Analyst: THQ has 50% chance of bankruptcy [Joystiq]

[DP ServBot]

http://www.blogcdn.com/www.joystiq.com/media/2009/03/thqaxnext.jpg (http://www.labusinessjournal.com/article.asp?aID=29426966.7104656.1750892.1954275.5 632346.429&aID2=134675)

THQ is barely hanging on, according to Janco Partners analyst Mike Hickey, who sees the company's chances of going bankrupt at 50/50. Speaking with the LA Business Journal (http://www.labusinessjournal.com/article.asp?aID=29426966.7104656.1750892.1954275.5 632346.429&aID2=134675), the prognosticator points out the publisher currently has mediocre product and is losing cash (http://www.joystiq.com/2009/02/26/report-thq-closes-international-branch-in-zurich/) like it's battling Midway (http://www.joystiq.com/tag/midway) for an award in corporate ineptitude (http://www.joystiq.com/2009/02/19/midway-kicked-all-the-way-out-of-nyse/).

THQ (http://joystiq.com/tag/thq) CEO Brian Farrell says that talk of an acquisition or bankruptcy "makes for good print and sells newspapers," but notes that the company currently has a plan (http://www.joystiq.com/2009/02/04/thq-announces-q3-results-names-new-cfo-to-oversee-companys-res/) to get through this tough time. THQ's licensed titles, which are footing some of the blame for the current predicament, have always formed a powerhouse (http://www.joystiq.com/2007/07/03/thq-profits-show-power-of-licensing/), but those titles don't provide the margins of original games. Currently, the company's fate rests on the performance of Dawn of War 2 (http://joystiq.com/tag/dawn-of-war-2) and ... 50 Cent: Blood on the Sand (http://www.joystiq.com/tag/50-cent-blood-on-the-sand/).

[via GI.biz (http://www.gamesindustry.biz/articles/thq-has-50-50-chance-of-going-bankrupt-hickey)]http://www.joystiq.com/media/feedlogo.gif (http://www.joystiq.com)Analyst: THQ has 50% chance of bankruptcy (http://www.joystiq.com/2009/03/02/analyst-thq-has-50-chance-of-bankruptcy/) originally appeared on Joystiq (http://www.joystiq.com) on Mon, 02 Mar 2009 13:20:00 EST. Please see our terms for use of feeds (http://www.weblogsinc.com/feed-terms/).



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[Steve W]

They're resting the company's hopes and future on 50 Cent? They're so screwed.

[titanzguard]

Ya, I wouldnt count on either of those 2 games to save them.

[BHvrd]

They're resting the company's hopes and future on 50 Cent? They're so screwed.

QFT

....

[Sudo]

No big loss, IMO. I can't remember the last THQ game I enjoyed.

[Overbite]

Dawn of War 2 is going to be great, but not enough to bet the farm on. 50 cent...eh

[Gapporin]

What? THQ still exists?

They need another AKI wrestling game to publish.

[mnbren05]

50 cent gets another game and I'm sure it'll be mediocre like the last one. Well it's THQ so flip a coin and get it over with already. I wonder if they'll be acquired or just board up.

[Bojay1997]

Actually, the new 50 Cent game got really good reviews. Having said that, I can't imagine many people paying full price for it as it's sort of over the top and has lots of competition on the third person shooter front.

[Tron 2.0]

Wouldn't bother me if,THQ went out of business since most of there games are lincense crap.

[Rob2600]

This is what THQ gets for releasing the unplayable mess called Pit-Fighter on the SNES.

Fourteen-year-old me still wants his $60 back!

[j_factor]

de Blob was great on Wii; I hope the DS version still comes out. Drawn to Life was also good, and although I sure don't care about the Spongebob version, I would like to see a sequel. So, THQ isn't all bad. :p

[CelticJobber]

Legends of Wrestlemania is also releasing soon, so that should be a little bit of a boost for them too.

[The 1 2 P]

I did some merchandising work for THQ during the holidays. None of their current games interest me in the slightest, and although I'm a huge wrestling fan, I haven't bought a new THQ wrestling game since the first Xbox one they made. I bet the WWE license is their most valuable property but even that can't save them from their fate. As for 50 cent, his last game sold over a million units so atleast they'll get a little something something from using his name.

[Rob2600]

http://www.digitpress.com/forum/showthread.php?t=123791

Maybe if THQ hadn't wasted money suing Activision over Baja box art, it wouldn't be in this position.

[Push Upstairs]

I don't think I ever fully trusted the name THQ on a video game.

