The Conglomerate Family Became A Villain [EN]: Chapter 7

7. Becoming a Villain in a Chaebol Family – The Blood of a Chaebol 03 –

Robert was both a developer and a businessman. The moment he played the demo version of the game Zero Space, he recognized its potential.

‘This game will sell, no matter what.’

That was his assessment.

‘It’s a game worth a significant investment.’

That much was clear.

However, he didn’t believe it was wise to simply concede to all of the other party’s demands during a negotiation.

‘That would be unprofessional.’

He was determined to find a favorable outcome.

“100,000 units is a difficult proposition.”

Robert aimed to contract Zero Space under terms similar to those offered to other first-time developers.

‘I can’t compromise my principles.’

He felt he was offering a fair contract, not attempting to undervalue the game.

‘We’re not trying to be tyrannical like Atari.’

However, Jung Hyun-woo disagreed. He firmly believed that Zero Space was unlike typical games.

And because of its exceptional qualities, he felt it deserved better compensation.

‘It may not have groundbreaking innovations, but it incorporates all the popular elements of recent hit games. It shouldn’t be evaluated the same way as projects from ordinary rookie developers.’

If he had followed the path of established developers and included innovative features, he would have demanded an even higher price.

Jung Hyun-woo stated firmly,

“If it’s only 50,000 units, I’ll find another distributor.”

Robert’s eyebrows shot up at Jung Hyun-woo’s statement.

“Someone else?”

Atari, a giant in the game industry and a console manufacturer, rarely acknowledged independent developers [third-party developers who create games for their consoles].

Activision had only recently become an Atari third party after a legal battle.

“There’s Atari, and if necessary, I can get support from Ms. Sarah.”

Sarah Hilton.

Robert’s gaze shifted to her.

‘Could she be connected to the Hilton Group?’

The North American game industry was experiencing rapid growth.

Moreover, the game industry was relatively new, making it easier to enter. Consequently, companies outside the gaming sector, such as advertising agencies and even food companies, were establishing development divisions and entering the market.

It wouldn’t be surprising if the Hilton Group, with its vast influence in the hotel and real estate industries, decided to enter the game industry.

‘Is this a declaration of intent from the Hilton Group?’

Sarah Hilton was just a young college student. But behind her stood the powerful Hilton Group.

Activision was a rising force in the North American game industry, but it couldn’t compare to the scale of the Hilton Group.

‘That could be problematic.’

Robert sighed inwardly. Ultimately, he relented.

“Would you agree to a contract for 100,000 units?”

Jung Hyun-woo nodded slightly.

“I’d like an initial run of 100,000 copies with a royalty of $5 per copy.”

Robert nearly jumped at the mention of $5. He considered it an outrageous price.

“Five dollars?”

“Isn’t it a fair amount, considering we’re handling the development and you’re only handling the distribution?”

“Do you know how much a cartridge costs to produce?”

Jung Hyun-woo answered without hesitation.

“$25.”

“Distribution, as well as marketing, involve costs and profit margins.”

“Are there any games where the developer doesn’t receive at least 20% of the retail price? No, let me rephrase that. What is Activision’s profit margin per cartridge?”

He wanted to secure the same margin as Activision.

It was an undeniably bold statement.

Robert groaned softly.

“Hmm.”

While Jung Hyun-woo engaged in sharp negotiations, Sarah calmly observed the interaction.

‘Charlie is in control.’

Before entering Activision, Jung Hyun-woo had appeared anxious.

But as soon as the negotiation began, he transformed and put pressure on Robert.

‘There’s no need for me to intervene.’

Originally, she had intended to take the lead and secure a favorable contract. However, Jung Hyun-woo was leading the negotiation even more effectively than she could. He was pressuring Robert by citing industry standards and profit margins that she wasn’t even aware of.

“If you can’t pay $5 while selling a $25 cartridge, what’s the difference between Activision and Atari?”

Atari, the dominant force in the North American game market.

They exploited numerous game companies and developers due to their market position.

Activision was founded to resist Atari’s exploitative practices.

Now, Jung Hyun-woo was highlighting Activision’s founding principles and their original mission.

Robert began to view the boy in front of him differently.

‘I underestimated him because of his age.’

If he could develop a game like Zero Space, he must possess a deep understanding of the game industry.

If he had recognized this boy as a serious developer from the start, he wouldn’t have been cornered like this.

‘But $5 per cartridge is excessive.’

He paused, stroking his chin.

“What kind of compensation are you expecting for the arcade port?”

Robert’s eyes widened again.

“Arcade port?”

“If it’s successful on the Atari 2600, I believe an arcade version is feasible.”

