Subscription AND Item Shop?

svartalf

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Of course, he's misguided in his championing of the Free Market ideal, but otherwise, I find myself agreeing with much of this.

The Soapbox: Subs and cash shops - Two great tastes that taste awful together

by Jef Reahard on Aug 30th 2011 9:00AM

Business models, Culture, Economy, MMO industry, Opinion, The Soapbox, Miscellaneous


Disclaimer: The Soapbox column is entirely the opinion of this week's writer and does not necessarily reflect the views of Massively as a whole. If you're afraid of opinions other than your own, you might want to skip this column.

Hoo boy, The Secret World. On the one hand, I was really looking forward to it. On the other hand, it's now joined the likes of EVE Online, pretty much every Sony Online Entertainment title ever made, Star Trek Online, Champions Online, and Funcom's own Age of Conan in my personal double-dipping doghouse.

Yeah, The Secret World is going to have a subscription model (hooray) and a cash shop (boo, hiss, and zomgwtf). This should surprise no one, really, since game industry devs have been going all Gordon Gekko on us for a while now, but it was nonetheless a disappointing reveal on several levels.

Equally disappointing are the folks who defend the subscription-plus-cash-shop model and erroneously refer to it as an example of consumer-friendly choice.


The times they are a-changin'

In a nutshell, if you want vanity clothing or who knows what kinds of other items in The Secret World, prepare to shell out in the item store on top of your sub. I'm sure there will be some earnable duds in the game proper, but if Funcom's Age of Conan marketplace is any indication, TSW's cash shop will be crammed full of awesome-looking gear (and bag space upgrades that are basically required) priced at well over the normal sub rate for the whole rest of the game.

The glib forum-warrior response to this is of course: Don't buy the stuff! It's not required! They're just vanity items! The point, though, is that for some gamers it is required.

In the same way that raiders think the world will end if they don't get the top parse, collectors, clothes horses, and completionists (completists?) strive to grab all the outfits, cosmetic items, mounts, and assorted doodads that make up the item tables in your average MMORPG. This is to say nothing of the roleplayers who actually use a lot of this stuff to individualize themselves or use as props for player-driven events and story arcs. Long story short, cosmetic items are gameplay-related and therefore necessary, regardless of whether they're high on your combat-centric list or not.

To be clear, I'm not advocating for the removal of cash shops. Impatient people with money to burn are a big source of revenue for any business. If you're already a subscriber, though, all of the in-game items should be available for you to earn -- wait for it -- in the frickin' game. What a crazy and decidedly retro notion, I know.

There should be no cash-shop exclusives, and I'm not willing to budge on that point. Sure, you may be able to circumvent some grind and buy a piece of gear from the shop right away instead of purchasing it with your time, but you should always have the choice to do it the old-fashioned way.

After all, that's what cash shops are about, right? Choice, choice, and more choice, right? Plenty of options for everyone, right?

Look, I'm not going on an anti-F2P rant here; I recognize that for better or worse, the "freemium" model is here to stay. I'm also not intending to bust any chops with regard to those gamers who like to pay only for what they consume. What I am here to do is dispel the ridiculous notion that subscriptions plus a cash shop equals more choices and better experiences for all. It simply doesn't compute, particularly if you're a completionist (and I can't be the only one of those out there, can I? Guys?...).


Welcome to the jungle

The more new MMOs I play, the more I feel as if I've stepped into some bizarro-world alternate dimension where online gaming has been supplanted by a gigantic flea market. There's a used car huckster around every virtual corner, trying to sell you this or teasing you with visions of a more "convenient" experience if you buy that. The funny thing here is that the folks selling you the more convenient experience are the same ones who are purposefully making your current experience inconvenient in order to entice you to spend more money!

And yet many consumers are like "woo, take my money, sounds great!"

Let me back up a moment and say that I firmly believe that companies should do everything they can to maximize profits. I understand the dev desire to monetize every little aspect of your game, or in the case of non-MMOs, to turn your game into an MMO-lite experience that lends itself to microtransactions.

