical policy changes and halt any ongoing projects? Simply put, from the fans point of view will this ultimately affect LOTRO?
As I’ve written in the past, the average LOTRO player is pretty much oblivious to what goes on at the corporate level. They just log into the game and take their pleasure where they can find it. Often they’re only aware of changes in the game, as and when they happen. For those of us who are more interested in how SSG are doing, it can be quite frustrating trying to get a handle on what is going on. Business strategy is seldom a topic for the public domain. Most of the information we have access to is limited to new reports and official press releases. Neither give us sufficient to go on. It therefore could be a case that the departure of Robin Flodin will have no impact upon LOTRO. But then again it could. Are we effectively back to square one again? It’s hard to tell. Perhaps that’s why I’m returning to and finding comfort in Tolkien’s source text. At least we’ll always have the books.
