Cloud Imperium Games Issues $5 Million In New Shares

A question I've had for over a year now is whether Cloud Imperium Games are making enough money to complete development of Star Citizen and Squadron 42 without further injection of outside investment money. The company still hasn't filed its 2022 accounts with UK Companies House but another filing might shed some light on the question.

Yesterday Cloud Imperium filed a form SH-01, titled "Return of Allotment of Shares". An allotment of shares is:

... the process of creating and issuing new shares in a company. This can happen when the company is initially registered (or incorporated), and whenever there is a change to its overall share capital – such as after a funding round.

A SH-01 must be filed with UK Companies House within 30 days of the creation and issuing of the shares.  Below is the first page of the form filed by Cloud Imperium.

Going through the form, we can see that CIG created and issued 247,520 ordinary shares, or approximately 2% ownership of the company, on 15 January 2025. The form also indicates the currency the shares are sold for if money is involved as well as the price of each share. In the case of this transaction, each share was purchased for $20.20 in US dollars for a total transaction value of $4,999,904, or near enough to $5 million as makes no difference.  Because the amount unpaid line equals 0, we know the payment was made in full.

The big question unanswered is who received the shares? The information is not part of the SH-01. Instead, companies in the United Kingdom file a confirmation statement (form CS-01) a minimum of once a year. Unless one of the parties in the transaction holds a press conference, inquiring minds will need to wait for additional filings from CIG to Companies House. CIG usually files its confirmation statements in September of each year. Unless a celebrity like Henry Cavill bought the shares, though, the information probably will remain private for another 6-7 months.

For those interested in the information provided concerning the ownership of shares, I've included a page from CIG's 2024 confirmation statement below.

Finally, this transaction answers a question I've wondered about for years. How much is Cloud Imperium worth? Back in 2018 when the first tranche of investment money came in from the Calders, CIG was valued, after the deal, at $496 million. Six years later, the share price gives us the ability to calculate the market cap of Cloud Imperium. The company's market cap is approximately $242 million, a little less than half the valuation reported in December 2018.

After yesterday's posting of the SH-01 I am really interested to see who acquired the new shares. I'm also looking forward to seeing additional financial data from 2023. After all, the company has to submit the documents sometime, right?

Pearl Abyss Q4 2024 Earnings Call

On Tuesday in South Korea, Pearl Abyss held its earnings call for the fourth quarter of 2024. The company experienced a quarter-over-quarter increase in revenue of 20.4%, from ₩79.5 billion ($58.6 million) in Q3 to ₩95.7 billion ($68.5 million) in Q4. Year-over-year the company's fourth quarter revenue increased by 13.4%. For the entire year, revenue increased 2.7% from ₩333.5 billion ($255.5 million) in 2023 to ₩342.4 billion ($251.0 million) in 2024.

Despite bouncing back with a ₩2.4 billion ($1.7 million) operating profit in the fourth quarter, Pearl Abyss suffered an operating loss of ₩12.1 billion ($8.8 million) for 2024. This is the second year in a row the company posted an operating loss, as the South Korean game studio posted a 16.4 billion ($12.4 million) loss in 2023.

Pearl Abyss did post a net profit of ₩61 billion ($44 million) in 2024, thanks in large part to a ₩46.8 billion ($33.5 million) net profit in the final quarter of the year. While I wondered how the company made a ₩46.8 billion net profit on ₩95.7 billion in revenue, an analyst brought up a different question. Pearl Abyss claimed ₩53.3 billion ($38.1 million) in financial income but only ₩46.8 billion in net profit. The analyst was told the amount came from FX (foreign exchange) gains for Q4 plus a revaulation of some of the company's assets. All told game revenue only made up 59.4% of Pearl Abyss' income in the fourth quarter. I was left wondering if not for the weakening of the South Korean won would the company have recorded a second straight year of losing money.

A bigger surprise on the call was Pearl Abyss changing the way it reports revenue. No longer is game revenue broken down between the Black Desert and EVE franchises. Instead, the revenue is broken down between game and non-game (Pearl Abyss Capital) revenue. When asked by an analyst for a breakdown between the Black Desert and EVE game revenue, the reply was the breakdown was similar to the 3rd quarter numbers. 

I believe this marks a point where Black Desert revenues, even with the launch of Black Desert Online in China last quarter, are so poor the company's leadership has decided to hide the numbers. The leading reason I believe Black Desert is doing poorly financially is the failure of the Pearl Abyss leadership to tout a successful entry into the Chinese market. At the same time CCP Games not only launched an EVE Online expansion, but a new mobile game, EVE Galaxy Conquest as well. Noticeably, Galaxy Conquest was not mentioned once.

One game under development mentioned on the call was EVE Frontier. I don't know if there was a problem with the translation but apparently the blockchain-based game "is in its last stages of completion." I think when a transcription of the call is provided the wording may change. If not, Pearl Abyss really buried the lede.

