I've often wondered--what does GOG do with the money? When you pay them for an old game, where does the money go? Does GOG keep every cent or do they share it with the original author/publisher/ip-holder?

It's just been gnawing at me lately and I have to know. Does anyone know? They don't say anything about it in their FAQ?

They pay salaries :D.

I'm assuming they have some standard deal with the current rights holders of the game, who get a percentage. The rest they keep.

GoG has agreements with either devs, publishers or the intellectual property owners.

All games sold on GoG are legal re-releases with money going to the respective people, the titles here are not abandonware or anything like that, GoG do make a profit dont get me wrong, but some of that profit goes to the legal owners of the games

One word: HOOKERS

They keep a percentage for themselves (30% or 40%) then give the rest (70% or 60%) to the publisher. Usual split is 30-70, the 40-60 is for the publishers that ask for an advance in payment, and they get less money until the advance is covered. No blow?

That reminds me of that quote:

I spent a lot of money on booze, birds and fast cars. The rest I just squandered.

:)

They spend it on cheap cars and fast women.

Most of the money you pay goes to the current IP rights holder/publisher(***) of the said game, and GOG.com takes a cut for selling it on their store (offering the download services, advertising etc. for them), and possibly for the compatibility and quality assurance work they've performed for the game. Or some other arrangement, like GOG getting a limited-time exclusivity for selling the game as a compensation for that compatibility work. I presume the LucasArts classics are like that, for example. It took some time before LucasArts brought them to Steam as well.

(***)With a few games like Fantasy General, GOG.com (GOG Ltd.) has apparently become the publisher as well. So I presume in those cases GOG.com keeps all the money, bwahahahaha!!!

That are actually three words. :p

Just to stress, it is irrelevant who the "original author/publisher/ip-holder" is. They could already be dead for all we know. All that matters is who the current publisher/IP rights holder is, that's the one getting most of the money.

So when you e.g. buy System Shock 2 from GOG (or Steam for that matter), probably no dime is going to that poor guy who designed the levels or sound effects for the game, or designed the ending credits. Just like I am not compensated at all anymore for some product I worked on developing for some company 10 years ago, even if it was still being sold. I've already switched jobs.

It's safe and sound in a sturdy and responsible Cypriot bank.

...rubber whips and handcuffs?

They just dump it down the money hole.

Damn, you took the words right out of my mouth!

GOGbears, GOGbeers and GOGbit**es XD