Must have been those early years when they made total excrement.

[CelticJobber]

Its a shame Saints Row 2 wasn't a bigger hit.

And THQ put out some really good wrestling games on N64, and their WWE Smackdown VS Raw games have gotten better since they switched to the analog-stick grappling system, IMO (but most fans online seem to have preferred the older control style in Smackdown games).

But I think their WWE license runs out after the end of this year anyway, and I've heard EA is interested in taking that license as soon as it becomes available.

[DigitalSpace]

THQ pretty much filled the "decent game every now and then, but mostly licensed crap" hole that Acclaim left behind when they went under.

[Nebagram]

Besides the WWE games does THQ have ANY big-selling licenses?

[DKTheArcadeRat]

They should have gone the Ubisoft route and just started releasing ANYTHING, whether it was really a game or not.

[Aussie2B]

And we as gamers have a less than 50% chance of getting a decent game from THQ.

[kupomogli]

I think Legends of Wrestlemania looks like it'd be good. Looks like they're trying to make a game closer to when the wrestling genre was perfected on the N64(WCW vs NWO, WCW/NWO Revenge, WWF Wrestlemania 2000, and WWF No Mercy.)

The only thing I think looks stupid is the managers in Legends of Wrestlemania. I mean seriously. Leave the drama in the crappy series, not on the games(this coming from a former very very big fan of WWF.)

[megasdkirby]

In order to survive, THQ must revert to the same quality games that graced NES, GB, SNES...games of that era.

We need to see more Rocky and Bullwinkle, Attack of the Killer Tomatoes, Ren & Stimpy...games of that calibur. Games that scream out "QUALITY!!!".

LOL

[CelticJobber]

I think Legends of Wrestlemania looks like it'd be good. Looks like they're trying to make a game closer to when the wrestling genre was perfected on the N64(WCW vs NWO, WCW/NWO Revenge, WWF Wrestlemania 2000, and WWF No Mercy.)

The only thing I think looks stupid is the managers in Legends of Wrestlemania. I mean seriously. Leave the drama in the crappy series, not on the games(this coming from a former very very big fan of WWF.)

From what I've heard, Legends of WrestleMania is more of a throwback to the early Smackdown titles, with more fast-paced arcade style controls.

[Jorpho]

according to Janco Partners analyst Mike HickeyUm, do we have the slightest reason to trust the words of this "prognosticator" ? I wonder how many "analysts" Sony had on board to plan the PS3 marketing strategy.

[demen999]

Too bad for THQ, they got some good franchises. De Blob (yet to try) seems awesome and a real good try at the Wii, Wrestlemania looks awesome, Drawn to Life my son loves :p
50 Cent just should never have come to be. I was in the DP store and saw it for 1.99 (original xbox one), and Mr. DP himself scanned it and looked up at me and said, "you know your going to hate it right?"
I laughed then said yes. I wanted to see how bad it was, and ooooh boy it was.

[MachineGex]

Considering the times, don't most companies have about a 50% chance of surviving?

[Oobgarm]

Well, this is somewhat promising for them...

http://www.joystiq.com/2009/03/03/npd-dawn-of-war-ii-topples-the-lich-king-in-first-week/

[Graham Mitchell]

Well, this is somewhat promising for them...

http://www.joystiq.com/2009/03/03/npd-dawn-of-war-ii-topples-the-lich-king-in-first-week/

Well, maybe they'll cough and wheeze for awhile before the death rattle.

So, when THQ goes, are we gonna raid their offices and dumpsters like everybody did after Acclaim went tits up? Some people got some cool dev kits and what not when that happened. And I know where THQ's offices are...

[Nesmaster]

It'll be interesting to see where Volition ends up if THQ goes under.... EA? :P

[crazyjackcsa]

It's too bad. THQ is a company that I just recently got into. de Blob is probably the BEST third party effort on the Wii, and is great game all around.

[Ed Oscuro]

Let's hear it for bloodz on da sand! If it was for PC I'd have bought my copy like yesterday.

It'll be a silly game, but I think silly in a good way. Doesn't hurt that the team and technology behind it seem to be solid.

[Cryomancer]

I'm worried for Volition. THQ however...well as long as Volition is ok.

[SegaAges]

Well, this is somewhat promising for them...

http://www.joystiq.com/2009/03/03/npd-dawn-of-war-ii-topples-the-lich-king-in-first-week/

Dude, DoW2 hit 6 of all time in pre sales at Amazon.

Awesome article, as my friend that is a diehard WoW player was trying to give me shit cuz I was all excited for DoW2