This is a good question.
Publishers typically invest later in a project to help finish get it over the finish line. They used to invest earlier but over the years started investing later and later - as game engines got better and better, teams could do more with less funding so they stopped doing as much.
IMO VC entering the picture was a reaction to less early funding from publishers - it's filling a need for larger more ambitious projects.
Re:Games don't need venture capitalism
by spacemarine1 on Monday January 22, 2024 @12:09PM
(#39092002)
I see equity funding as useful starting funding.
Publishers are great for finishing funding once you know what your game is.
Real issue with VC money in games is that returns most of the time just aren't big enough. And picking the winners is very hard.