A 'MUST READ'! - HEXUS.gaming Feature :: The Gizmondo Financial Report

[Nick]

Now before you all drop off to sleep thinking this is going to be a load of boring old twaddle, just take a minute to have a read of Gizmondo's financial report. Well, not the actual report, but our take on it.

Let’s have a closer look at Northern Lights now after all Chicane and Colors are touted as being leading titles on the Giz. Except that the games aren’t being developed by Northern Lights, but by Warthog and Indie Studios, both in-house developers for Gizmondo.

So let’s just get this straight, Gizmondo are paying Northern Lights to develop games that Gizmondo are developing in-house? A little delving and the co-owners of Northern Lights are revealed as Carl Freer and Stefan Eriksson. Nothing wrong there until you discover that Freer is Managing Director of Gizmondo Europe and Eriksson is Director of Gizmondo Europe.

Given that Warthog and Indie Studios are in-house developers for Gizmondo, doesn’t that kind of leave Gizmondo paying Northern Lights for games Gizmondo are already working on, to the benefit of Freer and Eriksson?

And it doesn't stop there... Check out the full feature over on HEXUS.gaming which might help in explaining why Gizmondo have lost USD $210 million in the first half of 2005 alone!

[unreal]

I remember seeing this announced after the DS and the PSP, I really have no idea why they thought they would do really well in the fierce market of handheld devices.

Ok, let’s leave that little conundrum there and move on… Let’s have look at some of the other expenses that Gizmondo have forked out for. Now if you’re the director of a big company, of course you should have a flash car, it’s only natural. And it seems as though ‘flash’ has gone up in price by some way since Steve Carroll, a Gizmondo Director, was paid over USD $230,000 to provide him with a “luxury automobile”, Freer is a bit more modest with an “allowance” of just over USD $115,000 for his luxury automobile and poor old Erkisson was given just a paltry USD $104,000 for his car.

lol thanks, nice read

[Aaron]

Wow, that's crazy! I heard that the launch party was one hell of a bash, but some of the expenses are insane.

Why can't my company do this kind of thing?

[unreal]

Because your company isn't 9 digits in losses!

[MSIC]

Astounding reading. It seems almost as if Gizmondo have in fact no desire to make any money whatsoever and the managers have some sort of 'scam' going on to have big pay packets and bigger cars.
Shocking.

[Stoo]

Hands up anyone with a Gizmondo?

*peers to the back of the room*

Anyone?

*fetches telescope*

Umm..

Hellooooooooo?

[Aaron]

I saw them for sale in the HMV on Oxford Street.

I decided to stick with my PSP.