Pachter being Pachter obviously, but the level of Pachter is particularly impressive for how obviously multi-wrong he is in one short paragraph …
https://www.psu.com/news/michael-pachter-sony-vastly-overpaid-for-bungie-out-of-desperation/
Sony, I think, just did a me too statement and said, we’re not going to be left behind. So we’ll buy Bungie. Just to compare and contrast, EA bought Respawn about three or four years ago for $700 million with 400 developers. And those guys generate $700 million a year in revenue. Bungie does about $200 million in revenue. So I think Sony vastly overpaid.
I think this was a statement that [Sony’s] not going to let Microsoft get ahead of [it], so [it’ll] just buy something out of desperation. It’s not really a deal that makes a whole lot of sense to me,” he concludes.
- Sony purchase a reaction/desperation? Cos these deals are generally done in a couple of weeks.
- Over paid by comparing to Respawn, but using Respawn’s revenue generated by Apex which was post EA acquisition.
- Deal doesn’t make sense when Sony made several statements about why it makes sense in terms of the expertise Bungie bring.
I don’t understand how he is still employed as an business analyst in this area. He clearly knows nothing about business or video games.