In 2006, MTV Games parent company Viacom bought its way into the then-burgeoning rhythm-game franchise by picking up Guitar Hero creator Harmonix for $175 million. As part of the deal, Viacom agreed to gild the agreement with additional payouts to Harmonix shareholders, should the studio top "specific contractual targets against a defined gross profit metric" for 2007 and 2008.
As The Beatles might say, "Money (That's What I Want)." Those payments commenced in 2008, when Viacom revealed through a Securities and Exchange Commission filing that it had set aside up to $208.7 million to pay out incrementally to former Harmonix shareholders through 2009. With the decade now closed, it appears as if Viacom wants a "substantial" portion of the $150 million it ultimately paid out as part of the Harmonix purchase agreement back.
"In 2008, we paid $150 million, subject to adjustment, under this earn-out agreement related to 2007 performance," the media conglomerate said as part of its full-year financial earnings report today. "At December 31, 2009, we believe that we are entitled to a refund of a substantial portion of amounts previously paid, but the final amount of the earn-out has not yet been determined."
Viacom did not indicate the specific reason it believes it overpaid former Harmonix shareholders, and MTV Games had not responded to requests for comment as of press time. However, the media conglomerate did say today that its 6 percent revenue slip for its Media Networks division, of which MTV Games and Harmonix are members, "was driven primarily by lower sales of Rock Band bundles."
Still, Harmonix has continued to see success from its flagship rhythm game franchise. In March 2009, MTV Games announced that the series had earned $1 billion in North America alone. In December, the publisher announced that The Beatles: Rock Band had sold more than 1 million units worldwide, though it also noted that 39 Harmonix employees had been laid off.
You need a javascript enabled browser to watch videos.
Click To Unmute
The Beatles: Rock Band Sgt. Pepper's Lonely Hearts Club Band Album Trailer
Tears Of The Kingdom Is A Technological Marvel
Resident Evil 4 Is A Perfect RemakeHow Alan Wake II Made Me Face My Fear of Horror GamesGameSpot's Top 10 Games of 2023Thompson: The Pop Culture Icon’s Strange Legacy - LoadoutFirearms Expert’s FAVORITE Weapons Of 2023State Of Gaming Handhelds In 2023Like a Dragon: Infinite Wealth - Official Ichiban Kasuga Character Spotlight TrailerHow Lies of P Cracked the Souls GenreLike a Dragon: Infinite Wealth - Official Chitose Fujinomiya Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Eric Tomizawa Character Spotlight TrailerLike a Dragon: Infinite Wealth - Official Kazuma Kiryu Character Spotlight Trailer
Share
LinkEmbed
Size:640 × 360480 × 270
Start at: End at: Autoplay Loop
Want us to remember this setting for all your devices?
Sign up or Sign in now!
Please use a html5 video capable browser to watch videos.
This video has an invalid file format.
00:00:00
HTML5
Auto HD High Low
Report a problem
Sorry, but you can't access this content!
By clicking 'enter', you agree to GameSpot's
Terms of Use and Privacy Policy
enter