It's smart business, and it's human nature, but it's also gone too far in a lot of instances. Case in point is the widespread use of company-specific cash shop currency (that is, of course, never sold in increments that allow you to purchase the one item you want).


Dazed and confused

Ultimately, I'm pretty conflicted about this whole microtransactions boom. On the one hand, yay for the free market, competition, and consumer choice. On the other hand, a thousand boos on price gouging masquerading as choice, and the mob consumer mentality that makes rich men out of the creators of FarmVille, Angry Birds, and World of Missing Features-craft.

The worst offender in this brave new business model world is of course the cash shop in the subscription-based game. Unfortunately, due to consumer apathy and some savvy marketing, it's becoming more and more commonplace. It's also being helped along by forumites who zealously defend it without considering the opposing viewpoint (which, ironically, happens to be the more consumer-friendly viewpoint).

How does this defense play out, and how is it flawed? Well, I'm very glad you asked. First, there's the supposition that MMOs have gotten more expensive to produce, and then there's the sentiment that devs deserve to get paid.

As to the latter part, I really have no argument there; devs do deserve a full day's pay for a full day's work. However, do devs deserve to get paid in perpetuity for work that is already done or that could be easily and cheaply extrapolated from work that was already done? This is a thornier issue because few of us as consumers actually know what goes on inside an MMO dev studio, nor do we know how much (or how little) work is required to, say, add a particle effect to a sword model and drop it in a cash shop.

Maybe the assets are created from scratch, and as such maybe they're worth $4.99 or whatever. But maybe they're left over from the scrap heap of the last expansion, and maybe they're things that, in the pre-cash shop days, would have made their way into the next patch with no additional charge beyond the nominal monthly fee (which, by the way, is commonly understood to provide for maintenance, customer service, and new content development, is it not?).

Every case is different, though, and we don't know which assets are held back, newly created, or recycled in some way. So, it's a gamble as to whether or not we trust developers to be honest, and as sad as this sounds, I'm not inclined to trust anyone I don't know when money, digital content, and livelihoods are at stake. Hell, I wouldn't trust some of the people I do know, either.

Anyway, sure, devs deserve to get paid. Do they deserve to get paid again for things that were previously part of the monthly fee they're already pocketing? I can't say no across the board, but I can't say yes either. Again, it boils down to trust, and trusting a company is foolish.


Money for nothing

As to the other point, that being that MMOs have gotten more expensive to produce, that's certainly the conventional wisdom. It even makes sense on some level, of course, because there's this thing called inflation and stuff does tend to cost more over time. Here's what I don't get, though.

The games themselves are actually getting simpler as the genre (d)evolves. Some people will roll their eyes at this observation, or trot out the rose-colored glasses logic fail, but reality intervenes and a little bit of research will show that there is no debate about the fact that modern MMOs have fewer features than their predecessors. The merging of the MMORPG with the MOBA and the social networking game is only exacerbating this fact.

So where, exactly, is this uptick in development costs coming from? It's not coming from feature sets because they're being cut (hello combat lobby, the MMO of the future). Also, computer hardware -- from workstations to servers -- is dirt cheap, and likely getting cheaper in this craptastic economy. Furthermore, Jeff Strain famously said that it's simply not accurate to assume that $15 per month is necessary to cover server, bandwidth, and networking costs (translation: a large part of that $15 a month is pure cream, assuming the company hasn't been mismanaged into the ground during the development process). That basically leaves labor costs.

So again, why the huge upsurge? Are devs getting mammoth pay raises every year? Are executives? Is it that the marketing department can't grasp the concept of a budget? Someone help me out here because the MMOs I've been playing over the past several years are inferior to those that came out a decade ago in absolutely every way excepting the graphics. They're certainly not worth $15 a month plus another $20 in the cash shop to get the bells and whistles that I used to get as part of the sub. Where is all this development money going?


