When it comes to securing the contract for the remaster of one of the most beloved shooters, Halo: Combat Evolved, Saber Interactive’s CEO, Matthew Karch, pulled off quite the impressive feat. In a conversation with journalist Stephen Totilo, Karch shared the audacious story behind landing the Halo: Combat Evolved Anniversary contract.
A Bold Proposition
Karch recounted how, prior to collaborating on Halo, Saber was struggling to stay afloat, developing titles like Will Rock and Timeshift. However, fate intervened when Saber was invited to present their pitch for the remaster. Karch made a remarkably bold proposal: he offered to work for free.
“I said I’d do it for free because it’s Halo. It’s the biggest franchise in the world at the time. I said: ‘It’s like putting a Harvard diploma on your wall. Everyone in the world is going to want to work with me after they see that I’ve worked on this last Halo game, and it is going to open up doors. So I’ll suck it up and I’ll do it at a loss.’”
The Business of Numbers
Microsoft ultimately declined his zero-cost offer, insisting on a proposal with a monetary figure. In response, Karch revised his offer to a staggering $4 million, bolstered by the fact that Saber was based in St Petersburg, which he claimed made it the most budget-friendly option.
Winning the Contract
In a twist of fate, Microsoft accepted Karch’s new offer, granting Saber the task to remaster the game, released for Xbox 360 in 2011. Although Karch agreed to do the initial work for no charge, an original agreement assured Saber would earn royalties post-launch. Yet, the contract’s terms were altered to strip Karch of those royalties.
Seizing the Opportunity
Despite this setback, Saber agreed to remaster Halo 2, followed by a port of Halo: Combat Evolved Anniversary for Xbox One as part of the Master Chief Collection. However, Microsoft didn’t send a contract for the porting work until just before the release. Using this to his advantage, Karch hesitated to sign, leveraging the situation until Microsoft restored the royalty agreement, resulting in tens of millions in earnings for Saber.
“We’ve watched other people make money on our work; now we’re going to make money on our own.”
Conclusion
Karch’s narrative serves not just as a remarkable business tale but as a lesson in seizing opportunities in the gaming industry. Saber Interactive’s success story continues as they recently launched Warhammer 40,000: Space Marine 2, marking a triumphant point in their journey after years of fluctuating fortunes.
