Valve More Profitable Per Employee Than Apple or Google

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  • Shawn Zipay
    Managing Communities 24/7
    • Apr 2003
    • 69039

    #1

    Valve More Profitable Per Employee Than Apple or Google

    In speaking with Forbes, Valve's Gabe Newell shared a small bit of insight as to just how successful Valve is. How successful are they? Apparently they are more profitable per employee than either Apple or Google.

    Steam controls half to 70% of the $4 billion market for downloaded PC games, selling titles from bigger firms such as EA and Activision, as well as Valve's own games. Its sci-fi shoot-'em-up thriller Half-Life 2 has sold 12 million copies since 2004 and is the highest-rated PC game on the Web site Metacritic.

    The 250-person company releases no financials but, according to Newell, is "tremendously profitable." Ed Barton, a games analyst at IHS Screen Digest, estimates that Valve's revenue in 2010 was in the "high hundreds of millions of dollars." (A 2005 FORBES story on Valve had the company grossing $70 million with a fat $55 million in operating profit.)

    Valve announced last October that it was on track for its biggest year ever, with 200% year-over-year growth. Newell says that, per employee, Valve is more profitable than Google and Apple. A potential buyer was rumored to have made an acquisition offer a few years back for the Steam piece only, but Newell supposedly refused to split the online storefront from Valve's game-publishing arm.


    The Forbes article also mentions that Valve's estimated value is worth between $2 billion and $4 billion. Head on over to Forbes for the full three page article.
  • Spik3d
    Member
    • Feb 2006
    • 4890

    #2
    Re: Valve More Profitable Per Employee Than Apple or Google

    I'm okay with this.

    Valve's probably the, if not one of the, best big PC game developers around.

    Comment

    • CptainCrunch
      I am the 1%
      • Oct 2007
      • 12976

      #3
      Re: Valve More Profitable Per Employee Than Apple or Google

      Then where is the next episode(s)?

      Also, they are just sneaky in their underhandedness, like Apple and Google.

      Crunch
      Twitter: @CptainCrunch
      Battlelog/Origin: CptainCrunch

      Comment

      • jake_
        Fitter, Happier.
        • Mar 2007
        • 4959

        #4
        Re: Valve More Profitable Per Employee Than Apple or Google

        Valve is like the Google of video games. Especially in the way they run their company. It's a meritocracy without bureaucracy.

        Originally posted by CptainCrunch
        Then where is the next episode(s)?

        Also, they are just sneaky in their underhandedness, like Apple and Google.

        Crunch
        I've been informed that it will be at least another year, sadly. I guess they have other projects on the table or are waiting for technology to develop further first? I'm not allowed to know more. :R

        Comment

        • Kylee!
          Member
          • Apr 2007
          • 4161

          #5
          Re: Valve More Profitable Per Employee Than Apple or Google

          I <3 Valve. They deserve it.

          Comment

          • The_Eliminator
            Senior Member
            • Aug 2006
            • 5486

            #6
            I do love Valve but i do feel that they sort of ruined one of the title that made them so great. When HL went into episode mode it was always going to be the downfall of that series.

            Comment

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