Take the money and run

Another popular sentiment is that "content is expensive." If you look over the comment thread from our Secret World business model post, you'll see that several of the sub-plus-cash-shop supporters hummed a variation on this tune. The funny thing, to me anyway, is that none of these folks really know that "content is expensive" unless they're devs or accountants. All of us on the outside looking in know exactly what we're told by game companies, and said companies aren't in the habit of being transparent about their profit margins.

Gamers just assume that "content is expensive" because it sounds like an intelligent statement when you don't back it up with any facts, figures or context. Really, though, it depends on the content, the game, the prevailing market conditions, and a host of other variables. We as consumers ultimately decide the prices, business models, and everything else related to the money end of an MMORPG. It doesn't matter if an artist or a coder thinks his work is worth X because it's actually worth Y (where Y is whatever the market will bear).

Where am I going with this line of thought? If the cash shop plus sub model truly bothers you, stop supporting the games that feature it (and yes, that unfortunately means the majority of new AAA MMORPGs). A lot of you are supporting these games despite bitching on forums about how they suck, elsewise we wouldn't be seeing this business model take over.

So, really, if you're annoyed enough to post, then play an indie game, or don't play anything, but don't throw up your hands and resign yourself to greed being "the way of the future." Yes, that means skipping The Secret World, or canceling your Old Republic pre-order, and saying thanks but no thanks to the next "omg-must-play" AAA title that brings a sub and a cash shop to the table.

And I know. Realistically, few if any of you will do that.

The more I think about it, though, the more unacceptable the subscription-plus-cash-shop model becomes. I don't mind cash shops, and I don't mind subscriptions, but I do mind them together.

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Everyone has opinions, and The Soapbox is how we indulge ours. Join the Massively writers every Tuesday as we take turns atop our very own soapbox to deliver unfettered editorials a bit outside our normal purviews. Think we're spot on -- or out of our minds? Let us know in the comments!

Tags: business-models, cash-shop, champions-online, choice, consumer-choice, cost, cryptic-studios, double-dipping, economics, eve, eve-online, evil, f2p, featured, free-to-play, funcom, gordon-gekko, greed, greed-is-good, jeff-strain, marketing, mmo-industry, money, opinion, player-choice, secret-world, soapbox, soe, Sony-Online-Entertainment, star-trek-online, sub-plus-cash-shop, subscription, subscription-based, subscription-model, subscription-plus-cash-shop, the-secret-world, the-soapbox, tsw, used-car-salesmen

http://massively.joystiq.com/2011/0...and-cash-shops-two-great-tastes-that-taste-a/
 

Soazak

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I think it depends entirely on what the shop is offering. The Blizzard store for example has existed for years in WOW and 99% of players couldn't care less. It offers companions etc that are unique, and does not offer any items that would affect gameplay. I think this is ok tbh. I bought the Celestial Steed - Item - World of Warcraft from the Blizzard store.

On the other hand, Battlefield BC2 offers shortcut packs on the PS3, they're cheap and you can buy the end-game guns at the lowest rank (saving around 20 hours played per class), the community generally hate this as they believe it is buying progress.

I don't think it will be a big deal if they keep it to vanity only items, provided they do not skip on content there should be hundreds or thousands of vanity items for players to go for. Knowing EA, you can bet that SW:Tor will eventually sell better and better items in their store, and at some point I would bet that the store bought items will equal the best pvp/pve gear :(

But hell, if it's a Christmas costume here and there, I don't care, I'll probably buy one myself. And if I'm being completely honest, even if they didn't include a store, I'd probably buy gold from a chinese farmer anyway, I did/do in WoW/DAoC, and to be honest there is an awful lot of players that do, no wonder the devs are cashing in :p
 

old.Tohtori

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Well,m the guy sure talks a lot, but not much more sense then the people he's ranting about.