Finally, the subject of Crimson Desert. Pearl Abyss confirmed on the call that "late 2025" means the fourth quarter. Still, I think at least one analyst was skeptical. Another wanted to know how many devs were working on the next scheduled game, DokeV. Pearl Abyss replied that all resources were working on completing Crimson Desert but that DokeV shouldn't take that long afterwards to publish.

A note about currency conversions.

All currency conversions in this blog post were performed using the rates displayed on the Federal Reserve Bank of St. Louis website using the average quarterly exchange rate. As a check on the accuracy of the methodology, I compared the revenue amounts listed on the quarterly investment calls of 2023 with the actual figure from the tax filings released by the Icelandic taxing authority. For 2023 I came up with revenues of $55,865,000 and the actual game revenue reported to the Icelandic government was $55,735,000. The difference was 0.2% more, in case the accuracy of the methodology is a concern.

A Look At The Active ISK Delta In January 2025

Today CCP Games published the January 2025 monthly economic report for EVE Online. The developers included some interesting analysis about the activity in the New Eden economy.

Economic Summary

• The mining value saw a significant increase in January, with an average daily rise of 24.8% compared to December. Meanwhile, production value experienced an uptick of 1.3%, and destruction value remained steady since September 2024.
  
  
• Both ore mining and gas harvesting volumes grew in January, increasing by 7.6% and 9.2%, respectively. In contrast, ice mining volume dropped by 25.4%, attributed to the conclusion of the Winter Nexus event and Volatile Ice Storms not being available for most of January.
  
  
• The end of Winter Nexus also led to a decline in Overseer Personal Effects.
  
  
• The MPI rose by 7.7% compared to December (a 32.8% year-over-year increase), driven primarily by a sharp rise in Morphite prices during the first half of January.
  
  
• Module and ship prices have continued to rise since October, showing year-over-year growth of 3.6% and 1.5%, respectively.

Over the last year or two I've stuck to looking at the money supply. In January, the money supply declined by 0.3%. Coincidently, the average price of PLEX in The Forge, home of Jita, New Eden's primary trade hub, also declined by 0.3% from the last day of December to the last day of January. And the biggest ISK sink keeping the growth of the money supply in check last month is known as the Active ISK Delta.

The Active ISK Delta is the net effect on the New Eden monetary supply of players leaving and returning to the game. The Active ISK Delta also includes any reductions due to any and all GM actions. In January, 69.0 trillion ISK left the economy from the movement of players into and out of the game. The change made the Active ISK Delta the biggest ISK sink in the New Eden economy for the third month in a row, nearly doubling the 35.3 trillion ISK removed from the economy through transaction taxes. 

All told, the net effect of player movement removed 2.8% of the ISK in the economy from the game. The amount was 4.7 trillion ISK more ISK removed than in December 2024. To put the amount into perspective, using the average price of PLEX at the end of January, the Active ISK Delta  was enough to purchase 23,000 months of Omega (aka subscription) time. Or, in other words, slightly more than the average number of concurrent users logged in over the past week.

Speaking of context the above graph opened my eyes to the need to adjust how I analyze the size of the Active ISK Delta. Over short periods of time, reporting on raw ISK numbers works fairly well. But from the beginning of 2018 to the beginning of 2025, the money supply grew 114.2%, from 1,139.8 billion ISK to 2,441.3 billion ISK. In comparison, over the same time the price of a single PLEX rose from 3.2 million ISK to 6 million ISK, an 87.5% increase. So yes, the Active ISK Delta recorded 50% more ISK removed in January 2025 than occurred in January 2018. But compared to the size of the money supply, 3.5% of the money in the game left with players in January 2018 compared to the 2.8% disappearing last month.

I know that a lot of people are stating January's Active ISK Delta is an indication of a lot of people leaving the game. And just based on instinct I want to agree. But the Active ISK Delta shows a lot of ISK leaving the game over the past six months or so with player levels remaining fairly constant. Staying at a plateau isn't really a great situation. Preferably player logins and activity would increase, which I don't see. But one thing I do see is a need to look at the metric is a slightly different way.

A Look At EVE Online Activity In January 2025

While we won't know the results until next week, EVE Online looks like the game did quite well in 2024. But in the video game business, especially in MMORPG's, one cannot rest on one's laurels. So while some games struggle to figure out how they did in 2023, observers of EVE are already looking at the initial data for January 2025. So, what's the situation in New Eden?

Jester's graph from 1 Feb 2024 to 31 Jan 2025

Just looking at concurrency the Revenant expansion is not performing well. The 7-day moving average of concurrently logged in accounts actually dipped below 22,000, or below that logging in right before the Havoc expansion in November 2023. If concurrency falls below 21,000 before the hype for the summer expansion hits, 2025 might prove a down year for EVE Online, if not for CCP Games in general.

Dotlan Data - Month over Month comparison

High sec, especially in Uitra, continues to do high sec things where player ship losses are concerned. I did raise my eyebrows as January saw an 8% increase in the number of NPCs dying at the hands of players in the security band. Honestly, in the wake of the conclusion of the Winter Nexus event, I expected the number of NPCs killed to go down.