Robert almost laughed in disbelief.

‘Does he really think Zero Space will be that successful?’

Zero Space was a good game, but he couldn’t guarantee its success.

Moreover, arcade games demanded much higher quality than the Atari 2600, a home console.

‘Zero Space’s quality is somewhere between home and arcade standards.’

With enough refinement, it could work, but it could also fail.

“It would be possible if it’s a hit. But that’s a discussion for after it’s successful.”

“I want to finalize that when we sign the contract.”

Jung Hyun-woo didn’t yield.

Robert saw the conviction for success in his eyes.

‘He reminds me of myself when I left Atari.’

He was one of the four who left Atari to found Activision.

‘I can’t back down now.’

Robert decided to take a chance on Jung Hyun-woo’s vision.

“Okay, the initial run is 100,000 cartridges, the royalty is $5 per copy, and when it’s ported to the arcade, I’ll increase the royalty to $10. However, the royalty will only apply to units sold.”

He clarified that he wouldn’t pay royalties on returned or unsold cartridges.

“Let’s finalize the contract under those conditions.”

Robert extended his hand to Jung Hyun-woo, signaling his agreement with a handshake.

Jung Hyun-woo released his clasped hands and shook Robert’s hand.

In that moment, Robert noticed that his own hand was sweaty.

‘Was this boy nervous too?’

Despite his unwavering gaze, Jung Hyun-woo had been quite tense during their conversation.

“I appreciate your support.”

“I look forward to working with you.”

After releasing his hand, Jung Hyun-woo retrieved three 5.25-inch floppy disks from his pocket.

“This is the full version of Zero Space.”

Robert frowned slightly as he accepted the disks.

“Full version?”

“The demo version only contains about 40% of the content.”

Even with only 40%, it’s this good?

Robert was genuinely surprised.

‘Maybe agreeing to $5 is our lucky break.’

He relaxed his brow and smiled.

“I’ll pass it on to the development team for review.”

“Try playing it yourself.”

“Me?”

“You enjoy games, right? Then you’ll find it enjoyable.”

The conviction in Jung Hyun-woo’s eyes remained unwavering.

“Okay. Let’s get the contract signed first.”

Shortly after.

Robert’s secretary brought the contract. He handed it to Jung Hyun-woo.

Jung Hyun-woo carefully reviewed the contract and then passed it to Sarah.

“Sarah, please review it.”

Sarah nodded as she accepted it.

“Leave it to me.”

Robert gave Sarah an awkward smile.

“He’s an impressive young man.”

Sarah agreed. But she responded calmly, as if she wasn’t surprised.

“Children can sometimes surprise adults.”

Of course, Sarah was still too young to be considered a mature adult.

“The section about the contract payment isn’t clearly defined. I’d like it to specify whether the payment will be made in cash or by check.”

Robert scratched his head at Sarah’s comment.

“We typically pay by check, so…”

He hadn’t specified it because he assumed payment by check.

“Please clarify it.”

“Understood.”

Robert instructed his secretary to add a new clause to the contract.

Soon, the revised contract arrived, and Sarah reviewed it again before handing it to Jung Hyun-woo.

“I’ve reviewed the contents.”

Jung Hyun-woo nodded and picked up a pen.

Swish, swish.

He signed the contract with a practiced motion.

“I’m honored to be working with Activision.”

This wasn’t just a polite remark.

Wasn’t Activision a legend in the game industry?

Of course, Robert didn’t know his true feelings.

“I’ll do my best to promote it.”

He shook hands with Jung Hyun-woo again and then presented him with a check for $10,000, the contract payment.

“I’ll contact you by phone.”

Sarah gave Robert her home phone number.

“I’m often unavailable during the day. I’d appreciate it if you could call in the evening.”

Most employees were off work in the evening. Nevertheless, Robert was willing to accommodate that request.

“Understood.”

After their final farewells.

Jung Hyun-woo left Activision with Sarah.

“Haa…”

Jung Hyun-woo sighed deeply as soon as they were outside.

“Are you alright?”

Jung Hyun-woo took a deep breath and replied.

“Phew, that aged me ten years.”

A way of speaking that seemed beyond a high school student.

“Where did you learn to say things like that?”

“From books.”

“I don’t think you read that many books?”

“I only read books when I didn’t have access to a computer.”

To be precise, it was when he was confined to the drug addiction treatment center.

“Charlie, you negotiated very well.”

Jung Hyun-woo smiled sheepishly.

“Our family also runs a business, although not on the scale of the Hilton Group.”

The spirit of a merchant runs in his blood.

Sarah nodded in understanding.

───────────

───────────