First off; "It's also being helped along by forumites who zealously defend it without considering the opposing viewpoint (which, ironically, happens to be the more consumer-friendly viewpoint). ", is double-irony i feel, when the whole post is not taking into consideration the opposing view.

Second, he seems to know f*ck all about costs and where the money is going. Devs get paid no matter what, your money means nothing. The moneymen on the other hand, those ordering the product from the dev, those want your cash.

The main thing here though, knee jerk reaction. That's all it is. It's still WIP and you don't know how many items are unique with money alone.

Also here's a little extra fact for all the budding whiners; games have to please a majority, not all.

Oh yeah, SW:Tor will have a collector edition exclusive shop in game, awesome :p
 

Ctuchik

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I think it depends entirely on what the shop is offering. The Blizzard store for example has existed for years in WOW and 99% of players couldn't care less. It offers companions etc that are unique, and does not offer any items that would affect gameplay. I think this is ok tbh. I bought the Celestial Steed - Item - World of Warcraft from the Blizzard store.

The Celestial Steed is the most overpowered mount in the game though. :)

Buy that when you reach lvl 20 and all you need after that is the skills to run faster and later to fly with it when your level is enough. :)

But you are right, Item Shops are great if stuff like that mount is the best you can get, it's when they turn out like in STO it's getting slightly out of hand.
 

Ctuchik

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Second, he seems to know f*ck all about costs and where the money is going. Devs get paid no matter what, your money means nothing.

Oh but it does mean something. Maybe not to the devs, but it sure does for me when i have to pay both a subscription and then additional fee's to get content my subscription fee should have paid for in the first place.

Take Cryptic for example.

They claim that the stuff they put on there are requested features that they would have put into the game anyway, but as they are in "high demand" they decided to prioritize them and then charge for it.

That's fine in itself, but they do NOT use a separate dev team for those items, they use the same people that make the regular content, pushing that down the list in favor of fast cash from the item shop.

So those that aren't especially interested in the stuff in the item shop has to wait a lot longer for the content their subscription pays for because the devs are preoccupied making RMT items instead of actual content.

And i imagine it is the same in the other games that does/will do this.
 

old.Tohtori

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Meant that your money means nothing to the devs, only the ones getting the cash. The working man(me included) will be lucky to see one penny of the DLC cash-ins, or even the game itself. We get paid like any other worker, so the devs need money isn't even on the table.
 

old.Tohtori

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On the DLC thing, you know why extra content sometimes is on a DLC at launch? Seems like it should be in the game already, right?

It costs nearly(or over) 50k to put a DLC up after launch and the extra content has been paid, to the company for salaries etc, by the publisher to get extra timie to polish the product.

To put it in another way; Extra content(dlc) is a way for the dev team to get more time to make your product better. They basically sell the publisher stuff to make the basic stuff better. If this content was not at launch, the DLC would cost a lot to the company/publishers and it would cost more for the end user. DLC at launch is a way to screw the end user less.

Same goes for ingame shops, partly. If the pricing is in the right level, then it's better for the user regarding the greedy publishers.

Don't blame the devs, blame the corporate publishing giants who are, in essense, investors. Them wanting money is ofcourse understandable, even if greedy.
 

Soazak

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The Celestial Steed is the most overpowered mount in the game though. :)

Buy that when you reach lvl 20 and all you need after that is the skills to run faster and later to fly with it when your level is enough. :)

But you are right, Item Shops are great if stuff like that mount is the best you can get, it's when they turn out like in STO it's getting slightly out of hand.

Yea it saves you a bit of gold on mounts, which are cheap++ now anyway..

And you can only go as fast as your fastest mount, so you cant get 310% without owning one already. All you gain from it, is saved gold from mount costs and a bit of convenience :D

I think overall, it really depends on how they implement it. I don't see it as a bad thing they automatically have a shop, Xbox and PSN have been doing DLC for years. Infact, it's not really much different to releasing an expansion pack..they're getting your money someway or other :p
 

Ctuchik

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Meant that your money means nothing to the devs, only the ones getting the cash. The working man(me included) will be lucky to see one penny of the DLC cash-ins, or even the game itself. We get paid like any other worker, so the devs need money isn't even on the table.