Low security space dropped a little bit in both player and AI explosions. NPC losses don't necessarily signify much by themselves. The drop in player ship losses amounted to 200 less per day, not too worrying an amount as long as players continue to lose over 200,000 ships per month in low sec.

We do see the effects of the Great Reset in null security space with an 11.8% increase in player ships exploding. The continued decline of rats dying is a troubling trend if it continues, but a 1.3% decline month-over-month decline doesn't really shout out an alarm.

Dotlan Data - Year over Year comparison

When looking at year-over-year data, PvE activity in the form of NPCs exploding fell across all security bands. The 14.9% decline in high security space is not offset by increases in other areas. And the number of player ships exploding outside high sec doesn't suggest rising activity either. The drop of 30,000 ships exploding in low sec in January 2024 was only partially offset by the increase of 19,000 in null security space. Perhaps a mass migration occurred into either wormholds or Pochven, but I'm skeptical.

For 2025 I'm going to switch from looking at long-term low sec trends to null sec as the past two expansions seemed to concentrate on that security band. January 2025 continued a streak of 11 months in a row, and 15 out of 16 months of having more than 250,000 player-owned ships explode in null sec. The only exception is February 2024, and the loss rate was such that the month would have exceeded 250,000 if the month contained 30 days. The streak started one month before the launch of Havoc in November 2023.

While player ship losses have trended upwards since the start of the Second Expansion Era in November 2022, NPC deaths have declined since peaking at 218.3 million in June 2024. Null sec did see seven consecutive months of players killing over 200,000 rats from April 2024 to October 2024 but the numbers have remained between 190,000 and 200,000 for the past three months. Whether the developers are happy with that number is hard to determine, but does it indicate dissatisfaction with the most recent expansion Revenant?

As I mentioned at the top of the post, we won't know the financial impact of the latest expansion until next week's investor call. But unlike some game companies that make internet spaceships who have trouble submitting financial accounts from 2023, we here following EVE are ready to begin moving into 2025.

More Management Updates At Cloud Imperium Games: Chin, Franz, And Zurovec

The management changes at Cloud Imperium Games continue with a new name added to the conversation. Someone on the Star Citizen sub-Reddit noticed a change on the company's About page. But when I heard the news I saw not one, but three changes as two people have been dropped from the page in the last week.

Here is the update since the About page was last archived on 30 January.

Elliot Chin - According to his LinkedIn page, Chin is still the Chief Marketing Officer for Cloud Imperium. Back in December Insider Gaming reported an office rumor that Sandi Gardiner was returning to CIG to take over her old role. The rumors started swirling further when Bored Gamer received information indicating Chin was one of three executives with a combined 25 years experience at CIG being moved out of the company. With his removal from the leadership page on the corporate website, the possibility grows a little more realistic.

Dr. Martin Franz - Cloud Imperium's chief legal officer, Franz came into notice when UK Companies House posted he had resigned from his position as the corporate secretary. At that point the question arose whether Dr. Franz was stepping down from what has become a thankless position over the last two years or was something bigger. CIG removing him from the leadership page hints at something bigger.

Tony Zurovec - Perhaps the biggest name on this list, last week the developer known as "Tony Z" was listed as the Persistent Universe Game Director. On the current version of the About page, he's listed as Game Director Emeritus, indicating he is no longer involved in day-to-day operations at CIG. 

Zurovec was best known to myself as the developer in charge of developing Star Citizen's (and presumably Squadron 42's) economic system and gameplay. At last year's CitizenCon, the announcement of the vision of Star Citizen 1.0 seemed to indicate much of the work Zurovec had done was no longer relevant. His new title of Game Director Emeritus indicates his role, if any, in the future is purely advisory.

I did hear a rumor in a video that Zurovec is still present due to an ownership interest in Cloud Imperium. As far as I know that is not the case. Here is the current list of people with an ownership stake in CIG after stripping away the holding companies.

• Chris Roberts - 71.1%
  
• The Calders - 21.3%
• Keith Calder - 20.7%
• Clive Calder - 0.6%
  
• Erin Roberts - 4.7%
  
• Eli Klein - 2.4%
  
• Marc Deaudet - 0.2%
  
• Benoit Beausejour - 0.2%

Rooks And Kings Are In The EVE Frontier Alpha

If EVE Frontier wants to succeed, CCP Games needed to develop a good MMORPG that just happens to use blockchain technology, not some sort of crypto scam disguised as a video game. For many, any game utilizing blockchain technology is automatically a scam with no possibility of having a single redeeming quality. Those people are permanently lost as customers, probably dooming Frontier to niche game status as a ceiling. But can the developers make a game that hearkens back to EVE Online's first decade when the universe was open to exploration and kitchen sink fleets were the meta? Can Frontier attract some of the older players not bothered by the game's tech to come in and play with a new set of rules?

