Kingdom Come: Deliverance 2 Production Costs Were because It Was Made in the Czech Republic

Why It Matters

Lower production costs and abundant talent in Europe are prompting game publishers to relocate development, reshaping investment strategies across the industry.

Key Takeaways

• Kingdom Come: Deliverance 2 achieved over three‑times ROI.
• Production in the Czech Republic cut costs versus California studios.
• Man‑month rates differ sharply across regions, shaping studio locations.
• European talent resurgence offers quality work at lower price points.
• Investors weigh cost savings against skill differentials when allocating resources.

Summary

The conversation centers on Kingdom Come: Deliverance 2’s production economics, highlighting its impressive financial performance and the strategic choice to develop the sequel in the Czech Republic.

The game reportedly generated more than three times its initial investment within a year, a feat the speakers attribute in part to lower operating costs outside California. They note that man‑month rates vary dramatically worldwide, making Europe an attractive “sweet spot” where labor is cheaper yet still skilled.

One participant cites a letter from Lars stating the >300% ROI, while another remarks, “great people in California can make great games, but you must ensure their skill justifies the higher rates.” The dialogue underscores a growing resurgence of European development talent.

For investors and publishers, these cost differentials suggest a shift toward European studios, balancing budget constraints with quality output and potentially reshaping the global game‑development landscape.

Original Description

Embracer discusses the cost of making Kingdom Come: Deliverance 2 compared to what it costs to make games in California. CEO Phil Rogers predicts a rise to the game development scene in Europe