I beg to differ. :)

Like you said, devs gets paid regardless, but DLC/itemshop type content is securing the devs a job for that much longer.

So in a way devs DO get a share of the cash-ins simply by being offered to work longer on the game before it stops being supported. Or in the case of MMO's, stops generating enough cash from subs.


And you can only go as fast as your fastest mount, so you cant get 310% without owning one already.


They changed that with cataclysm, you only need to buy the last riding skill now.
 

Soazak

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ah, that's bad then..

That I suppose is a problem that can arise from these stores, all of a sudden the owners realise the money making potential and will continue to milk it, making the items better and better..
 

old.Tohtori

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I beg to differ. :)

Like you said, devs gets paid regardless, but DLC/itemshop type content is securing the devs a job for that much longer.

So in a way devs DO get a share of the cash-ins simply by being offered to work longer on the game before it stops being supported. Or in the case of MMO's, stops generating enough cash from subs.

Beg denied ;)

DLC/itemshop is securing the players a less buggy, more polished, in short and all better game. Not to mention cheaper in many cases. The devs on other hand would move on to other projects regardless, so again, the money is irrelevant to any other then the publisher.

Devs only goal, ONLY goal, is to make a game that is the best game possible.
 

Ctuchik

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I'm not sure you could count DLC's or item shop content towards bug fixes though. :)

But yes, devs goal is to make a game as good as possible, but they also have a self interest in keeping their jobs do they not? So the more DLC's and items for the itemshop they get ordered to make, the longer they get to keep working as there are generally a few layoffs after a game stops being supported.

and why the hell did you let me turn the discussion into this anyway Toht? You know better then this! :(
 

old.Tohtori

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The devs really don't, the people running the company have an interest in keeping the firm running, but even at that top scale, most devs are bored to death of the product and can't wait to move on to another :p

What ws meant by the DLC/itemshop causing a less buggy game, is that those give the devs more time on the product. For example, if there was no DLC on deus ex, the product would've launched 2 months earlier with a ton more issues then it has now.

Devs buy time with DLC/shop items from the publishers so the rest of the team(not working on dlc) can fix the product.

The discussion is key part of the original post, lack of knowledge on the industry makes for easy hate ;)
 

Ctuchik

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Ok that's it, i'm breaking up with you....

I'm finding someone else to disagree with now.... :twak:
 

rynnor

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I think having micro transactions in games you have to pay a sub for is pretty poor.

I also agreed with the article about the devolution of MMO's in general - none of the new ones look worth playing. I hope some independant studio resists the trend but it looks increasingly doubtful.
 

Ctuchik

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I also agreed with the article about the devolution of MMO's in general - none of the new ones look worth playing.

We've played so many different MMO's now that nothing really feels fresh any more. :)

I've played pretty much every single MMO that has released since DAoC with a few exceptions, and i've come to realize that it was a really bad idea.

It's kinda like having to much sex, sooner or later you will get bored of it no matter how good the girl look.


No, can't let you do that. There's no one else and you know it :D


bah, you just wait and see! :(
 

rynnor

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We've played so many different MMO's now that nothing really feels fresh any more. :)

Nothing is fresh anymore is the real problem :p

The mass market has taken over and it demands more of the same and dont make it hard or they will wander off.

To steal your analogy its more like the once exciting and raunchy girl in your bed has been replaced with a blowup doll...
 

svartalf

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Nothing is fresh anymore is the real problem :p

This is from Wikipedia:
Timewave zero and the I Ching




A screenshot of the "Timewave Zero" software

"Timewave zero" is a numerological formula that purports to calculate the ebb and flow of "novelty", defined as increase over time in the universe's interconnectedness, or organized complexity. According to Terence McKenna the universe has a teleological attractor at the end of time that increases interconnectedness, eventually reaching a singularity of infinite complexity in 2012, at which point anything and everything imaginable will occur simultaneously. He conceived this idea over several years in the early to mid-1970s while using psilocybin mushrooms and DMT.