I was highly skeptical but I signed up for the alpha anyway, looking to see. And in an after action report written up by CCP Jötunn I found familiar names: Lord Maldoror and Rooks and Kings. For newer players Rooks and Kings were legends in the first decade of EVE, whose triage carrier and pipe bombing tactics were immortalized in the Clarion Call series. Below is the full pipe bombing sequence from the This is EVE trailer.

But more importantly for this post, Rooks and Kings are making noise in EVE Frontier. Below is CCP Jötunn's AAR on one battle in the alpha.

Battleship Clash in I.EXP.NJ7:

Rooks and Kings vs. Algorithmic Warfare
01.02.2025

In what has been described as the most significant battleship engagement to date in EVE: Frontier, the forces of Rooks and Kings (RnK) clashed with Algorithmic Warfare (AWAR) and their allies, Heavy Metal (HEAVY), in a fierce confrontation within the Trinary Accord capital system of I.EXP.NJ7.

The Build-Up to Conflict

For weeks, RnK had been conducting raids into AWAR territory, their skilled fleet maneuvering through contested space with impunity. This led to a decisive response from AWAR and HEAVY, culminating in a strategic engagement aimed at countering the growing threat.

“The engagement with RNK was something I was looking forward to,” said Ergod, the fleet commander of AWAR. “Although the circumstances of that encounter weren’t my choice, it just happened as I was FC’ing a mining fleet.”

What initially seemed like an ordinary mining operation quickly transformed into a full-scale defensive effort. AWAR forces had to rapidly pivot to battle readiness, calling in reinforcements and distributing last-minute modifications to ensure they could mount a formidable challenge. “I knew how badly we were outmatched, yet I threw that ping anyway,” Ergod reflected. “Without much expectation, soon after, pilots started hopping on voice, curious about the response.”

The Battle Unfolds

As AWAR and HEAVY prepared their fleet, a tactical bait was set in motion. Seven battleships and support craft from AWAR and HEAVY faced off against RnK’s fleet of five battleships and additional support.

“We send our first bait, a Grus,” Ergod recounted. “Tacklers warp in, but we were looking for the escalation. I undocked second as the bait… there they all warped in, in formation, magnificent sight.”

However, RnK anticipated the move. “Eldareth was able to steer his Grus beneath the enemy lines such that occlusion and cross-fire led to difficulties with damage application and friendly fire,” explained Lord Maldoror of RnK. This maneuver proved critical, forcing AWAR and HEAVY into a difficult firing position. The intensity of the exchange was evident as ships on both sides took heavy damage.

“With loud railguns blasting crazy damage from both sides, yet that Grus was good. It moved under, I knew the damage application was going to be superior,” Ergod acknowledged, recognizing the skill of RnK’s execution.

Turning Points and Tactical Withdrawals

As the battle raged on, the first major loss for AWAR was a battleship, a pivotal moment in the skirmish. In an ironic twist, the kill was credited to friendly fire within AWAR’s ranks. Meanwhile, three Caruda and another Grus from AWAR also fell under RnK’s precise targeting.

“The three remaining AWAR and HEAVY battleships of Vode, DakkanUdan, and Faeltagen escaped through a locked Smart Gate, where RnK could not directly follow,” detailed Lord Maldoror.

Rather than pressing for a total rout, RnK sought an alternative resolution. “After various attempts by RnK to encircle them, RnK’s John and AWAR’s Ergod spoke and arranged the safe return of the remaining three battleships,” Lord Maldoror revealed.

This level of mutual respect between adversaries is a breath of fresh air in the war-torn landscapes of EVE: Frontier. “Much respect for this group,” Ergod concluded. “It was all gf.”

Aftermath and Future Engagements

While AWAR suffered significant material losses, their fleet commander remained philosophical. “A pricey lesson, but to me, these battleships are a fair price. I am not emotional about the ships even if I FC’d and Co-FD’d ops to mine them.”

On the other side, RnK acknowledged the resilience and adaptability of their foes. “Both sides look forward to their use in future engagements,” said Lord Maldoror, signaling that the conflict between these rival forces is far from over.

This historic battle not only showcased the evolving strategies and counterplays between some of the most formidable fleets in the game, but also set the stage for future engagements that will undoubtedly shape the balance of power on the Frontier.

I'm Going To EVE Online's Fanfest 2025

Have I really gone 7 years without visiting Iceland? I had a stretch of attending EVE Online's Fanfest event in Reykjavik every year from 2012 to 2018. In 2019 the event wasn't held (I blame the acquisition by Pearl Abyss) and in 2020 the COVID pandemic cancelled everything. But 5 years after having my last trip cancelled, I'm going back.

I want to assure everyone I am not some sort of architecture snob. Sure, my first year of attending Fanfest in Reykjavik was the first year CCP held the event in Harpa, the futuristic concert hall and convention center near Iceland's military harbor. And yes, Fanfest returns to Harpa this year for the first time since 2018. But that is merely a coincidence.

