Mad Catz is now bankrupt – you may have heard their name around Rock Band 4.
Mad Catz has been in a tough situation for a while. The company, known for their peripherals and accessories, wanted to avoid getting delisted from New York’s Stock Exchange in February, which eventually happened a week ago. Their situation started turning for the worse years ago: five times in the past six years, they ended with a negative balance…
Reuters reports that Mad Catz voluntarily filed for bankruptcy. Part of their fall is credited to Rock Band 4 – they made the guitar for that game, and this move only cost them 12.5 million dollars. Also, we have seen in multiple places, including GameStop, that peripherals’ sales are falling rapidly recently. The losses by Mad Catz’ leadership were compounded instead of being mitigated.
The Mojo micro-console, which uses Android, also played a role in Mad Catz‘ downfall. After the 2013 launch, the price almost dropped to its half in 1.5 years from 250 to 150 bucks. We may forget these cats quickly. Or maybe not.