McKenna expressed "novelty" in a computer program which purportedly produces a waveform known as "timewave zero" or the "timewave". Based on McKenna's interpretation of the King Wen sequence of the I Ching, the graph appears to show great periods of novelty corresponding with major shifts in humanity's biological and sociocultural evolution. He believed that the events of any given time are recursively related to the events of other times, and chose the atomic bombing of Hiroshima as the basis for calculating his end date of November 2012. When he later discovered this date's proximity to the end of the 13th b'ak'tun of the Maya calendar, he revised his hypothesis so that the two dates matched.

The first edition of The Invisible Landscape refers to 2012 (but no specific day during the year) only twice. It was only in 1983, with the publication of Sharer's revised table of date correlations in the 4th edition of Morley's The Ancient Maya, that each became convinced that December 21, 2012, had significant meaning. McKenna subsequently included this specific date throughout the second edition of The Invisible Landscape, published in 1993.
 

old.Tohtori

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Nothing is fresh anymore is the real problem :p

Just harder to find. The mass of the market(har) has increased so much that fresh and innovative titles often get buried under the sheer volume of rerererererereleses.

Also when majority of the innovations are done thee days, taking a look at racing or FPS for example, the innovation in them is much more subtle.
 

Ctuchik

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Yeah, it's hard to innovate anything profound nowadays when it comes to games in general.

And as long as people compare every new MMO to WoW and consider that game to be the "pinnacle of MMO's", nothing actually different will make it.

So devs fall back to copying instead of trying to explore what few options there are left that hasn't been touched yet.

Devs and players alike are caught in a catch 22 circle as long as we compare new games to old ones while only looking for similarities.
 

Soazak

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There's no reason that they cannot implement new ideas while still following the trend, I think MMOs will continue to copy each other, it's not like wow was a brand new idea. But with things life Rift, the PQs in WAR and the things that are being implemented in GW2 I think there will still be a few surprises.

WoW has brought MMOs into the mainstream, so the developers will always cater to the masses now, I think niche is a thing of the past for MMOs.
 

old.Tohtori

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There's no reason that they cannot implement new ideas while still following the trend

SW:ToR sold me with that exact model.

Familiar UI(wow) with familiar storytelling(ME/DA) and a familiar world(SW).

It has several eye blinding fanpoints.
 

Soazak

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I'm looking forward to SW:Tor, but I am scared that their storytelling will just be like WAR, still a case of "run 5 miles, click something and run back" or "go over there, kill 10 zombies and come back". You can see in WAR they tried to implement a continuous story, but it still didn't really work.

What I really want, is for the story to feel like a single player RPG and the pvp to have a purpose. And, hopefully, Bioware can do that, unless they've taken on too many ex-mythic staff :p
 

old.Tohtori

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Yeah hopefully there's choices. Lots of choices.

There's an option in some quest to f*ck someone into submission, so there might be choices :p

Shame it's not PG18 :(

But, there's an ingame collectors edition store :clap:
 

Soazak

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I'm still waiting to see if light/dark points will allow you to shift side?

If the store has lots of fluff, I think I may buy it
 

old.Tohtori

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If the store has lots of fluff, I think I may buy it

Yeah, that's a bit of a doubleedge sword really. 150 for the game and then another 50 for collector fluff? :p

I know i will, in for a recolor stone, in for a fortune.
 

Ctuchik

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I'm looking forward to SW:Tor, but I am scared that their storytelling will just be like WAR,

Yeah it's a concern i have as well, but if they have just built on what they have done in the DA and ME series then it isn't much to worry about.
 

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