Booking my flight to Keflavík International has also changed. Back in 2012 I kind of fumbled around as no direct flights existed between Chicago and Keflavik. By 2018 IcelandAir had a direct flight running three times a week between the two locations. Advance to the current day and I had my pick of two flights. Seven years later I'm finally crossing off an item on my bucket list: flying Saga Class. I have the feeling the experience is more like business class than first class, but I had a lot of points on my main credit card so I splurged.

One piece of the trip I'm looking forward to, believe it or not, is the bus ride from the airport to the bus terminal in Reykjavik. On my first trip the landscape was like nothing I had ever seen before. I think I compared the experience to travelling in a video game. I want to see how much development on the island has changed the landscape. Also, I want to see how much technology has changed on the buses. Is the bus wifi any better?

I'm taking advantage of the additional flight and instead of arriving at Kefkavik at 6:35am I'll land at 9:20am. For those who haven't travelled to Iceland before, that's huge. Hotel check-in is usually around 2pm, but for travelers arriving from the airport around 9am they usually have an early check-in option which included breakfast. Those who chose not to ask for the option get to wait around the hotel lobby for hours. With the later arrival, I can drop off my bags, grab some lunch, and then check in.

When looking for a hotel, my first thought was the Center Hotels Plaza, the hotel I stayed in my first trip to Fanfest. Sure, the water smelled like sulfer and the wifi was spotty. I was curious how much the place had changed over the previous 13 years.  But then I discovered another hotel that not only was cheaper but located closer to Harpa: Center Hotels Arnarhvoll.

Center Hotels Arnarhvoll is a newer hotel, I believe built in 2016. Did I mention the hotel is across the street from Harpa? I remember seeing the hotel and thinking how convenient staying across the street would be. Going back to my room to take a break would take 5 minutes depending on how fast the elevators work. The hotel is a little bit farther away from the main shopping area but I can use the exercise.

I am arriving a couple of days early in order to look around and see how much has changed. Back in 2018 the area around Harpa was littered in construction cranes. I also want to see if any of the bars I used to frequent survived the COVID lockdowns of 2020, although I hear Iceland's measures weren't as strict as many places.

The trip to Iceland, my eighth, is my first bit of travel since the pandemic of 2020. Honestly, I'm looking forward to getting away from home for a week. Fanfest was always an event that rejuvenated by desire to play EVE Online. Perhaps I'll want to play for more than 45 minutes a night when I get to meet up with other internet spaceship nerds.

Star Citizen Cancels The Red Festival Free Fly Event

The Masters of Marketing in Manchester had a really good month in January. February, on the other hand, is starting out pretty rough with Cloud Imperium needing to cancel Star Citizen's Red Festival free fly event. The Red Festival is Star Citizen's in-game version of Lunar New Year.

Hi everyone,

We wanted to take a moment to update you on the current experience and where our focus is as we work toward improving 4.0.1 and beyond.

As we mentioned in the Letter from the Chairman in December, our top priority is playability - ensuring that your experience in the ‘verse is as smooth and enjoyable as possible. That means dedicating all our resources to improving stability, addressing critical issues, and delivering meaningful quality-of-life updates.

With that in mind, we've made the decision to forgo the Red Festival Free Fly. This reinforces what we said in December: Star Citizen needs to work, and it needs to work well. Right now, our focus is on continued hotfixes and subsequent patches to bring the experience to a much better place.

While there’s no single patch that will instantly get us to where we want to be, 4.0.1 was an important first step. It included a massive list of fixes, but some of the nastier issues impacting your experience remain. Below, you'll find a list of some of our top-priority issues currently being worked on. This isn’t an exhaustive list - many other issues are being tackled in parallel - but we want to be transparent about where our efforts are focused in the short term.

We’ll continue to keep you updated through Patch Notes and additional update posts like this one as we have more to share.

I normally concentrate on Cloud Imperium's finances. This cancellation not only will affect February's sales but the number of new accounts created as well. But the reasoning is pretty important. Part of the marketing strategy probably involves showing the best side of Star Citizen, not its worst. Here are the reasons for CIG not opening the floodgates to new players.

Transit woes. In Star Citizen, the "E" in PvE stands for "elevators".

Elevator in the Room 

We've rolled out a number of transit fixes, however elevators (and occasionally trams) remain a major pain point in the overall experience. These issues can trap players in locations, preventing basic access to the game, which is why they remain one of our highest priorities in every patch cycle. The team has a bright spotlight on these issues right now and is actively working toward more reliable fixes for this.

Logging in and out. Seriously, something most gamers take for granted working correctly.

Character Stowing and Repair

We recently deployed a fix for the most severe character stowing issue, which caused error 60030 and locked players out of the game. However, players still frequently get stuck in specific shards, which exacerbates other issues - especially since logging out and back in is a common workaround for various bugs. Additionally, character repair does not consistently resolving stowing problems. We are actively investigating this.

Personal spaces - The folks over at MassivelyOP may have to name a new game with the worst player housing.

