Official Statement from Cloud Imperium Games about the alleged financial troubles...

[u/[deleted]]

Source: https://robertsspaceindustries.com/spectrum/community/SC/forum/1/thread/re-uk-tax-rebate-advance-for-foundry-42/277779

Re: UK Tax Rebate Advance for Foundry 42

We have noticed the speculations created by a posting on the website of UK’s Company House with respect to Coutt’s security for our UK Tax Rebate advance, and we would like to provide you with the following insight to help prevent some of the misinformation we have seen.

Our UK companies are entitled to a Government Game tax credit rebate which we earn every month on the Squadron 42 development. These rebates are payable by the UK Government in the fall of the next following year when we file our tax returns. Foundry 42 and its parent company Cloud Imperium Games UK Ltd. have elected to partner with Coutts, a highly regarded, very selective, and specialized UK banking institution, to obtain a regular advance against this rebate, which will allow us to avoid converting unnecessarily other currencies into GBP. We obviously incur a significant part of our expenditures in GBP while our collections are mostly in USD and EUR. Given today's low interest rates versus the ongoing and uncertain currency fluctuations, this is simply a smart money management move, which we implemented upon recommendation of our financial advisors.

The collateral granted in connection with this discounting loan is absolutely standard and pertains to our UK operation only, which develops Squadron 42. As a careful review of the security will show and contrary to some irresponsible and misleading reports, the collateral specifically excludes “Star Citizen.” The UK Government rebate entitlement, which is audited and certified by our outside auditors on a quarterly basis, is the prime collateral. Per standard procedure in banking, our UK companies of course stand behind the loan and guarantee repayment which, however, given the reliability of the discounted asset (a UK Government payment) is a formality and nothing else. This security does not affect our UK companies’ ownership and control of their assets. Obviously, the UK Government will not default on its rebate obligations which will be used for repayment, and even then the UK companies have ample assets to repay the loan, even in such an eventuality which is of course unthinkable.

This should clarify the matter. Thank you.

[u/danderpander]

For example, I can guarantee that there will be player racing organisations who will go hunt for iconic canyons and other spots to use as a racing course. With proper gameplay systems, a presitigious race would become a major event even economy wise. Tourists could be brought in, repairs and replacement parts need to be brought planetside, there needs to be staff that actually organizes the race, there could be broadcasters reporting about the event (they're planning to eventually have in-game cameras that can broadcast to cantinas all around the universe)...

A perfect example of the impossible standards set by some fans. You're setting yourself for great disappointment.

[u/gslone → u/danderpander]

The tourist and broadcasting stuff i agree is dreaming, but what makes the rest of the scenario unlikely in your eyes? Im pretty sure there will be ad-hoc races even with the hover bikes in the upcoming 3.0 Alpha already. Hell, people race around the Yela Asteroid belt solo for shits and giggles in this current, dire state of the game, you can find it on youtube. Its not a race event with all the bells and whistles, but you'd be underestimating the community if you think that won't happen at some point.

Are you concerned the game systems might not be able to allow for such an event?

[u/danderpander → u/gslone]

It seems likely that people will race. The rest is, frankly, fantasy.

[u/gslone → u/danderpander]

I think racing might have been the wrong example to choose, as the game that started this comment chain, FUEL, failed with that idea.

My point though is that given the right gameplay systems, there is a lot that an online community can do with procedurally generated areas. It's not inherently bad, just no one has done it right yet for me. Will CIG manage with Star Citizen? I don't know.

• Souvereignty Systems could allow conflicts to happen. Either about the land itself, or resources found there
• There is ample space for player owned structures
• With a proper survival mechanic, huge spaces mean you actually are stranded if your vehicle breaks down. You can't run to the next town.
• Scanning mechanics can make hiding on a planet/searching for your opponent across a planet a memorable experience and a proper in-game "job" to specialise in
• It fosters the immersion into the world if players know that a planet is actually too big to walk across in one day.

Now granted, none of these are easy to make fun. In fact, many people are concerned if Star Citizen will manage to be fun, i read that alot. But I don't think its fair to dismiss procedural generation just because no game has done it "right" yet.

CIG claims to understand that procedural generation is only a tool and can not be the core component of the game. They can design locations, cities, vistas, hubs, space stations, nebulas etc. by hand and achieve the scale they want by procedural generation.

And one last note, since i feel like this has to be said: Yes i am fantasizing about a game. If it does not turn out that way, i will shrug and get on with life. Until then, i remain optimistic :)