Quick Denuvo DRM Cracks Cost Game Publishers 20% in Revenue, According to Study

According to a study by William M. Volckmann II from the University of North Carolina, we have received an insight into the financial consequences of digital rights management (GDN) breaches in the PC gaming industry. The research, titré “The Revenue Effects of Denuvo Digital Rights Management on PC Video Games,” offers valuable insights into the relationship between piracy and game sales. The study’s most striking finding reveals that when Denuvo, a popular anti-piracy technology, is quickly compromised, game publishers face an average revenue decline of 20%. Interestingly, the research suggests that long-term DRM implementation may be unnecessary. Volckmann’s analysis indicates that games cracked after the first three months of release or those from which publishers voluntarily removed DRM protection after this period experienced negligible revenue loss.

The study also explored potential predictors for quick DRM breaches but found no conclusive indicators based on game characteristics. This unpredictability poses a challenge for publishers in assessing the risk of piracy for individual titles. Volckmann acknowledges gamers’ concerns about DRM’s technical drawbacks, recommending that publishers consider removing such protections after the critical initial three-month window. This approach could balance piracy prevention with user experience optimization. The findings present a compelling case for publishers to reconsider their DRM strategies. While protecting games during the launch period remains crucial, extended DRM usage may offer diminishing returns.