Hangar Woes

Since the implementation of instanced hangars, there have been a variety of problems with the reliability and playability of this system. From hangar lifts that clip and damage player's ships, to not storing ships properly after arrival (gets stuck in “unknown” or “destroyed” states), doors not opening and closing correctly, losing your personal hangar completely, and overlapping with other players both physically and on audibly.

Speed - For those who hate loading screens, Star Citizen is probably not the game for them right now.

Load Times and Initial Load

With 4.0.0, load times have increased, especially when loading into Pyro. Combined with ongoing login errors, this has resulted in players spending extended time on loading screens with low confidence of getting into the game.

PvE issues - I know that Star Citizen is a full loot PvP sandbox game, but the little PvE content present isn't entirely working.

Mission Issues

The mission system underwent a refactor with 4.0.0, temporarily reducing the number of available missions. However, we are still seeing familiar issues, including:

• AI not spawning at mission locations (both ship and FPS AI)
• Mission sharing and reputation inconsistencies
• Concerns about time vs. reward balance, especially for group play

Long distance travel - In a space game, travel between planets, moons, and systems is kind of important.

Quantum Travel and Starmap

Quantum travel continues to experience frequent disruptions, including repeated starts and stops, forcing players to retry jumps multiple times, alongside an ongoing issue where fuel states don’t always sync properly between server meshes. These are areas we’re actively investigating to reduce frustration and improve reliability.

Inventory issues - Sorry, but players like finding all their stuff in their inventory when they log into a game.

LTP and Keeping What You Earn

The system has become unreliable, with frequent reports of lost items, ships, and money. While each case is investigated individually, underlying loopholes and complexities impact overall reliability. Since this pertains to progression and respecting player time, it's a critical issue and top priority.

And on and on and on...

Additional Fixes

As mentioned above, this is not an exhaustive list - many other bugs are being addressed and investigated in parallel. A few examples include:

• Mineables taking too long to fully load in
• Invulnerable actors, which can include both AI and players
• Freight Elevators at outposts becoming stuck and impeding missions
• Collision issues where players may clip through a ship, the floor, etc.
• Power allocation issues setting ship power to 0 or off randomly
• Inability to equip some components discovered in Contested Zones
• And more...

All of the points above came from a statement from an employee on the Star Citizen forums. Honestly, the next a Star Citizen white knight boasts how well the game works, I might just drop the link to the forum post stating that not even the developers believe that. I mean, CIG never cancels a free-fly event. Until now.

Cloud Imperium January 2025 Sales Revenue Up 44.2% Year-Over-Year

After a year in which cash shop revenue held steady, Cloud Imperium Games' began 2025 with $7.8 million in sales according to the CCU Game dashboard. The amount was a 44.2% increase in sales compared to January 2024.

The $781.8 million displayed on the Roberts Space Industries funding page at the end of January was not a comprehensive accounting for all of CIG's revenue since the project's Kickstarter in October 2012. Overall, the company has recorded $872.6 million in confirmed revenue (the funding page & the 2022 financial report).

• Sales/Pledges: $781.8 million (through 31 January 2025)
• Subscriptions: $33.0 million (through 31 December 2022)
• All other sources: $65.6 million (through 31 December 2022)

In addition, the company has received a total of $63.25 million in outside investment. According to the 2022 financial report, $4.8 million of the amount was returned to investors in 2020. Including the outside investment money, the total amount raised by CIG to create Squadron 42 and Star Citizen is $943.6 million, or $938.8 million when excluding the returned funds.

The Funding Plateau - Over the last three years, Cloud Imperium has faced a sales plateau in the company's sales of virtual good like internet spaceships. Sales have fallen withing 3% of the average of $115.9 million between 2022-2024. I believe the ongoing shakeup of upper management is designed to break through and increase revenue for the company. So in addition to providing year-over-year metrics I will also comparing the previous month's sales to the average sales for the month from the years 2022-2024. I believe if sales continue to fall within the range of $112.4 million and $119.4 million the C-Suite at CIG, if not the board of directors, will not be happy.

In January the Marketing Masters In Manchester had a lot to smile about. Not only did sales rise 44.2% YoY, but increased over the previous 3-year average for January by 16.6%. Sales really benefitted from the release of Alpha 4.0.1 on 28 January and the accompanying sale of both the MISC Fortune and the Red Letter event. Over the last three days of the month, the company recorded almost $1.5 million in sales according to the CCU Game dashboard.

New Account Creation - From 2022 to 2024 CIG saw the number of new accounts created each year fall by 44.5%. I'm assuming that part of the shakeup is aimed at improving that performance as well. So I came up with a simple predictive formula to estimate how big of a drop in new player account creation is expected based on historical trends. For the year, my formula comes up with a 19% drop in new user accounts created in 2025, which is twice as much as I predicted at the beginning of the year.

As good as the sales numbers for January were, the new account creation figures are as poor. Year-over-year last month saw a 35.3% drop in new account creation. Not the way I believe the marketing department drew up the plan. The numbers indicate sales are coming primarily from what is known in the industry as "whales". Or, in other words, not much has changed so far.

Ongoing Concerns - The big question going into February is whether the Calders will exercise their put option in 2025 or wait until the first quarter of 2028. While I fully expect the Calders to choose to wait another three years in order to benefit from the release of Squadron 42, I see a non-zero chance of the second largest shareholders pulling the trigger.

Another concern is the lack of financial information for 2023 available. With my experience covering CCP Games the lack of posting information is a bit puzzling. The Icelandic studio only stopped posting financial information on its corporate website when it briefly didn't have outside investors or was bought by Pearl Abyss. I really don't see either condition existing at the moment.

A bigger concern is the late filing of CIG's accounts to UK Companies House. For the second year in a row the filings will occur after the 31 December deadline. The 2022 filings showed some issues with the accounts from the new auditors, including accessing the liability for the put options for 2024, 2025, and 2028 correctly.

Finally, will CIG announce the reorganization plan? We've heard about the upper management shakeup. How much will the company reduce its presence in the United States, especially in the high cost/high tax state of California?

The Drifter Crisis Of 2025 - Patch Notes And Lore

A day after I complained about the lack of events in the roadmap for the first and third quarters of 2025, CCP launches a live event. Designed for group play, the largest Drifter offensive in EVE Online history began yesterday. And unlike the last time the developers tried to do a mass event, null sec residents don't have to worry.

As the Drifters extend their aggression in New Eden beyond Zarzakh, capsuleers will encounter them in multiple systems in highsec and lowsec, and pilots of all skill levels are called upon to assist in beating the threat back. Various sites and activities are available to Tech I ships up to battlecruiser class. These engagements are perfect for small gangs and provide opportunities for exploration, salvaging, and enforcer career followers to thrive. Eliminating threats will unlock a Crisis Resolution operation at the heart of the affected systems, the successful completion of which will force the Drifters to withdraw and regroup.

On a personal note, the initial description from the introductory article doesn't sound promising for solo players like myself. Let's see the content others will enjoy by looking at the patch notes for the event.

Drifter Crisis: Drifter Crisis Systems

Drifter-controlled forces have begun launching attacks on all four empires throughout high and low-security space! The first systems will become available between 19:00 and 21:00 tonight, with more following as the crisis continues.

• Systems under attack can be found in the new ‘Interstellar Events’ section of the AIR Opportunities window.
  
  
• Complete ‘Crisis’ sites to weaken the grip the Drifters have on these systems.
  
  
• There are 4 varieties of Crisis site, with a 5th Crisis Resolution site available once the Drifter forces have been sufficiently weakened.
  
  
• Each site requires teamwork and strategy, with specific roles needing to be fulfilled for success:
  
  
• Crisis: Field Rescue — Salvage the wreckage left behind following an empire assault on a Drifter facility to locate any survivors. It is recommended that at least 3 capsuleers tackle this rescue mission. T1 frigates and standard T1 destroyers are permitted.
  
  
• Crisis: Observatory Infiltration — Scan down this site to retrieve valuable relics from the remains of an emergent Jovian Observatory. Bring up to 2 other capsules to maximize rewards, but be wary of any traps the Drifters may have left behind! T1 frigates, destroyers, and standard T1 cruisers are permitted to enter.
  
  
• Crisis: Deathless Research Outpost — A Deathless research base is under attack by Drifter forces. Use remote repair modules to keep the structure alive until it can be secured. Alternatively, destroy it yourself and sell the accrued Hyperspace Telemetry data to the highest bidder. 5 capsuleers are recommended to aid the site; less may be required to destroy it. T1 frigates, destroyers, and standard T1 cruisers are permitted to enter.
  
  
• Crisis: Lancer Counter Offensive — An empire-owned Lancer dreadnought has been deployed to aid a civilian structure. Help it destroy the Drifter presence before its nefarious task can be completed. T1 frigates, destroyers, and standard T1 cruisers are permitted to enter.
  
  
• Crisis Resolution: Vigilant Dreamer — To resolve the crisis within the system, 10 capsuleers are required to bring an end to the Vigilant Dreamer. Using data analyzers, the defensive array protecting this Drifter facility can be disabled allowing it to be destroyed. T1 frigates, destroyers, cruisers, and standard T1 battlecruisers are permitted to enter.
  
  
• Payouts from these sites are awarded to the top contributing fleet alone.

These event entries do not show up in the main window by default, so make sure to select the Interstellar Events icon on the left side of the window to see the sites nearest to you.

From the AIR Opportunities window

The patch also brought back a recent type of event site.

Deepflow Rifts

Deepflow Rifts have reemerged across the cluster and wormhole space! Intrepid capsuleers should tread carefully; both the rewards and difficulty of the site have been increased.

Additional updates were made to another type of group PvE content, Homefront Operations.

Homefront Operations:

• Remote capacitor transmission is now less effective on allied Dreadnought NPCs within Dread Assault sites.
  
  
• The effectiveness of enemy NPCs which energy neutralize allied Dreadnought NPCs within Dread Assault sites has been greatly increased.
  
  
• Added a delay to the initial enemy hauler spawn within Raid sites.
  
  
• Increased the variance and average spawn time of enemy haulers within Raid sites.
  
  
• Decreased the access difficulty of salvaging wrecks in Salvage Research sites.
  
  
• Increased the number of enemy NPCs within Salvage Research sites.

Of course, a live event isn't really a live event without a news article. So what do we know about the actions of the major players in our little drama.

The Drifters

Drifter-controlled forces have attacked solar systems in all four major nations. The attacks have focused on civilian infrastructure, triggering the deployment of military crisis response forces. Initial strikes by the Drifters have already led to a death toll in the thousands, with that number expected to climb as the violence continues.

The motivation behind the Drifter aggression is unclear. The targeted systems are of little strategic significance, there are no signs of permanent occupation, and no resources are being extracted by either the Drifters or the Sleeper Drones under their control. The only clue to the Drifters' goals are the surveillance structures at the heart of their efforts. Named “Vigilant Dreamers”, these structures appear to be the focal points of Drifter activity in affected systems. Defending forces are attempting to gather sufficient intel to pinpoint and ultimately destroy these Dreamers.

The Gallente

Today’s attacks have silenced many who questioned President Aguards decision to postpone the Federation’s regularly scheduled elections. Only the Federalist-Liberal Party has remained vocal in their criticism, accusing the President of using an atmosphere of fear to disrupt the lawful democratic process. Her own party, the Progressive Unionists, have dismissed these claims, praising Aguard for putting the defense of the Federation first.

The President herself spoke at a press conference on Luminaire today, praising the “dedication and bravery” of those who have taken up the fight against the Drifters. When questioned she was reluctant to give a definitive answer on the rescheduling of the election, stating that “this crisis has only just begun”.

The Caldari

Speaking aboard a Chimera class carrier, Chairman Akimaka Saraki has commended the Caldari Navy for its speedy deployment to all systems in conflict. He added that “the very best of the State cannot be distracted from their sworn duty.”

Some political pundits took the comment as a disparaging reference to those who criticized the CEP for relying on Gallente intel. Saraki issued a second statement dismissing this analysis as divisive and unfounded. This statement began, “We are one Caldari. Never is this truer than when we find ourselves tested by unprecedented times. As long as we stand as one, none may stand against us.”

The Amarr

Across the Amarr Empire, newly deployed joint holder assets have moved to meet Drifter forces. Organized in secret, these newly formed armadas pool the resources of local nobility to enable timely countermeasures. Able to respond more rapidly than Imperial forces, they are part of a strategy that puts responsivity first.

Empress Catiz I has been credited with this logistical innovation. In an Empire-wide broadcast, she commended all Amarrian citizens for their “fortitude in the face of darkness.” She called on “all faithful to band together against the demonic abborations that plague our skies. In years past, these same monstrosities breached our borders and murdered our holy Empress Jamyl I. They caught us by surprise, but this time we are ready to show them the truth of our Lord’s will.”

The Minmatar

The Republic Fleet has scrambled to defend clan holdings under attack. Thukker Chief Ennar Aeboul has criticized Sanmatar Maleatu Shakor and the Tribal council for failing to heed his tribe’s warnings of a rising Drifter threat. “We who wander are tired of being overlooked,” he told reporters, “It brings me great sorrow that innocent Matari must now pay such a high price for the Republic’s foolishness.”

The Sanmatar has deflected these criticisms, saying that “now is the time for unity. Despite what Aeboul might think, the Republic Fleet is always ready to defend our people. We should be focussed on how to support them, not casting aspersions.”

Society of Conscious Thought

Just a brief note. When the Jove took their leave of New Eden, they nominated The Society of Conscious Thought their heirs and successors.

As the nations of New Eden respond to the Drifter threat, their representatives are being hosted at an emergency CONCORD summit in Yulai. As diplomats headed into session, the Society of Conscious Thought’s Elder Mentor Matshi Raish spoke to the press, laying the blame for the ongoing crisis at the feet of the Deathles Circle.

“These Drifter attacks are the direct result of the Deathless and his Circle’s reckless hubris. Their occupation of the Fulcrum and Warden structures has clearly awoken a threat that long lay dormant. Through their interference with technologies beyond their understanding they have unleashed tragedy upon our cluster.”

The Deathless Circle

Rumors have spread that the Deathless Cricle are attempting to take advantage of the current situation by deploying research outposts within Crisis systems, only to come under attack by the Drifters themselves. While calls for aid have been registered, military forces are encouraging capsuleers to bring any research produced at Circle facilities to national intelligence agencies, and not to aid the criminal organization.

I think this most of the recent news from CCP Games setting up the players for the upcoming summer expansion due for release in the second quarter of 2025. At least, I consider the event the ramp-up to the next expansion. After the recent Director's Chat, the developers may argue that this qualifies as part of the Revenant Update.